My long-time readers are familiar with Jeremy Grantham of GMO, as I quote him a lot. He is one of the more brilliant and talented value managers (and I should mention, very successful on behalf of his clients). He writes a quarterly letter that I regard as a must-read. In fact, anything Jeremy writes is a must-read. This week’s OTB is a little longer than most, but it is actually two separate parts, which can be read at different times – but you want to take the time. He makes his predictions for the year in the first part, and gives us some valuable insights into the stock market in the second. The first part reads quick. Think through the second part.For those interested, I did an interview with Tanya Benedicto, a new and upcoming blogger from Forbes, from The Breakers in Palm Beach. She reminds me of my twins. Other than calling me MR. Mauldin, it was a good interview and a short five minutes on what has me disconcerted this week. Here is the link: http://blogs.forbes.com/tanyabenedicto/2011/01/30/thoughts-from-the-frontline/.
Enjoy your week. I am off to Vegas and then Thailand, assuming the predicted ice storm allows me to get out of Dallas. And figure out a time to write an e-letter. And for fun, I offer a picture of something David Walker handed me as we were getting ready to do our panel last Thursday.
Your really excited about Thailand analyst,
This week I am really delighted to be able to give you a condensed version of Gary Shilling's latest INSIGHT newsletter for your Outside the Box. Each month I look forward to getting Gary's latest thoughts on the economy and investing. In his 2009 forecast issue he suggested 13 investment ideas, all of which were profitable by the end of the year. Last year he gave us 16, of which the large majority hit the mark. It is not unusual for Gary to give us over 75 charts and tables in his monthly letters, along with his commentary, which makes his thinking unusually clear and accessible. Gary was among the first to point out the problems with the subprime market and predict the housing and credit crises. His track record in this decade has been quite good. I want to thank Gary and his associate Fred Rossi for allowing us to view this smaller version of his latest letter, where he gives us 18 investable strategies for 2011.
If you are interested in subscribing to his letter, his website is down being redesigned, but you can write for more information at firstname.lastname@example.org. If you want to subscribe (for $275), you can call 888-346-7444. Tell them that you read about it in Outside the Box and you will get the full 2011 forecast with price targets, plus an extra issue with his 2012 forecast (of course, that one will not come out until the end of the year. Gary is good but not that good!) I trust you are enjoying your week. And enjoy this week's Outside the Box.
Oh, and I can't resist. Remember that list of the payroll differences between private and federal employees I had in the last letter? Rob Arnott wrote and pointed out that the biggest differential was in the cost of public relations personnel. I guess the cost of high-quality practitioners of "spin" is seen as a necessary expense of our government.
Your enjoying the irony analyst,