This Day On The Street
Continue to site
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here

SALT 2013: Why We Remain in Bull Market Territory

LAS VEGAS (TheStreet) -- The Skybridge Alternatives (SALT) Conference kicked off on an optimistic note on Wednesday, with a presentation by David Darst, managing director & chief investment strategist of Morgan Stanley(MS - Get Report) Wealth Management, who delivered an impassioned speech on the markets and the global environment.

Citing the leading asset classes of the last ten years -- Latin American equities up 22.8%, gold up 17%, Master Limited Partnerships (MLPs) up 16.5%, emerging market equities up 16.4%, Australia Equities up 15.2%, Canadian equities up 13.7% and emerging market debt up 12.0% -- Darst then focused on why the market has surged of late....and, more importantly, why there is more room to go.

In particular, Darst noted five major events we have avoided, allowing the market to continue its upward slope: (1) We have had no armed conflict between Iran and Israel, (2) no messy Greek exit, (3) no Chinese hard landing, (4) no double-dip recession in the US, and (5) no fiscal cliff in Congress. Of course, this has been supplemented by helpful "yes" factors, including Mario Draghi asserting he would do whatever he can to save the Euro, QEIII (Sep 13) and QE IV just three months later.

And to the bears, he said: Is the fed tightening? No. Are valuations stretched? No. Is investor euphoria present? No. Are bond-yield spreads widening? No. Is there a recession looming? No. Are the transportation sectors, banks and small caps taking bullets? No.

Must Read: Has Prom Spending Gotten Out Of Control?

These echo many of the reasons behind the optimism we have cited consistently on Mad Money.

Plus, when looking at the money flow over the last ten years, stocks are glaringly left out of the picture: As Darst outlined, we have had Central Banks buying government securities, banks buying liquidity, corporations buying cash, endowments and foundations buying alternative pensions, mainstream individual buying bonds and ultra-high net worth investors buying trophy assets (real estate).

Of course, flexibility -- the willingness to embrace ambiguity -- is a key component of benefitting from this rally. And as Darst eloquently put it: "Take cookies when cookies are passed. Grab a cookie. Realize that they may not come around again."

TheStreet will be live-blogging from the Salt Conference on Thursday 9 May, starting at 1.45 PM ET.

--Written by Nicole Urken in Las Vegas.

Check Out Our Best Services for Investors

Action Alerts PLUS

Portfolio Manager Jim Cramer and Director of Research Jack Mohr reveal their investment tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
Quant Ratings

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
Stocks Under $10

David Peltier uncovers low dollar stocks with serious upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
14-Days Free
Only $9.95
14-Days Free
Dividend Stock Advisor

David Peltier identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Updates with exact steps to take - BUY, HOLD, SELL
Trifecta Stocks

Every recommendation goes through 3 layers of intense scrutiny—quantitative, fundamental and technical analysis—to maximize profit potential and minimize risk.

Product Features:
  • Model Portfolio
  • Intra Day Trade alerts
  • Access to Quant Ratings
Real Money

More than 30 investing pros with skin in the game give you actionable insight and investment ideas.

Product Features:
  • Access to Jim Cramer's daily blog
  • Intraday commentary and news
  • Real-time trading forums
Only $49.95
14-Days Free
14-Days Free
MS $26.28 -2.27%
AAPL $94.19 -1.04%
FB $118.06 0.54%
GOOG $695.70 0.48%
TSLA $222.56 -4.20%


Chart of I:DJI
DOW 17,651.26 -99.65 -0.56%
S&P 500 2,051.12 -12.25 -0.59%
NASDAQ 4,725.6390 -37.5850 -0.79%

Free Reports

Top Rated Stocks Top Rated Funds Top Rated ETFs