"The market is screaming."

Tad Rivelle, chief investment officer of fixed income and group managing director at TCW [profile], shared that insight and more today at a TCW investment outlook luncheon for clients and the media.

Held at the Metropolitan Club in midtown Manhattan, the event featured presentations from U.S. equities group managing director Craig Blum and emerging markets strategies managing director David Robbins, as well as Rivelle. Managing director Erlend Bø, TCW's national sales director, moderated the discussion. TCW Funds chief Chuck Baldiswieler also came to the event.

TCW gathered nine reporters and more than 60 institutional investors and advisors for the luncheon.

Rivelle offered thoughts on the United States' policy response to the financial crisis, contrasted with that of Europe. Robbins stressed the current large, profitable spread between emerging market and developed market debt, crediting rating agencies' philosophy of a "sovereign ceiling". And Blum attacked the Federal Reserve's actions as "distortionary" and causing the equity market pain felt by many of his competitors. Too much capital is chasing protection against deflation or inflation, Blum said.

"This hall of mirrors, we think, is going to persist for some time," Blum said. "We've moved on from the disinflationary nirvana of the 80s and 90s. Now we're watching a slow reversal of that same trend."

The event was the fifth of ten such events TCW is conducting this month. TCW already did similar events in Minneapolis on March 6, Milwaukee on March 7, Chicago on March 8 and Kansas City on March 9. The road show continues tomorrow in Atlanta, followed by events in Boca Raton, Florida on March 15, Los Angeles on March 27, San Francisco on March 28 and Seattle on March 29. 

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