Importance of Value

by | Jun 28, 2011 | Archives

There is growing importance in seeking value.

Our International Investing and Business Seminar concluded Sunday.  In the seminar we reviewed how several economic fundamentals have come together to make investing very difficult now… low interest rates… inflation… several serious crisis points (Greece… US debt… Japan’s natural disasters to name three)… changing global economic reference points and aging demographics in the Western economies.

All the speakers agreed that extra diversification… reduced leverage and extra focus on finding value were all urgent now.

JGAM’s Investment Committee held its ordinary, monthly meeting and reported a similar idea.  Lars Stouge of JGAM worte:

Ahead of the meeting we had a visit from BCA’s Chief Editor, Martin Barnes. We discussed with Martin how to invest in an environment of poor growth, high unemployment, no inflation, sovereign debt problems, tight fiscal policy and low interest rates. Martin’s recommendation was “stay well diversified”, which is exactly what we strive for at JGAM. Read more about Martin’s views in our Asset Allocation Strategy report on

The adjustments we have made to the portfolios include a move into more defensive stocks, a swap from oil to Canadian dollar and a redistribution out of Mexican peso and into a Malaysian ringgit bond giving indirect exposure to the appreciating Chinese currency.

Learn more about JGAM’s diversification from Thomas Fischer

Non American investors should contact Jyske Bank’s René Mathys at

Ecuador’s best real estate value remains on the beach.

One area we viewed where extra value exists now is on Ecuador coast. Here is an example.

A Salinas Ecuador real estate broker sent me a note about this low cost condo with a $70,000 asking price.


“Many clients are looking for a property with a good amount of interior space, in a nice neighborhood, where they can enjoy the beach life, at a price of under $100,000.

“My advice to them is to look just a few blocks off the beach.  Like anywhere else, the ocean front properties in Salinas carry a bigger price than those just off the beach.  These off beach properties are often in better shape than those right at the water’s edge as they take less wear and tear from the salt air. Another benefit, the owner of an off-beach property doesn’t have the expense of maintaining a seawall, as many oceanfront property owners do.

“A  property that fits the bill is a 3 bedroom, 2 bath condo with service quarters, in a small complex with a nicely landscaped pool area.  Sit at the pool and enjoy your own tropical paradise.


?Walk just a few blocks to the beach.  The condo includes a private parking spot and furnishings.


“The asking price is $70,000.”


Learn about Ecuador real estate tours.

Join us for our October 7-8-9 International Investing & Business Seminar in West Jefferson, North Carolina.

Get a free Bahia Ecuador beach report.