Asset Management:Inflows and Strategy

We had 8 billion of equity inflows in Q2,said Larry Fink,CEO of BlackRock,the world's largest asset manager.I do think for those investors overweight in bonds,I recommend moving some of it into equities,looking at your bond portfolio and moving it from your core strategy into unconstrained strategies.Expect to see tens of billions move to unconstrained bond funds. As more and more moves into etfs,we are gonna be lowering our fees.As of yesterday,we saw 6 billion of inflows into etfs this month.The market has come a long ways.We've seen some very good earnings,but I would never be surprised to see a 5% correction.I look at it as a buying opportunity. We own 5% of PepsiCo.We think Indra Nooyi is doing a very good job.We are very happy with her imaginative team and strategy. I think the Fed will move to a change of policy in the next six months.We should all be prepared.For investors focused on the long term,whether it's in September or December isn't important.We're gonna see a shrinkage of Treasury borrowing for the next five years,with as high as a 5% ten year by 2015,Larry Fink projected. PepsiCo(PEP),BlackRock(BLK)

PepsiCo Confident Going Forward

PepsiCo is confident in meeting the challenges it faces in today's business climate.We really do think we've got a portfolio of brands and market positions that enable us to manage rising costs effectively,says chief financial officer Hugh Johnson.My expectation is,we'll be taking pricing across the whole of our business.Strong brands growth is offsetting higher commodity costs.
While you see some challenges in developed markets,developing markets are growing quite strongly.We feel committed to 7-8% growth this year,Mr.Johnson noted.
PepsiCo beat Q1 earnings estimates slightly on both the top and bottom lines,but has an outlook a little below Wall Street expectations.In December 2010,it announced it was acquiring a controlling stake in Wimm-Bill-Dann,a Russian beverage titan.Wimm-Bill-Dann is the market leader in dairy products and children's food in Russia,Ukraine and the Commonwealth of Independent States,and a major producer of juice drinks.For PepsiCo,it's another move away from carbonated beverages to a much broader porfolio of brands.
PepsiCo is led by CEO Indra Nooyi.
PepsiCo(PEP),Wimm-Bill-Dann(WBD)