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Goldman Sachs is out with a report recommending an asset allocation trade out of bonds into...

Goldman Sachs is out with a report recommending an asset allocation trade out of bonds into equities. "Given current valuations, we think it's time to say a 'long good bye' to bonds, and embrace the 'long good buy' for equities as we expect them to embark on an upward trend over the next few years." (via)
Comments (4)
  • 867046
    , contributor
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    Ironically, the FED is probably in "the next few years" going to be considering raising interest rates.
    21 Mar 2012, 04:32 AM Reply Like
  • johnanexta
    , contributor
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    Interesting call on equities as they just reiterated their view of slower ~2% GDP growth this year vs other higher GDP forecasts and potential for lower indices by year end from current levels. Not sure if this means lower downside risk in equities or they believe equities will go up.
    21 Mar 2012, 11:54 AM Reply Like
  • Poor Texan
    , contributor
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    Hurry and buy so they can short the market!
    21 Mar 2012, 01:04 PM Reply Like
  • Nicholas Pardini
    , contributor
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    It is well known in the industry that Goldman bets against its own recommendations to clients, so they are probably loading up on shorts or looking to dump inventory. I agree with them on bonds, but there will be another Europe related correction before its time to buy US stocks for the long haul.
    21 Mar 2012, 01:42 PM Reply Like
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