Osterweis' Vataru: 'Cheerleading' for a soft landing won't make it happen

Eddy Vataru, chief investment officer for total return at Osterweis Capital Management, says that investors are thinking wishfully that the Federal Reserve can play with interest rates and inflation to engineer a soft landing for the economy, but he believes any scenario where the Fed is not hiking rates until inflation drops to their target of 2 percent is too rosy. He says the Fed will be as hawkish as possible, trying to set market expectations about rising rates while hoping to engineer a soft landing, but notes that such a smooth outcome is unlikely, and that inflation woes will not end quickly. Also on the show, Anu Ganti, senior director of index investment strategy for S&P Global, discusses the sectors that currently are adding to portfolio diversification -- and playing defense -- and those that are just adding to portfolio volatility, Tom Lydon of VettaFi makes a classic, core growth-oriented fund his ETF of the Week, and Boston Globe staff writer Rob Weisman discusses his recent trip to the Netherlands to see the way they provide long-term care for their growing elderly population and what America could learn from their actions.