James Montier: Abandon austerity, forget inflation, avoid Japan?

Merryn Somerset Webb and value investor James Montier don't quite see eye-to-eye on Britain's inflation problem, and Japanese stocks.

I met James Montier at the London Value Investors Conference a few weeks ago. He was speaking in a sparkling line-up. I was spectating. There wasn't much time. So we agreed to a quick interview when everyone else was having their lunch. Then, in the interests of skipping small talk, we went straight into the thing on both of our minds the currency wars.

On the day we met, Australia had just unexpectedly cut its base rate from 3% to 2.75% in the 511th base-rate cut by a central bank since the global financial crisis began. That means that there is now no major country that is not involved in some kind of effort to push down the relative value of its currency to help out its domestic economy. Given that, how on earth are we supposed to invest?

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Merryn Somerset Webb

Merryn Somerset Webb started her career in Tokyo at public broadcaster NHK before becoming a Japanese equity broker at what was then Warburgs. She went on to work at SBC and UBS without moving from her desk in Kamiyacho (it was the age of mergers).

After five years in Japan she returned to work in the UK at Paribas. This soon became BNP Paribas. Again, no desk move was required. On leaving the City, Merryn helped The Week magazine with its City pages before becoming the launch editor of MoneyWeek in 2000 and taking on columns first in the Sunday Times and then in 2009 in the Financial Times

Twenty years on, MoneyWeek is the best-selling financial magazine in the UK. Merryn was its Editor in Chief until 2022. She is now a senior columnist at Bloomberg and host of the Merryn Talks Money podcast -  but still writes for Moneyweek monthly. 

Merryn is also is a non executive director of two investment trusts – BlackRock Throgmorton, and the Murray Income Investment Trust.