Thursday March 27, 2008

Think Global

Wall Street investment expert Bob Froehlich tells students that, as the U.S. teeters on a recession, it's a smart move to invest globally.

Investing globally is the single best strategy investors can employ in 2008.

That's according to Bob Froehlich, chairman of the investor strategy committee for Deutsche Asset Management. A University of Dayton alumnus and trustee, he spoke to a group of more than 200 prospective and University of Dayton students March 26 about his top 10 investment strategies for the year. The reception, held in the Mathias Heck Courtroom in the School of Law, offered a preview to this week's RISE VIII Global Student Investment Forum on campus.

RISE is the world's largest student investment forum. More than 2,300 students, faculty and investment professionals will take part in RISE over the next three days. In all, 257 universities from 69 countries are represented.

Froehlich said investing globally is smart because the global economy is doing better than the national economy.

"You can invest all your money in the United States of America, (and) our economy is on the brink of a recession. …Meanwhile, the rest of the world is growing at 6 percent," Froehlich said. "Where do you think your chances are to make three times as much money?"

Froehlich's advice resonated with some students.

Jason Mills, a first-year finance and entrepreneurship major, has been investing on his own since he was 14 years old.

"Global investing is definitely where it is," said Mills, a member of the UD's finance club.

Mills, who hopes to work at an investment management firm after graduate school, manages friends' finances as well as his own, and he listened attentively to Froehlich's advice.

"I'm already a personal investor, so I took notes on everything he said," Mills said.

Froehlich also called for investing in climate change. Because more businesses are investing in the environmental sector, investors would be smart to place their money there.

Froehlich also noted that investors are noticing that governments are making defense purchases. Many countries are buying defense because they're located in geographic regions facing political unrest. Other countries are buying in the defense sector because they want their militaries to become more technically advanced, he said. This "hot sector" likely will pay dividends, according to Froehlich.

Froehlich, a Wall Street investment expert and bestselling author, is frequently featured on Bloomberg News, CNBC, CNN and FOX News. He is on campus this week to moderate the keynote panels of the RISE VIII forum and take part in NASDAQ's first live remote closing bell ceremony on a university campus.

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