Asset Allocation

Behind the Numbers, with Mark Balasa

For Mark Balasa and his colleagues in The Alpha Group the new year rolls in with a combination of positives and negatives. “On the positive side I think that some of fundamental economic numbers are gaining momentum,” says Balasa. “On the negative side would be the policy decisions being made in Washington.” At head of that list of policy concerns “would be the spending that’s taking place in Washington and what that means for our currency and our markets.” As far as investments go, Balasa says that on the fixed income side, it’s time to embrace some level of credit risk and move away from Treasuries. “On the equity side we think it’s going to be the emerging and developing markets. Even though the run-up’s been substantial we still think long-term, even in the intermediate, that there’s some opportunity there for above market returns relative to the U.S.”–Robert F. Keane