Cover of MoneyWeek issue no 490

The robot revolution

11 June 2010 / Issue 490

Profit from an automated society


  • It's time to buy water utilities
  • Get a 9% yield on this cheap food stock
  • Football's 'Chosen One' returns


You thought we were gloomy?

Talk to enough fund managers over a long enough period of time, and you get used to a high level of general optimism. Crashes are corrections; credit crunches are short-term problems that can be magicked away if you nag the banks hard enough; house prices never fall for long (there’s a shortage of supply you see); equities return, on average, 5.8% a year; Chinese growth will help the West avoid recession… you know the kind of thing.

So most MoneyWeek staff – I’m thinking of Bill Bonner, John Stepek, and myself in particular – are used to being the most pessimistic people in most rooms. That’s why I felt a tad discombobulated when I met this week’s fund manager interviewee.

Aberdeen’s Bruce Stout doesn’t just think things are as bad as we do – he almost trumps our grim forecasts at every turn.

Cut public spending to reduce our budget deficit? Won’t work. Head off deflation? Can’t happen. Maintaining our living standards? Nope…

See what I mean? And that was all before Fitch’s warning on UK debt hit the pound again this week.

• Read the full editor’s letter here:
You thought we were gloomy?