The biggest names in investing keep talking about 'bubbles' in the market. Here's what they're saying.
There's been a lot of bubble talk in markets lately. Some of it has been warranted, while other punditry is clearly intended to roil investor emotions. The tough part for market participants is cutting through the noise and figuring out what's valid, and what's mere bloviation.
The Investing team at Business Insider has been closely monitoring the various warnings shots that keep getting fired. And we've ultimately arrived at a tried and true method: listen most closely to the successful investors and strategists with an established track record.One such voice has been that of Ray Dalio, the billionaire investor and founder of Bridgewater Associates, the world's biggest hedge fund. He recently unloaded on zero- and low-yielding debt, which he calls "worthless" and says is a bubble waiting to burst. But fear not, Dalio offered a simple asset-allocation recommendation to address the mounting situation.
JPMorgan quant guru Marko Kolanovic has also recently referenced what he sees as the largest bubble in modern history. But he's not talking about debt. He's referring equities, which currently carry valuations that - by many measures - are the most extended they've ever been. Ever the optimist, Kolanovic identified a "once in a decade opportunity" that savvy investors should be able to use to their advantage.
Going beyond bubble chat, here's a rundown of our other main coverage from the last week, which featured an important and possibly hyper-profitable investing technique, an in-depth look at tax strategies used by the ultra-wealthy, and commentary from a market-dominating fund manager.
How to turn $10,000 into $1 million: One investor reveals the secret sauce for profiting from elusive hyper-growth stocks
Chris Mayer, portfolio manager and co-founder of Woodlock House Family Capital fund, outlines the strategies that should be employed by investors seeking so-called 100-bagger stocks - or companies that deliver 100-times returns.
Far easier said than done, Mayer outlines advice that involves getting in early on promising companies that can generate and sustain a double-digit growth rate. Using Amazon, Southwest Airlines, and Berkshire Hathaway as examples, he outlines the methodology step-by-step.READ MORE HERE >>
America's biggest wealth manager for the ultrarich is known for his tailor-made portfolios. He revealed to us his magic formula - and how he saves clients millions on taxes.
Peter Mallouk's Kansas-based firm Creative Planning manages more than $40 billion, making it the largest independent wealth-management company in the US. It's also one of the highest-rated.
Mallouk spoke with Business Insider about how he tailors portfolios to each client's specifications. That involves some savvy maneuvering when it comes to taxes.
A portfolio manager who's been crushing the market since 2006 reveals today's best investing opportunities - and explains why he 'hates' companies that pay employees in stock
Albert Meyer, the chief investment officer and senior portfolio manager at Bastiat Capital, has been handily outperforming the market on an annualized basis since 2006.
Meyer breaks down the opportunities he sees in a part of the market that's taken a hit amid the global trade war. He also talks about why he stays away from companies that have more than 5% of shares outstanding tied up in stock-based compensation.READ MORE HERE >>
Other good stories from the investing realm:
- The next 100 days could set the market's course for a year. One top Wall Street strategist says these trades can help you profit from the twists and turns.
- An 'icy' ending: A Wall Street expert sees a critical market metric stretched to 'extreme' levels - and warns of a painful reckoning to come
- 'Missed opportunities': 2 experts who manage a combined $248 billion explain how the Fed has made a series of mistakes that could create panic down the line
- 'This will turn nasty': A crisis is brewing as a global currency war approaches, and one expert says he's found the most vulnerable assets traders should avoid