Grantham Predicts A Bust ‘Unlike Any Other’

GMO co-founder and chief investment strategist Jeremy Grantham is well known for having predicted both the late 90s tech bubble and the recent housing bubble, and now he sees an equity bubble driven by the Federal Reserve’s loose monetary policy and years of qualitative easing.

Seven years of lean

“Over the next seven years we think the market will have negative returns,” says Grantham, reports Jared Lynch for The Sydney Morning Herald. “The next bust will be unlike any other because the Fed and other central banks around the world have taken on all this leverage that...