Paul Karen, Bloomberg, Seven Percent discussed on Bloomberg Surveillance


Point one zero seven eight against the dollar British found one point two nine nine six in the yen went away point six seven and that's a Bloomberg business slash common Paul Karen thank you so much really try to squeeze in your conversation with the always interesting murder Patel Margie Patel with wells capital management on a high yield on coupon in this year decidedly on total return we await the president of the Republic of France and the president of the United States in London we're monitoring that now across all of Bloomberg radio market Patel good morning is been a double digit year did you get your fair share yes we did amazingly even in the high yield market double digit returns or were given so it's a great you're all round stocks and bonds what happens after a great year in bonds I would guess our listeners in me eighty nine point seven percent of my focus is on the year after in equities what happens after a bang up your in bonds well I think the will basically look for just the return of the coupon income and not select capital appreciation so mid single digits kind of the best scenario for two thousand and twenty so market we saw you know with the sell off in the fourth quarter last year if you're not a lot of people have cash on the sidelines and willing to jump back in if you take a look at the performance in twenty nineteen if that's the case this year as you talk to your clients do they have cash and maybe they're just waiting for a pull back in the market that maybe we got like a lot a year ago yes cash and hoping for that big pull back I think this is a replay of last year a big dip the great topic jumping on because the fundamentals are still pretty good so if I were to jump in I guess the question is how much risk do I want to take away one of you know go into defensive sectors with its real estate reads consumer staples running take on a little more risk say in technology or some of the industrials well I think of Barbara approach I think the interest rate sensitive sectors like utilities like some of the reach are going to do well because we had little rate push up I think we'll see rates push down against next year in the equity market I think we have to still look for grossi sustainable growth sectors because he called me a lot slower next year is the dividend gross a yield equivalent it looks very bought like to meet Tom because returns are about where you'll get an investment grade bonds what do you model for dividend growth do you have a caller that you work with like if it's too high dividend growth your radar goes up and certainly if there's not enough diverting rolls you don't like it is Margie Patel collar to that statistic no I like to look at total return and you know the capital per a gross is a dog in the dividend you really detail so I don't like to put too much emphasis on this CSA level three so market appears at the you know the market's kind of discounting of one rate cut maybe in twenty twenty do you think that's enough to kinda support some of the riskier assets in the you know the credit side in the equity side I think the said having a steady state policy doing nothing or making a mild three cop because free to look a little on the high side compared to global rates and the slow growth but I think it's always a don't do too much the remarkable very attractive Bloomberg surveillance worldwide we bring your market Patel wells capital management we await comments by Mister McCall in Mr trump Paul sure Margie it you know it's interesting it's been such a great year for bonds for equities you know it's it's it's some of people it that we talked to were saying Jeez you can you really have to moderate your outlook for twenty twenty maybe even kind of a mid single digit return type environment cash is that's a horde Tom's case triple leverage cash what is your sense as to maybe expectations for twenty twenty well I think made due to return to teach us following after the what the return check out this year analysts inflation being low and interest rates being low so if it's a five percent year that will be bad it's will pause and the grossest all positive and he called me each year before the end of the year thank you so much for your support of Bloomberg surveillance in your wisdom and perspective on capturing a greater yield market Patel with wells capital management in Boston we're waiting for Mr McCall Mr trump we've got a camera for you looking like they're marching towards windshield us Richard frame this Paul this is Winfield house in it's really really famous it is off regent park ridge his muse off hi Susan the regent park I got it right north of Buckingham Palace away from Buckingham Palace it was basically feels and they tore down what was their ancient in it was the poor little rich your whole building the war is money a Frank will or so this is Barbara Hutton really ages ago Chris barber has change I rumor dying in nineteen seventy nine rather ancient and she was a huge deal in that social swing of the twenties and the thirties and all and she build a delegation Georgian yep manse with all the right approval said that it's got some architectural integrity but not as an ancient building then out of the green the ambassador Mister Johnson can worse gestures again play football exactly what's I mean it's a spectacular property so group excellent setting for this get together twelve acres here now the president with a busy schedule today he will move with self you did this morning rather I should say moving so who got a bit of a scrum occurring now is it looks like they wait the chamar impress wait to enter Winfield house to me stormy greeted by president trump and Paul a nasty Mr that was the word that was used this morning the amazing to see what kind of report these two gentleman can have today again at this NATO this set was supposed to be a celebration of the seventy years of the NATO but it's turning perhaps a little bit more political than some of the participants will care for we now have president trump beginning to speak if he is hosting a Mister McCall of France okay so I guess they okay they're not ready yet they're what they're doing for just kind of follow up now there's there's with the flags of America and the blue ball should Russo France as well both for intent of here now speaking is the president of the United States all conversation afterwards I wonder first of all before we begin I want to pay my respects to the great warriors.

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