Bloomberg Audio Studios, podcasts, radio news. The single best idea and one of the great, single best ideas we have, is we pay attention to people from decades back. We get it right, sometimes get it wrong, but more often than not give us the benefit of experience. Chuck Clow is a legend. He's out of New England. He's worked for old colonial management. There's a name from the past in Boston, iconic at merilynch There is no other way to put it. Huge influence within equity strategy and having
the courage to be in the market. He's a bull. We spoke to Chuck Clow today and of course he went back to one of his core theories, study demographics.
Let's look at the events that created forty years of declining interest rates and declining inflation, and of course that was interrupted by COVID and the tremendous government response to that, but those three factors were one demographics. As people aged, they get older. We've seen that in Japan for thirty years, and we started seeing that in Europe in the early teens, and now we're seeing it in the United States where we are seeing the baby boomers retire. And once you retire,
you stop spending. You don't buy houses, you don't buy cars. So it's one of the reasons why we think we're beginning to see a net savings balance in the household sector, and of course that'll only pick up as the baby boomers really really do retire. And the second thing, of course, is where balance sheets are. Private debt is still one hundred and fifty percent of GDP, and that means his interest rates do go up, it slows and spending. We're
seeing that in credit cards. And then thirdly there's technology, which of course is booming today. It's one investment cycle we have. You put those three things together, they only become more intense as we go through the rest of the decade. So I wouldn't give up financial assets yet.
Check clout Optimistic and of course mentioning technology there as well. What a joy yesterday. Thank you for the many comments worldwide on our conversation. Too brief was Simon Johnson at the Massachusetts Institute of Technology. Exciting day yesterday for MIT in Chicago, looking at the technology overlay, the institutional overlay of our economy and of our economics. We followed that up today with someone with Operational Research Excellence from MIT.
Katherine Kaminsky is just wonderful about the market, the trends that are out there. She says, it's very hard right now, particularly in fixed income, to make trend investments. Got into a lot of the nuances of that. But near the end of our conversation, I noticed that Katie Kaminsky teaches it slow. I asked her about Simon Johnson. I asked her about the air at Sloan at.
MIT, I'm so excited, and you may not know this, but I actually spent ten years of my career in Sweden, so where they kind of also do the Nobel Prize, and it's just it's just such an amazing place where people are really changing the world. And MIT for me, just seeing that we had the JOIN conference was at MIT last week, a journal of Investment Management, and we had two of our junior quants there and they actually
saw Johnson speak before this weekend. So this is like, it's a very pride moment for us.
Katie Kaminski too short a conversation on her Sloan school att t We're going to take a sabbatical here on single best idea over the next summer days. I've got a dashed room in back the obligatory Roman wedding, I threatening to drive a Vespa. We'll see if we can work that out where we do a photo shoot, where they'll go You're no Greg Peck, but we will see on that. What we can tell you is these are
exciting times into the election. Of course, our conversation with the Prime Minister of the United Kingdom yesterday at Bloomberg, a conversation today with presidential candidate Donald Trump will much more on that unbalance of power. We're out on YouTube. Subscribe to Bloomberg Podcasts at YouTube. On your commute, Android to Auto. Thank you for the note today on Android Auto. Bigger than I thought. On Apple car Play as well, and of course in Washington, New York and Boston on
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