By Sam Forgione
NEW YORK (Reuters) - Bill Gross, co-founder and co-chief investment officer of bond giant Pimco, said Tuesday that easy-money policies worldwide have put global economies increasingly at risk.
Gross, writing in his monthly letter to investors, said easy-money policies from central banks such as the U.S. Federal Reserve and the Bank of Japan have resulted in artificially priced assets.
"Global economies and their artificially priced markets are increasingly at risk," Gross said, and added that investors "are all playing the same dangerous game that depends on a near perpetual policy of cheap financing and artificially low interest rates in a desperate gamble to promote growth."
He said that stocks, investment-grade and high-yield bonds, alternative assets, hedge funds, and unconstrained products all reflected artificially priced markets.
Gross, whose $248 billion Pimco Total Return Fund is the world's largest bond fund, said investors should anticipate stable policy rates until at least 2016 and focus on short-duration assets.
Pacific Investment Management Co, a unit of European financial services company Allianz SE
(Reporting by Sam Forgione Editing W Simon and Jeffrey Benkoe)