PIMCO: This is as good as it gets for the global economy, and it's time to get cautious

warning light Ralph Orlowski/Reuters

If there's one thing PIMCO is stressing to its clients right now, it's caution.

The $1.6 trillion asset manager doesn't see another economic recession happening just yet. But with low market volatility and many economies around the world growing steadily, there's an open door for complacency to creep in.

"While the current macro environment and outlook appear better than many of the younger market participants can remember, the last time a similar combination prevailed was in 2006 – and that didn’t end well," wrote PIMCO's Joachim Fels and Andrew Balls in their outlook for the next six to 12 months.

The following slides dig a little deeper, with pointers to some specific areas that investors should beware.

Thanks to PIMCO for giving us permission to feature this presentation.