Loading ...that a 2008-2009 “buying opp” will be the end result–I have said that everyone would make this conclusion…and they may be right–but a “carbon copy” of 2008 is just too pat a scenario for me–any thoughts.
Capitalist Exploits
I am bearish on the overall market—I am bearish on the economy. Increasing interest rates will matter more than people realize. There’s a reason that I sold so many positions this summer—I wanted less exposure. I was afraid this would happen. All of those positions that I sold are down substantially from where I sold them—even though most have reported great results. In a downdraft, even the good companies get hit.
Despite my bearishness, I have been putting capital back to work over the past two weeks. Many of the companies that I am buying are down more than half this year—some are down a whole lot more. It’s the most exciting opportunity I’ve seen since 2016—even though I have been a bit early in buying some names. I suspect that even if the overall market is down dramatically during 2019, the bargains of late 2018 will shine given their current valuations—especially as many institute buybacks to soak up the newly freed up shares hitting the market. Christmas has come early once again—at least in the stock market—I might as well take advantage of hedge fund Armageddon.
https://capitalistexploits.at/2018/12/hedge-fund-armageddon/