An approach by the Federal Reserve of QE3 would be the wrong path to take to improve the US economy, notes Michael Litt, founder and chief investment officer at Arrowhawk Capital Partners.
The Federal Reserve Open Market Committee (FOMC) has announced a bond swap, with plans to purchase $400 billion in longer-term securities while selling an equal amount of short-term ones by June 2012.
As the Federal Reserve moves toward new steps to purchase long-dated Treasury bonds and decrease interest rates on long-term loans, investors question the impact on liability-driven investment.
Former Federal Reserve Chairman Alan Greenspan declared in a June 16 interview that a Greek default is “almost certain” and could precipitate another U.S. recession.
According to the Federal Reserve's latest Flow of Funds report corporate defined benefit and defined contribution plans enjoyed an increase in assets amid strong equity returns as of March 31.
Federal Reserve Chairman Ben Bernanke has said the Fed will unveil new regulations that would guard the US economy from another meltdown of the nation's largest financial companies.
The Federal Reserve has announced that it now expects headline inflation to reach 2.1-2.8% during 2011 before returning to the official target of under but close to 2% in the following year.
Investment consultants at Mercer, Rocaton, and Towers Watson share their views with aiCIO readers on the short and long-term impacts of the Federal Reserve’s second bout of bond purchases (QE2) for US pension funds and for the economy as a whole.
aiCIO Editor-in-Chief Kip McDaniel speaks with Bob Prince, co-CIO of Bridgewater Associates, and Bryan Belton and Eddie Qian of PanAgora on the Federal Reserve's second round of Quantitative Easing (QE2).