With the global economy and financial system undergoing profound changes, investors need an investment approach that positions them to thrive in the New Normal. PIMCO’s Global Advantage Bond Index (GLADI™) provides investors with an alternative fixed income benchmark designed to better capture the opportunities in the changing world. In this interview, PIMCO’s CEO and Co-CIO Mohamed El-Erian and Executive Vice President Ramin Toloui discuss the new index and its application as a benchmark in PIMCO’s Global Advantage strategy. (more…)

A nagging question haunts U.S. government efforts to revive a dormant financial system: Can a crisis that started because of excess credit be solved with more debt? (more…)

Even after its recent decline, the U.S. equity market does not look especially “cheap” or “undervalued” when viewed over time; the bear market has simply brought valuations back into line with long-term trends. (more…)

Banks in the U.S. face a new source of write-downs and failures in the coming year as loans made to developers to finance residential and commercial property development rapidly go bad. (more…)

This stock is a goner to the teens very soon. Short it and make money. As easy as they come. Apple Inc. Chief Executive Officer Steve Jobs, who said this month that he is having treatment for a nutritional ailment, will take a medical leave of absence until June.
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Investors fled from stocks and bonds of U.S. mortgage giants Fannie Mae (FNM.N: Quote, Profile, Research, Stock Buzz) and Freddie Mac (FRE.N: Quote, Profile, Research, Stock Buzz) for a second day on Thursday as fears mounted over their ability to raise capital needed to survive. (more…)

Don’t be fooled by the US Labor Department released Consumer Price Index as the government has a huge vested interest in suppressing real inflation rates…as Social Security Benefits increases, Government Budgets,…among others are pegged to this. So the last place you would expect to get real inflation rates is from the US Labor Department. (more…)

India’s inflation hit 11.05% in the first week of Jun 2008 hitting a 13 year high. Investors specially foreign investors have lost confidence in the abilities of RBI governor and the government as a whole to contain inflation. This loss of confidence is marked by them fleeing the market as they are hit by the twin whammy of falling stock markets and a depreciating Indian Rupee further eroding their dollars assets. (more…)

Like most long-time homeowners, Dan and Jody Dollar have built up quite a lot of equity in their Newbury Park, California, home.

They’ve lived in the house for 24 years, come close to paying off the mortgage, and watched its value go up from $160,000 to almost $700,000. That was equity they wanted to tap to pay off the family cars and buy some new equipment for Dan’s physical therapy practice. But they didn’t want to get into a costly reverse mortgage. (more…)

Two former Bear Stearns managers have been arrested, federal authorities said Thursday, becoming the first executives to face criminal charges in the wake of the subprime market debacle.

Matthew Tannin was taken into custody outside his New Jersey home on Thursday morning and Ralph Cioffi was arrested at his New York City home, the FBI said. (more…)