Tuesday, July 31st. Welcome to Market Fullery. I'm Chris Ellen joining me in

studio today for a million dollar portfolio Charlie Travers. From Motley

Full 1, Jason Moser and for Mot Motley Inside Value, Joe Maker.

Gentlemen, happy Tuesday.

Hello, and we, earnings Palusa just rolls along.

We've got earnings from BP, Pfizer, and Coach,

but we are going to start today with one of the big names in investing and that's

Bill Gross. For those who may not know, Bill Gross is the co-founder of PIMCO and he runs the

largest bond fund in the world and in his latest monthly letter

he shares his belief that future stock returns will be lower and Joe I'll start

with you I'm not going to read his entire letter

because frankly, we don't have that kind of time.

But he basically says when you factor in the slowing GDP growth

and sort of you look over the last four decades and how we've gotten this

historical real return of about six and a half percent in the stock market when you

back out inflation that sort of thing he basically says that can't happen anymore. That's just not

going to happen. Before we get into what we should expect, what did you think when you saw the letter? I wasn't shocked. I mean

Bill Gross has long been a proponent and PIMCO of this new normal so that the

economy has slowed down and that we're not going back to kind of where we were say

eight, nine years ago.

I do disagree with this take and maybe not surprising, he's a bond guy and I'm a stock

guy, but over the last 30 years, this is the first rolling 30 year period where bonds outperformed stocks since the Civil War.

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