This week, he was interviewed by Business Standard reporter Puneet Wadhwa and provided some key insight about where the U.S. economy is headed in 2013 .
"I think the global economy is going to perform less than its long-term potential capability in 2013," said Waddell. "Therefore, what we have been advising our clients to do is allocate their assets in areas where we do see growth."
According to Mr. Waddell, those areas include India and China. He told Wadhwa that Northern Trust's clients have "exposure to more than $3 billion in Indian equities," while the Chinese economy is projected to grow 7 to 8 percent--as opposed to the U.S. and India which are expected to grow at a smaller rate.
As 2012 comes to a close, the latest Purchasing Manager's Index (PMI) showed signs of promise for the global economy as a whole. While the manufacturing industry is becoming more stable, IB Times reporter Bhaskar Prasad found that employers are remaining "cost-cautious" and cutting back on hiring due to concerns about the "fiscal cliff."
But that doesn't mean hiring will not increase in the future.
A recent CNN Money article features a hopeful jobs forecast for the final quarter of 2013. As President Obama begins his second term, he is expected to work diligently to restore confidence with employers about fair tax rates. Yet, some analysts believe that his promises to cut payroll taxes for small business owners is deceptive in theory.
As the clock strikes midnight on January 1, 2013, investors will be cautious to see just how "happy" the New Year will be.
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