New York – The news broke out this week that Nouriel Roubini is selling his firm Roubini Global Economics (RGE). Mr. Roubini has not commented yet, but CNBC reports that the firm will likely post revenues of $14 million and a net loss of $2 million.
Reports indicates that despite its $2million loss this year, RGE expects to see its revenue grow by 8% next year followed by 40 % in 2013. It is also unclear if Mr. Roubini plans to remain at RGE in a sale, but the NYU professor of economics has become an icon in these turbulent economic times and he is the most visible piece in the global economic and market strategy firm. It is safe to assume that potential purchasers would like Mr. Roubini involved.
Roubini, nicknamed by the media as “Dr. Doom” for his gloomy predictions, accurately foresaw the housing bubble which led to the 2008 financial crisis. “Dr. Doom” has continued to release gloomy forecasts. In a telephone interview with Emerging Markets a couple weeks ago, Roubini said:
“At this point the debate is not whether we are going to have a double dip recession or not. The double dip has started. The only question is whether we are going to have mild recession in advanced economies or whether we are going to have a severe recession and another global financial crisis”.
RGE was founded by Mr. Roubini in 2004 to offer economic insights. RGE aggregates global macroeconomic news, analysis and research on an expansive set of economic, political, geographic and geostrategic topics. The analysts’ approach combines academic thought, market observation, policy analysis and fundamental inputs. Their aim is to illustrate the interconnections, vulnerabilities and imbalances of the global economy.