CEO Cycle Research FoundationDr. Richard Smith attended the BizNews Power Hour to discuss emerging tech stocks. Investing leader Ray Dalio warns that some stocks are in an “extreme bubble, especially emerging tech companies.” “I think Dario is talking about smaller stocks,” said Dr. Smith. Smith also shares his thoughts on cryptocurrencies. “For those who have been using Bitcoin for a while, it’s a good time to make a profit.” – Jarryd Neves
Ray Dalio’s Dr. Richard Smith:
I’m a fan of Dario. He has an amazing cycle of work. He publishes regularly in the 500-year cycle, currency cycle, China and the United States. If you’re going to listen to someone, Ray is certainly credible. I think he really thought about the outside of the box and proved himself as a person studying history. Sure, you need to listen to what he has to say.
About the possibility of a stock bubble:
I’m personally worried about the significant potential for the fix. Anyone who has been on the market for at least 20 years knows that this feels familiar. I had just started investing in the late 90’s and early 2000’s. Indeed, I find it familiar so far, especially given the basically 12 years of the bull market. With the Covid revision, the bottom of the 2009 financial crisis has basically turned into a 12-year bull market. Quantitative easing has been going on for a long time, which is the second half of the cycle.
It needs to be taken seriously. Another NAAIM I’ve seen recently – the National Association of Active Investment Managers – they are experts. For the first time, they have over 100% length in their portfolio. These have very predictable periodic behaviors every three years or so. Certainly there are many things that give us a pause, ours paying attention.
About emerging tech stocks:
I think you have to see stocks that are rising hundreds or thousands of percent. Ironically, I was listening to Jeremy Grantham. He owns one of these new technology stocks. This is called QuantumScape and is a battery maker. He bought it for $ 2,50 a share. They made a SPAC – Special Purpose Acquisition Company. The stock is clearly currently $ 138 per share. He felt good about it for $ 10 per share, but then this didn’t work. $ 138 per share.
I don’t think Tencent is probably what Dario is talking about. It – let’s call it a big megacap tech stock. Tencent has alliances with Google, Apple and others. I think he’s talking about smaller stocks. Jeremy Grantham was talking about this stock – they wouldn’t make any money for four years. Still, it’s worth more than General Motors. So they are the kind of emerging tech stocks I think he’s talking about.
I personally believe that technologies like Bitcoin are as important as the creation of the Internet itself. These are new technologies. They will have a big impact on our world. I think biotechnology is the same, but it foams.
For those of us who have been staying for a while, selling a little and collecting cash is a great idea. If you’re just getting started when you’re not on the market at all, don’t overcommit. But you need to get involved. I think everyone should own a little bitcoin. I really think it’s the technology that’s staying here and trying to change our world.
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Emerging tech stocks-which one “foams”? “Look at the stocks rising hundreds of percent.”
Source link Emerging tech stocks-which one “foams”? “Look at the stocks rising hundreds of percent.”