Money Life with Chuck Jaffe

BlackRock's Chaudhuri: It's not a market downturn, just 'a regular cleaning period'


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Gargi Chaudhuri, chief investment and portfolio strategist for the Americas at BlackRock, says the market's recent action represents "a fairly healthy pullback," the kind of periodic "cleansing" that markets go through, and that the recent action is less based on whether earnings can continue to drive valuations higher than it is on nervousness over the Federal Reserve's next move. Chaudhuri says that the current focus on whether the Fed will cut rates again in December is misplaced, because continued earnings growth, gross domestic product numbers and the fundamentals of the stock and bond markets will do more to determine how long the bull market lasts. That long view also coincides with BlackRock's latest "People and Money Survey," which Chaudhuri noted showed that staying invested long-term and riding out markets rewards investors more than trying to time markets.

David Trainer, founder/president at New Constructs, says that agentive artificial intelligence has advanced to where it can provide investors with a real edge when it comes to choosing superior stocks and funds, and he warns that people who don't adopt AI for at least a part of their portfolio will be dooming themselves to below-average returns. He also explains how these forms of AI are different from the ones that are known for giving bad answers to personal-finance questions, which Chuck discussed on the show last week with Robert Farrington of The College Investor.

Plus, Peter Krull, director of sustainable investing at Earth Equity Advisors, returns to the show after his recent appearance in the Market Call to discuss his new book, "The Sustainable Investor: Responsible, Impactful, and Values-Driven Investing Strategies and Practices for Financial Professionals." Krull discusses past, current and future forms of "responsible investing."

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Money Life with Chuck JaffeBy Chuck Jaffe

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