BROOKLYN — Yesterday afternoon, the Dow Jones average finished at 12,884, a level not reached since the financial collapse of 2008.
This was not a surprise for Mark Seruya, a senior vice president at Morgan Stanley Smith Barney who grew up in Manhattan Beach and now lives in Midwood.
“There are several different reasons this happens,” said Seruya, whose otherwise-lifelong residency in Brooklyn was interrupted only by 18 years in Scarsdale.
“The situation in Europe is beginning to heal,” he said. “It’s taken two years for the European Union to get their act together on how they’re going to solve the crisis. The countries finally get it — if they don’t do something, there will be a greater downturn, not only in Europe but throughout the world.
“In the last three or four months,” he said, “they’ve gotten closer to resolving the situation.”
In addition, he said, U.S. banks have “healed quite a bit” since the 2008 crisis. “Individuals, corporations, hedge funds are tired of getting zero on their money,” he said. Investors should buy large-cap, blue-chip stocks with a view toward the long term, he added.
The recovering economy, he added, should be favorable for President Obama. Seruya sees the current anti-Wall Street, anti-bank sentiment as lessening — “Americans have a short memory,” he says — but still believes that the recent crisis will go down in history as being almost as bad as the 1929 stock market crash.
Seruya sits on the board of Kingsborough Community College and is involved with The Angel Fund, which gives advice local businesses.