Jeremy Grantham wrote another incredible piece last week on debt, the market and where things are heading. It's fairly dense and I had to read it twice, but it's really well written. As a refresher, Grantham runs a highly quantitative money management business, and tends to think in terms of standard deviation and returning to the mean. He is the guy who was on the cover of Barrons in late 06'/07 saying that the market was going to plunge and that was the greatest Bear Market Trap in history. He took a ton of grief for it and it turned out he was write. I've been reading him for 8 years and he's made me way smarter.
Thanks to Todd Ammons and Jeremy Hartman for sending this in.
Jeremy Grantham Q1 2009 Quarterly Letter