Jim Mellon and Al Chalabi, authors of The Top Ten Investments for the Next Ten Years, views on the credit crunch

Inevitable yet surprising how long it has taken for the “crunch” to impact the market say Jim Mellon and Al Chalabi, authors of The Top Ten Investments for the Next Ten Years published by Capstone, a Wiley Company. Since the initial market wobble in August, investors have been in denial and the market rallies resumed for  several months, but now it appears that the party is definitely over.

It will likely be a long road to recovery, especially in the US, and perhaps the UK. The parallels with Japan's decade-long recession in the 90's were once dismissed but are now being made again by many
economic pundits. The risk of deflation in the medium-term in the US is real – after all, what else can the Fed do to stimulate the economy if it remains sluggish despite interest rates being cut to below 1%?

The world's economic health will no doubt suffer as a result of the West's financial woes. China's domestic demand will help provide an economic buffer to exporting countries but the Anglo Saxon economies are not likely to recover until the events have fully run their course, probably by the end of the decade. Cash-rich institutions/governments, such as those in China and the Middle East will use this turmoil to go bargain basement shopping.

Jim Mellon is an investor with interests in several industries.  After leaving Oxford in 1979, where he studied PPE, he worked in Asia and the United States in two fund management companies, GT and Thornton, before establishing his own business in 1991. This now has two components – a listed fund management company - Charlemagne Capital - and an Asian mining group, Regent Pacific.  In addition, Jim is the controlling shareholder and a director of Conister Trust, an Isle of Man based bank, Speymill Group, a property business, and Betinternet.  He is a co-founder of Uramin and Red Dragon Resources, both listed mining groups.  Burnbrae, his private company, is a substantial landlord in Germany and in the Isle of Man, and also owns the hotel chain Sleepwell Hotels.  Jim spends most of his time working on startup ideas and on investing.  He lives in the Isle of Man and Ibiza.

Al Chalabi is a business consultant, entrepreneur and author who has been based in Asia for eleven years and has extensive experience of developing economies. He assists corporations establish and grow their operations in Asia, particularly in emerging economies like China. He has a bachelor's degree in Aerospace Engineering and an MBA in Finance & Management. Originally from Iraq, Al grew up in the UK after his family moved there when he was a young child. Al has also lived in Canada, France and the United States and currently lives in Hong Kong.

In 2006, Jim and Al wrote Wake Up! Survive and Prosper in the Coming Economic Turmoil, also available from Capstone. 

To arrange an interview or for further information, please contact Julia Lampam

For US queries, please contact Dottie DeHart of DeHart & Company

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