Howard Marks: Opportunities in China and Italy

In this interview with Bloomberg, Howard Marks shares his views on the US economy, the opportunities he sees in China, and the debt woes in the country’s real estate market.

Here are a few key take-aways from the interview:

  • The era of ultra-low interest rates is over, ushering in a prolonged period of lending, fixed-income investing, and credit investing. The Federal Reserve’s rapid cycle of rate hikes has ended the loose monetary policy of the past two decades. Marks believes the Fed may have erred by keeping interest rates too low for too long, leading to investments that otherwise would not have been made.
  • Despite geopolitical tensions, Oaktree will continue to invest in China as its current investments continue to yield good returns.
    Oaktree currently holds 40 billion yuan ($7.52 billion) across stocks, public and private debt, and real estate in the Greater China region and is seeking more opportunities in China’s loan market.
    Marks believes the US and China will be rivals rather than enemies, and that they will “get along”.
  • Oaktree Capital Management has taken ownership of the Italian football club Inter Milan after the club’s Chinese owner defaulted on a €395 million loan.
    The investment firm emphasized its commitment to the long-term prosperity of Inter Milan and its shared ambitions with the club’s passionate fanbase.

Share the news

Disclaimer of liability

The above has been prepared by Børsgade ApS for information purposes and cannot be regarded as a solicitation or recommendation to buy or sell any security. Nor can the information etc. be regarded as recommendations or advice of a legal, accounting or tax nature. Børsgade cannot be held liable for losses caused by customers’/users’ actions – or lack thereof – based on the information in the above. We have made every effort to ensure that the information in the above is complete and accurate, but cannot guarantee this and accept no liability for errors or omissions.

Readers are advised that investing may involve a risk of loss that cannot be determined in advance, and that past performance and price development cannot be used as a reliable indicator of future performance and price development. For further information please contact info@borsgade.dk

You might also find this interesting:

François Rochon: Never Overpay – Even for The Best of Companies

In this interview, Francois Rochon, CIO of Giverny Capital, discusses how a handful of dominant companies—such as Amazon, Apple, Microsoft, and Nvidia—have significantly influenced the S&P 500’s performance in recent years. Their rapid growth has increased their weighting in the index, encouraging more investors to adopt indexing strategies, which further reinforces their dominance.

Li Lu: Charlie Munger’s enduring legacy

This is the first interview Li has accepted with domestic Chinese media after four years. In the interview, Li recalled his mentor Munger, summarized his spiritual legacy, and pointed out that it was Munger who made value investing possible in the global practice.

Christopher Bloomstran: Value, Patience and Trust as An Edge

In this interview, Christopher Bloomstran, CIO of Semper Augustus, offers a wealth of insights into value investing, ethical business practices, and the critical role of patience and trust in achieving long-term success in both investing and life.