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Bellpoint Capital Managing Director Jared Levy on wealthy investors’ pessimistic outlook for the markets.
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Wealthy investors in this country are less optimistic on all aspects of the economy than their financial advisors are.
That's according to a new survey but who's right -- Levy is the managing partner of WellPoint capital you're welcome back to the show -- to see you so what's going on here.
-- 29% of wealthy investors.
Bullish over the next six months but advisors -- 45% of them are.
-- There's a couple of different ways you wanna look at this number one as you can look at sort of the information gap right.
The average individual -- information differently than someone who I consider to be Smart money or is someone in the middle who might be one of those advisors.
By the time the information -- lets -- say.
You know inside data about accompanied by the time that information gets to the public gets the general public it can be 234 weeks old.
You're at a time main street sees it its debt already.
So the advisors might be feeding off some positive data.
On the flip side.
Older more wise and know.
I was gonna say I -- say the wealthy investors probably know more than their younger advisors.
If it -- a -- but Jerry there's two sides and I'm actually leaning to the side of the wealthy investor.
These women and women have worked their whole entire lives to gain that the minimum here was one million in and that's the last that's.
If you got that kind of money probably were darn hard for you probably did it -- for a few cycles -- to the point -- -- you you know to see you know what to look for and right now.
In my mind I'm feeling it I'm not comfortable I.
I'm -- air on the side of the wealthy individuals -- are -- you know to that point Hughes right his got the right pointed usually be optimistic or pessimistic.
You can't and that's the problem you can't just put a blanket statement out there well let's just don't buy stocks everything's good -- -- is gonna come on come on come -- -- splitting hairs with -- see the market doing better this year worse.
I see doing worse frankly seeds in worst idea of what I was getting at there are our companies -- I think -- -- I don't wrap it up there -- -- companies that will do well there are companies it will thrive the you know the -- of the world for instance I hate to be -- like that of -- IBM's the Qualcomm the company's.
You know you talked about.
Foreign investment he talked about companies moving their operations overseas the money is overseas and -- -- actually -- multinational companies or to give -- that are gonna reap the rewards.
We are changing the way that we do business here in the in the world the way that we communicate with the technology you brings -- all together the company didn't capitalize on that.
Are the ones that will succeed if all -- companies and the old way of measuring these companies looking at a PE multiples they think that.
Are going out the window let's -- well.
The investors for just a second here because they're they are worried about -- they're worried about the -- gridlock European -- should -- a long list of things there.
You gotta sit back and think we need those folks investing in the markets for the markets to do well -- it take to boost their -- their confidence.
It's gonna take stability in their minds is gonna take stability in the numbers I mean what would you and I look at when we look at these GDP numbers that are abysmal.
When we look at something like consumer confidence with which yes is that he get you know -- up but it started sort of trail off.
When we see that it's really hard to get the competence if we don't get the traditional numbers back in light -- we look at jobs again I hate that you'll kick this can it -- this -- award but the truth if we don't get the -- the numbers back up ready to be.
You're not this -- -- in fact here's some points for you.
In the first quarter of 2012.
Mutual fund outflows I think disinfect your one point 19 billion and -- -- learn more about that yeah what about.
I mean.
Some of the suddenly said that that is mostly regular retail money the right -- the investors the Smart money is moving.
-- to market but -- sort of moving they're not putting their money you know in mutual funds -- here in America.
They're moving overseas the emerging markets ETS are some of the night Europe it -- credit really -- are not.
Not Europe we are seeing a lot into -- a little bit of Brazil.
Indian now we -- because the downgrade what we're seeing a lot still to the bricks countries.
Into Russia -- the some -- the smaller developing nations and some of the Latin America's right -- thanks for coming -- really appreciate your time.
