Sebastien Page of T. Rowe Price on huge threat investors are ignoring

Sebastien Page, T. Rowe
Price’s head of asset allocation.
Fortune

• In an exclusive interview, Sebastien Page, the global
  head of T. Rowe Price’s Multi-Asset division, breaks down an
  overlooked risk he says could eventually derail
  markets.
• Page, who helps oversee nearly $300 billion, also
  expresses concerns over constrained liquidity, which Wall
  Street increasingly says will worsen any type of risk-off
  selling.

With so much going on in the market, it’s easier than ever to
overlook potential threats percolating under the surface.

You have President Donald Trump roiling markets on a
weekly basis with his latest trade-war actions. That, in turn,
spurs retaliation from China, which also throws investor
sentiment for a loop.

There’s also the continual “bubble watch” playing out, as
investors wary of overextended conditions sell at the first sign
of any slowdown. Look no further than Facebook‘s recent plunge, which came
after the company warned that growth had already peaked for the
year.

And while these developments trouble Sebastien Page, the global
head of T. Rowe Price’s Multi-Asset division, he’s also keeping
an eye on the more overlooked risks that — if left unaddressed —
could wind up taking everyone by surprise.

Page, whose asset-allocation team helps oversee nearly $300
billion, is specifically focused on the historically large debt
burdens being held by both governments and corporations. That,
coupled with more restrictive monetary policies worldwide, is
creating a potentially perilous situation, Page says.

He spoke with Business Insider in an exclusive interview and
shared the following thoughts (emphasis ours):

“The level of government and corporate debt right now is quite
…

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