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Mohamed El-Erian

Dr. El-Erian is CEO and co-CIO of PIMCO and is based in the Newport Beach office.
He re-joined PIMCO in 2008 after serving for two years as president and CEO of Harvard Management Company,
the entity that manages Harvard’s endowment and related accounts.
Dr. El-Erian also served as a member of the faculty of Harvard Business School.

When Markets Collide: Investment Strategies for the Age of Global Economic Change
by Mohamed El-Erian (Amazon)

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Jag tror på Mohamed (El-Erian)
Debt, Lehman and Europe’s game of chicken
Mohamed El-Erian, who resigned unexpectedly as chief executive of Pimco on Tuesday,
has delivered trenchant insights on global finance and economics in the years leading up to the financial crisis and beyond in columns for the FT, as well as A-List blogs and in guest posts on Alphaville. Here are some of his more memorable lines on the biggest financial themes of the past decade.
Financial Times January 22, 2014

“If left unchecked, systemic risk in the international financial system will increase owing to the combination of
insufficient internal due diligence, excessive dependence on rating agencies, uneven supervisory coverage and politically driven legislative reactions”
How to reduce risk in the financial system, July 9 2007

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Jag tror på Mohamed (El-Erian)
Rolf Englund blog 2009-06-18

"We've seen a crisis start in a country — Greece — become regional, impact the whole of the Euro zone and is on the verge of truly going global,"
said El-Erian, CEO of the world's biggest bond fund.
CNBC 6/5 2010

He said the debt is a "transmission mechanism to go from country to region to global. So we should take this very seriously."

Similarly, the US faces a debt burden that, while not as large a percentage of gross domestic product as Greece,

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Away from traditional portfolio theory and more toward "Black Swan" mentalities espoused by author Nassim Taleb.
Pimco bond fund mangers have coined "New Normal" as their outlook for the next several years Pimco's Richard H. Clarida about fatter tails, that less probable events
CNBC 26 July 2010

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Nassim Taleb, professor and author of the bestselling book "The Black Swan,"

"white swan events"

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Why Bernanke Is Right to Be Worried
Originally published on on 3 June 2009
Mohamed El-Erian 3 June 2009

Mr Bernanke acknowledges that, despite the ”green shoots”,
there are still question marks over which components of demand will kick into gear once the cyclical inventory pick-up runs its course,
as it will inevitably do so over the next few months.

Concerns about a sustainable recovery are not limited to the dynamics of the immediate cyclical recovery. Mr Bernanke also notes that ”even after a recovery gets under way, the rate of growth of real economic activity is likely to remain below its longer-run potential for a while, implying that the current slack in resource utilisation will increase further”.

Yet he stops short of addressing what, increasingly, will be on many people’s minds going forward.
Specifically, the longer-term question goes well beyond the notion of a prolonged period of below-potential growth.
The level of potential growth itself is likely to decline.
Indeed, this is a central element of what we, at PIMCO, call the ”new normal”.

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Staying Rich in the New Normal
Bill Gross June 2009

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Why this crisis is still far from finished
Mohamed El-Erian, Financial Times April 24 2008

It is déjà vu for those who remember previous emerging market crises:
imploding balance sheets, a bank run, disorderly falls in the currency
Yet there is a huge difference: this is happening in the US
Mohamed El-Erian, FT March 18 2008