Tag Archives: Derek Burleton

Forecasts from Canadian Economist Derek Burleton … Trump Policy, US Economy, Rates, US Dollar and Oil Prices

Posted on February 15, 2017 by | Leave a comment

Earlier this month at our “Out West” conference where “The Brain” crashed the party in  32 minutes, we had the opportunity to listen to famed Canadian economist, Derek Burleton.

We greatly enjoy hearing from stately folks outside the borders of the US for several reasons …

  • What exactly do people in their geographic area think of the situation?
  • Receiving differing media reports may lead to a totally different and valuable views.
  • Countries with TOTALLY different governments may have clarity that we may take for granted.

Derek Burleton Forecasts20170202_211041438_ios

Trump policies will likely not make major changes to the economy. Burleton likens economies to air craft carriers that are very hard to turn and only slightly changed by policy.

Given the above fact, in the short term, Burleton thinks the capital markets could be due for disappointment, as the markets may be pricing in too much optimism currently.

Rates will rise twice in 2017 and again in 2018. Interestingly the fed has said three times this year and recently are saying even more lately….

US Dollar and Oil are both at near term (12 month) highs.

We like the forecasts as a vote of calmness and reasonable expectations. Thanks Derek… we will be watching as this unfolds.

John A. Kvale CFA, CFP

Founder of J.K. Financial, Inc.
A Dallas Texas based fee only
Financial Planning Total Wealth
Management firm.
www.jkfinancialinc.com
www.street-cents.com

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Posted in Economy, Forecast, Interest Rates, Investing/Financial Planning, Market Comments, Political, World Political

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Repatriation/Tax Holiday of Foreign funds? Yes or No

Posted on February 8, 2017 by | Leave a comment

In our continued crossover theme from our Out West Conference, this item was discovered while reviewing the tons of notes taken and prepping for more detailed articles in the coming Newsletter. Nice find!

As a reminder, a crossover occurs, in our minds, when several experts unknowingly say, predict, or comment on the same event or action. We like the chances of such an event when multiple parties agree, and in this case, we even chime in too.

Repatriation of Foreign money held hostage by US companies

Call it a tax holiday, repatriation or whatever term you may like, our experts agreed totally that allowing US companies to bring money back into the US would be terrific idea. Currently, companies have been strangled by a double tax hit if they bring “Already Taxed once” foreign earnings back into the US.20170202_165920762_ios

David Cameron, the famed former Prime Minister/President of Britain “It’s senseless to hold hostage US company money overseas!” He suggested a low tax of 6-8% to allow funds to be brought back into the US and said it would be a nice tail wind.

Derek Burleton, expert Canadian economist “US Corporate tax rates are a big mess and need to be fixed. Allowing funds back into the US from multinational firms is a great idea and would help the economy!”

We could not agree more.

  1. There will be uses of funds that not all agree are good.
  2. The spirit of free trade and borders is being hampered in our opinion by double taxing foreign earnings re-entry.
  3. The World is a MUCH smaller place.
  4. Free flow of capital will eventually find it’s best use, artificially hampering this can cause inefficiencies.

Have a great “Tax Repatriation” Day!

John A. Kvale CFA, CFP

Founder of J.K. Financial, Inc.
A Dallas Texas based fee only
Financial Planning Total Wealth
Management firm.
http://www.jkfinancialinc.com
http://www.street-cents.com

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Posted in Forecast, Investing/Financial Planning, Political, Tax Related

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Will the European Union/Euro Survive ?

Posted on February 6, 2017 by | Leave a comment

The neat thing about listening and visiting with so many “Experts” last week is when several crossovers occur. By crossover, we mean different experts unknowingly saying the same thing.

European Union Survival?

The Euro, a combination of 28 different countries (founded in 1999) all linked to one currency with a common goal of trade and a common currency to ease flow of funds,  had a shot fired across the bow of its boat in 2016 with the British vote – Brexit – vote to leave, costing David Cameron his job.

David Cameron (the newly much higher respected) former Prime Minister/President of Britain, who lost his job over the locals vote to leave, said there is only one thing that would cause the Euro to split.

Oddly, a terrific crossover by Canadian Economist, Derek Burleton (more fantastic info to come soon) echoed the same EXACT kryptonite for the European Union.

Marine Le Pen elected as France leader would mean possible end to European Unionle_pen_marine-9586

We do not have a say, we are not familiar with Mrs. Le Pen, we are only announcing what two VERY distinguished experts said exactly the same un-knowingly at different moments at our event.

Mark the calendars as the election is April 23, 2017 !

Of course a split up of the European Union would have consequences for the global economy. We have interesting thoughts on these possible “consequences” should this occur….closer to the vote !

For the record, both Cameron and Burleton gave a very low probability of Mrs. Le Pen being elected.

Thanks for the forecast !

Have a GREAT “Forecast” Day!

John A. Kvale CFA, CFP

Founder of J.K. Financial, Inc.
A Dallas Texas based fee only
Financial Planning Total Wealth
Management firm.
www.jkfinancialinc.com
www.street-cents.com

 

 

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Posted in Investing/Financial Planning, Market Comments, Political, World Political

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