In a recent interview with CNBC, Bill Gross Founder of PIMCO, the world’s largest Fixed Income Money Manager said he continues to believe real assets such as land, commodities and housing will continue to outperform most major developed equity markets.
Speaking with CNBC Bill Gross says, I agree that low interest rates have contributed to various asset class bubbles and a general sense of prosperity. And I agree those days are largely over. This also has a lot to do with a mature market and a possibly post-peak empire. But that is why we invest in emerging markets. Not only have they been performing better, but they are expected to do so in the future.
The article goes on to mention that “Most analysts expect a slowing China and Brazil to still outpace the U.S. in GDP growth. The most savvy investors are looking to the next generation of emerging market countries — frontier markets”.