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That's the power of global connections, Merrill Lynch Pierce Fenner and Smith, Inc. Member SIPC. Welcome to the Bloomberg Surveillance Podcast. I'm Tom Keene with David Gura.

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Always good to speak with Jim McCon, with principal global Investors, their Chief Executive Officer, and really

looking at the overarching linkage of investment into all the other economic

mumble jumbo we walk about if nominal GDP is reduced if it's a single-digit

world why are we seeing double-digit equity gains we're seeing seeing double digit equity gains

Tom because of primarily the deregulation and lower and lower tax agenda of the new administration in the United States.

It's really just arithmetic that lower tax makes equities more valuable.

The deregulation is seen for many companies as potentially increasing profits,

for example in the banking sector.

So I think that's what's going on here, rather than discounting of a lot more future

nominal growth.

How does that affect how you're allocating right now?

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