WEBVTT - Single Best Idea with Tom Keene: Marta Norton & Brian Belski

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<v Speaker 1>Bloomberg Audio Studios, podcasts, radio news.

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<v Speaker 2>The single best day.

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<v Speaker 3>It was an odd day. It started at seven pm

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<v Speaker 3>last night when the Japanese market opened. Yes, I'm on

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<v Speaker 3>my iPhone with the Bloomberg app. It's phenomenal, all the

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<v Speaker 3>information you need, equities, bonds, currencies, commodities. And by midnight

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<v Speaker 3>we were really off to the races with some continued

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<v Speaker 3>angst and the global market generally witnessed in bonds with

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<v Speaker 3>yield up, price down, the classic inverse relationship. Things improved

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<v Speaker 3>two am, three am, but we came in here with

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<v Speaker 3>the backdrop of the legislation in Washington. There was a

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<v Speaker 3>real diceiness to it. As I taped this bitcoin over

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<v Speaker 3>one hundred and seven thousand gold up twenty dollars, says all,

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<v Speaker 3>I have no idea where will be this afternoon, which

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<v Speaker 3>is what keeps us going. One of the great moments today,

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<v Speaker 3>Martin Norton joined us from Empower Full Disclosure, Empower the

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<v Speaker 3>people that handle my retirement plan, everybody else at Bloomberg,

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<v Speaker 3>you know, the administration and all that. They're out of Winnipeg, Canada,

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<v Speaker 3>and Marta Norton is is also at a morning Star

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<v Speaker 3>and she said something brilliant that should be bronzed across

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<v Speaker 3>all of our minds on investment. Here Marta Norton on philosophy.

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<v Speaker 1>My kind of grounding at morning Star. One of the

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<v Speaker 1>biggest takeaways that I had to your point, I grew

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<v Speaker 1>up as an investor at morning Star. It was the

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<v Speaker 1>importance of an investment philosophy, having a point of view,

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<v Speaker 1>a framework that would help you distill what's happening in

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<v Speaker 1>the markets and make determinations going forward. If you look

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<v Speaker 1>at you know, kind of the most successful strategies out there.

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<v Speaker 1>They're not successful in every environment, but they have a

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<v Speaker 1>touchstone that they return to, and I think those touchstones

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<v Speaker 1>are really important to navigating shopping markets.

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<v Speaker 3>I of course selected that first the best idea because

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<v Speaker 3>I incredibly agree with it. If you don't have a philosophy,

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<v Speaker 3>either find one or find somebody who has a philosophy.

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<v Speaker 3>You think you have but you don't have it. If

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<v Speaker 3>you do have a philosophy, stick with it and test

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<v Speaker 3>it in your mind each and every day, which is

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<v Speaker 3>what you do within the focus on the media and

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<v Speaker 3>however you get your information on equities, bonds, currencies, commodities,

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<v Speaker 3>on equities. Brian belksk. He enjoy this. Brian Belski of

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<v Speaker 3>BEMO Capital Markets the Bank of Montreal, Brian Belski on

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<v Speaker 3>the oddities of the moment, he thinks we've come too far,

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<v Speaker 3>too quick, but nevertheless he remains a bull.

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<v Speaker 2>Let's listen, shocks can go up when yields go up.

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<v Speaker 4>You know, the average ten year treasury of the last

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<v Speaker 4>seventy five years is five percent.

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<v Speaker 2>Zero percent is not normal.

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<v Speaker 4>What's happened in the said since November of two thousand set,

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<v Speaker 4>I'm sorry, August of two thousand and seven is not normal,

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<v Speaker 4>And I think we're kind of returning to normalcy on

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<v Speaker 4>the bond side of things. Even though we're primarily equity people,

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<v Speaker 4>we believe the majority of returns total returns of bonds

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<v Speaker 4>the next ten years is going to be about yield,

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<v Speaker 4>not price performance. Remember the last forty years, we've seen

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<v Speaker 4>massive all performance of bonds for the most part, and

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<v Speaker 4>we've had great price performance.

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<v Speaker 2>So I think Tom that we're entering into.

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<v Speaker 4>This period where more even returns for stocks high single digit,

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<v Speaker 4>low double digit.

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<v Speaker 2>Same thing with Ernie's growth.

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<v Speaker 4>Where a yield environment that can kind of hover in

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<v Speaker 4>this three fifty to four to fifty range predominantly.

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<v Speaker 3>And again in conversation from another time and place. If

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<v Speaker 3>yield moves higher and fixed income goes down in price,

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<v Speaker 3>connequities cut either way. Conn equities go down within the gloom,

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<v Speaker 3>our connequities prosper within Belski's normal environment. He's with Bemo

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<v Speaker 3>Capital Markets on your commune across the nation. Special things.

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<v Speaker 3>Google out with their road show yesterday. I'll be honest,

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<v Speaker 3>they haven't even reviewed it. But the answer is Android

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<v Speaker 3>to YouTube, then you go to Bloomberg podcast that's the

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<v Speaker 3>easiest way to get there, and thank you for your

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<v Speaker 3>support there out on YouTube podcasts. This is a single

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<v Speaker 3>best idea.