The legendary investor who predicted the past 2 bubbles breaks down how the 9-year bull market will end

• Jeremy Grantham, the cofounder and chief investment strategist at the $71 billion Grantham, Mayo, & van Otterloo, has become a world-renowned market voice by calling the past two major financial bubbles.
• He was growing ever-convinced of a severe bubble burst earlier this year, until President Donald Trump's global trade-war escalation injected skepticism into the market, nipping a mounting crash in the bud.
• Grantham has now adjusted his market outlook to something far less immediately severe than a bubble-driven crash - but argues considerable pain could still be in store for investors.

In late 2017, the investing legend Jeremy Grantham was officially on bubble watch.

He said as much in a quarterly letter he coauthored for his firm, Grantham, Mayo, & van Otterloo (GMO), back in December. It wasn't an extremely pressing concern quite yet but something in the back of his mind.

That all changed in January when, as he describes it, stories of investor overconfidence became too numerous to ignore. ...

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