Seeking Alpha

Oaktree: Keep expectations moderate

  • "Managing money in uncertain times," goes the title of Oaktree's (Howard Marks) Barclays presentation. It's a familiar theme of late for Marks. "The price for pursuing safety appears high today, and the price for accepting risk has been low of late. This combination encourages risk-taking."
  • His prescription includes: Keep expectations moderate, remember reasons for caution aren't imaginary - "the improbable disaster" isn't impossible, balance the many pros and cons - "it's not supposed to be easy."
  • Oaktree (OAK) has raised $4.3B for opportunities that didn't exist at the time of its IPO 16 months ago: Senior loans, stressed corporate credits too risky for other strategies, real estate debt, emerging market debt and equity, European dislocation fund.
Comments (1)
  • cejedw
    , contributor
    Comments (9) | Send Message
     
    Very true. Unless OAK invest in emerging markets, which offering favorable risk-adjusted-return (in USD terms) after collapsed recently.
    9 Sep 2013, 11:05 PM Reply Like
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