10 Aug 2016 Oaktree’s Howard Marks: invest, but with caution ( Portfolio )

Marks notes the growing realisation of the limits of central banks’ powers.

“They can’t create growth, they can’t create prosperity, they can’t create efficiency. All they can do is make little changes in the shape of the curve and they can cause people to accelerate their buying.

“Economic reality is that they can make people buy today what they would have bought ­tomorrow, but they’re unlikely to be able to make people buy stuff they have no use for. And at this time people are acting as if they have enough of what they need.’’