On Tuesday afternoon, Fed chair Jerome Powell announced his intention to once again expand the central bank’s balance sheet. Just don’t call it QE:
"I want to emphasize that growth of our balance sheet for reserve management purposes should in no way be confused with the large-scale asset purchase programs that we deployed after the financial crisis."
New branding is clearly required.
Perhaps, the open market operation is formerly known as QE?
The speed and magnitude of the moves reaffirm the requirement for investors to hold core investment beliefs that are flexible and firmly held at the same time.
Read MoreThis reminds me of Steven Pinker's "Enlightenment Now", where he quotes Max Roser "that if news outlets truly reported the changing state of the world, they could have run the headline NUMBER OF PEOPLE IN EXTREME POVERTY FELL BY 137,000 SINCE YESTERDAYevery day for the last twenty-five years."
Read MorePortfolio construction, asset allocation, correlation, rebalancing and the CS survey of North American institutional investorsI like the CS survey of institutional investor meetings and have paraphrased their takeaways below.
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