Both from the standpoint of stocks and bonds, an investor wants to go where the growth is.

Bond investors want growth much like equity investors, and to the extent that too much austerity leads to recession or stagnation then credit spreads widen out - even if a country can print its own currency and write its own cheques.

Well, I, you know, I think at PIMCO we always try and be open with the press and the public. I mean, isn't that what voters want from their politicians? Mohamed El-Erian, our CEO, writes several op-eds a week.

We are witnessing the death of abundance and the borning of austerity, for what may be a long, long time.

Be cautious and content with low positive returns in 2015. The time for risk taking has passed.

Human nature means that institutions at some point lose their sense of mission. That sense of vulnerability drives Pimco.

I am tough but I have a soft side.