Mohamed El-Erian: Investors must embrace diversity in a new world of 'unthinkables'

Political risks front and centre of economist's speech

Chief economic adviser at Allianz and renowned economist Mohamed El-Erian has said diversity will be key in a world where economic "unthinkables" are quickly becoming a reality, warning investors will have to "work very hard on minimising these behavioural mistakes".

He identified mounting US protectionism, slowing growth, unreliable central bank policy, the growing unreliability of traditional metrics, and the failure of the economics profession to understand systemic change as the key factors creating a new economic reality for investors. Trump: European Union is 'almost as bad as China, just smaller' Speaking at the CFA Institute annual conference last week, the former chair of President Barack Obama's Global Development Council said: "There is an unusual amount of fluidity in the economic and financial system, and it will continue. "It is n...