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Alternative Market Briefing

Ineichen finds global macro economy is just 'muddling through

Tuesday, April 02, 2013

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Alexander Ineichen
By Beverly Chandler, Opalesque London:

Alexander Ineichen, founder of Ineichen Research and Management AG, a research firm that focuses on risk management, absolute returns and thematic investing was interviewed by Sona Blessing for Opalesque Radio in March. Ineichen is a hedge fund industry veteran, having been Head of Industry Research for the hedge fund platform at UBS Global Asset Management and author of "Absolute Returns-The Risk and Opportunities of Hedge Fund Investing" and "Asymmetric Returns - The Future of Active Asset Management", both for Wiley Finance.

Asked what his thoughts were on the global macro economic situation at the moment, Ineichen declared that global economy is just muddling through. "Its not an ecstatic expansion like we saw in the 1980s or 1990s" he said, "but its not a depression its something in between." Ineichen felt that the global economy is being kept alive artificially through an unprecedented monetary and fiscal policy. "The two stimuli stop the situation from getting worse."

The combined efforts at governmental level have resulted in asset price inflation, Ineichen said. He quoted Herbert Steins law, "If something cannot go on forever, it will stop this is my attitude. Its difficult to anticipate or time wh......................

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