It’s Time to Rethink Love for Cash With Fed Most Likely ‘Done’
- ‘Cash very rarely outperforms,’ says J.P. Morgan’s Tom Kennedy
- Clients are more overweight cash than they’ve been in a decade
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Wall Street investors sitting on a pile of cash could start considering other opportunities, with the Federal Reserve possibly heading for a pause in interest-rate hikes, according to Tom Kennedy, chief investment strategist for global wealth management at J.P. Morgan.
“Cash very rarely outperforms, and it takes a long time for rates to go up, but they can come down really fast,” Kennedy said on the What Goes Up Podcast. He also estimated that his company’s clients are the most overweight cash now than they’ve been in a decade.