Larry Fink (LF) believes that the euro will slide to $1.20 against the dollar. This is because there is a fundamental problem to the euro currency. That is that most European sovereign credit is owned by the banking system. At one point in time, the credit ratings of Ireland's debt and Germany's debt was the same, which is clearly inappropriate. The only reason why the euro has not slid to the level forecasted by Larry is the QE policy employed by the Federal Reserve in the US.
Larry believes that the best asset strategy for the current economic circumstances is to buy a portfolio of dividend stocks for the long-term. This is ironic as Larry is one of America's most widely respected debt investors.
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