In a recent interview, Aaron Dunn, co-head of value equity and portfolio manager at Morgan Stanley Investment Management, expressed his belief that the commodities market is currently a more favorable place to invest. Dunn specifically highlighted one type of company in the energy sector as being “extremely attractive.” He further stated that we are at the beginning of a longer-term commodity cycle. Although Dunn did not explicitly mention the name of the stock he likes, he did mention that he has identified others on his radar.
On the other hand, value investor Matthew McLennan, who manages First Eagle’s Global Fund, believes that the United States is headed for a major debt crisis due to the fiscal deficit being at its worst point since World War II. McLennan expressed concerns over the relative complacency in equity and bond markets, stating that they have not fully considered the implications of the state’s borrowing program. While he did not disclose the specific asset and stock he recommends for hedging against these risks, he did identify them as part of his strategy to combat the potential crisis.
In Europe, Goldman Sachs has unveiled its new “conviction list” of top stock picks. The investment bank selected these stocks as its “most differentiated” ideas for the region. While CNBC Pro provides insight into seven of the picks, the complete list is only available to its subscribers. This list is expected to generate interest among investors looking for lucrative opportunities in the European market.
