Without overreacting, concern about North Korea will be rational for any investor. Just ask Warren Buffett. Last week the globe’s second-richest man said, “We have increased the ability of perhaps even an individual, perhaps a group, perhaps a nation … to kill millions, millions, millions of people in 1 stroke.” Buffett added, “We got a fellow in North Korea [that has a] very poor country, spending a way disproportionate amount of its GDP working on missiles which can hit California. which’s crazy,” he said. “Wish I had a solution for the item, yet I don’t.”
the item’s the “lack of solution” part which should bring investors backs to their senses, because especially in a markets’ sense, there isn’t anything investors can do about weapons of mass destruction. Do you genuinely want to try along with master game theory as an investor? The Wells Fargo Investment Institute has done some of which work for investors already, anyway.
“When you start assessing what the different outcomes might be along with assign probability to each one, we still believe its biggest ally along with biggest adversary, China along with the United States, will together partner in order to put enough diplomatic pressure on North Korea to bring them back to table,” said Sameer Samana, global quantitative strategist at the Wells Fargo Investment Institute, which recently sent some of its team on an Asia tour along with trip to South Korea.
additional Asian investing specialists agree. Michael Oh, portfolio manager at Matthews Asia — the largest Asia-only investment manager based within the United States, with more than $31 billion in assets under management — wrote to the firm’s clients at the height of summer tensions: “A positive outcome out of This particular complicated situation will be which This particular may force China, Russia, South Korea, North Korea along with the U.S. to finally engage in some kind of multilateral dialogue.”