Close Close
Sign In
Newsletters
Popular Financial Topics Discover relevant content from across the suite of ALM legal publications From the Industry More content from ThinkAdvisor and select sponsors Investment Advisor Issue Gallery Read digital editions of Investment Advisor Magazine Tax Facts Get clear, current, and reliable answers to pressing tax questions
Luminaries Awards
Podcast Center Video Center Webcasts Resource Center Events
About ThinkAdvisor Contact Us Advertise With Us Asset & Logo Licensing Sitemap Terms of Service Privacy Policy Copyright © 2024 ALM Global, LLC. All Rights Reserved.
ThinkAdvisor

Portfolio > Economy & Markets > Stocks

'DWS Scudder's Dr. Bob Outlines His Latest Bets

By Janet Levaux

X
Your article was successfully shared with the contacts you provided.

(Phoenix) How does the chairman of DWS Scudder’s Investor Strategy Committee feel about the market’s short-term potential? Robert Froehlich, aka Dr. Bob, forecasts the market will be up 7 percent to 8 percent in the fourth quarter.

The market’s late ’06 rally, explains Froehlich, is based on strong profits and earnings, which have been expected to rise 12 percent in 2006. He says it’s more likely that earnings will be up 15 percent vs. ’05.

Froehlich shared these views Oct. 27 during Commonwealth Financial Network’s national conference, held at the JW Marriott Desert Ridge Resort & Spa. This came on the heels of DWS Scudder’s five-week, 37-event road show.

In the short term, he suggests that investors look at financial services and consumer-discretionary stocks. Over the next decade, the strategist is bullish on companies that make up the China-Japan corridor, says Froehlich, who’s been to China three times in the past 18 months.

In general, he urges investors to diversify their portfolios – namely by adding more stocks, commodities and real estate. And he makes a big push for international stocks, saying they should make up as much as 90 percent of a stock portfolio.

For investors not ready to put 90 percent of their equity investments into overseas companies, he suggests that advisors gauge their comfort level — and then multiply the figure by two. “As a global investor, I’m pushing the envelope,” Froehlich shares.

NOT FOR REPRINT

© 2024 ALM Global, LLC, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to [email protected]. For more information visit Asset & Logo Licensing.