The Federal Reserve's promise that it will keep key policy rates low for a substantial period of time is likely to convince investors this year, but that may change next year, said Bill Gross, Pimco founder, managing director and CIO.

In his latest newsletter Tuesday, the 69-year-old billionaire investor said artificially high asset prices aren't fundamentally mispriced if the Fed can convince markets that it intends to remain highly accommodative by holding rates low.

"We believe that will be the case" in 2014, so risk assets like stocks and credit are likely to provide positive returns relative to cash, he wrote.

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