Skip to comments.Icahn, Soros, Druckenmiller, And Now Zell: The Billionaires Are All Quietly Preparing For The Plunge
Posted on 09/04/2014 6:50:17 AM PDT by blam
"The stock market is at an all-time, but economic activity is not at an all-time," explains billionaire investor Sam Zell to CNBC this morning, adding that, "every company that's missed has missed on the revenue side, which is a reflection that there's a demand issue; and when you got a demand issue it's hard to imagine the stock market at an all-time high." Zell said he is being very cautious adding to stocks and cutting some positions because "I don't remember any time in my career where there have been as many wildcards floating out there that have the potential to be very significant and alter people's thinking." Zell also discussed his view on Obama's Fed encouraging disparity and on tax inversions, but concludes, rather ominously, "this is the first time I ever remember where having cash isn't such a terrible thing." Zell's calls should not be shocking following George Soros. Stan Druckenmiller, and Carl Icahn's warnings that there is trouble ahead.
Billionaire 1: Sam Zell
On Stocks and reality...
"People have no place else to put their money, and the stock market is getting more than its share. It's very likely that something has to give here."
(Excerpt) Read more at zerohedge.com ...
Stocks are high because you have 55 million baby-boomers at retirement - who have NOT saved enough for retirement, so they are frantically dumping their money into 401K and IRA’s (stocks) regardless of what the price is or actually should be; and you have 45 million post-boomers who KNOW they will not be eligible for Social Security for some “new” reason or another that has yet to be invented ... So THEY have to dump THEIR money into 401K and IRA ...
Again, regardless of whether the stock prices are good or bad, they have no choice but to buy stock.
It just makes me sick that Soros just keeps making money no matter what. I guess he has become to big to fail.
Bubble, bubble, bubble.
I’m in the latter category.
I think about it a lot, but I don’t know what to do, if anything.
I’m in my mid-to-late 40s. Have a modest nest egg invested in growth stocks because I don’t expect to retire until I’m in my 70s. A lot can happen in 30 years, but the 401(k) is hard to pass up due to company matching (100% gain on initial investment).
I can’t touch the money unless I quit, so my only real alternatives are what funds to invest in. My choices are stocks, bonds or money market. If the stock market crashes, are either of the other two alternatives going to be in any better shape? The only reason I’m in stocks at all is to try to hedge against inflation. I’m certainly not making any “real” money in terms of purchasing power.
Massaged and manipulated to get through one more election cycle.
It’s not quiet, when it’s on the web. Perhaps they are simply positioning short, and then quietly telling others of the impending doom.
I cant touch the money unless I quit, so my only real alternatives are what funds to invest in. My choices are stocks, bonds or money market. If the stock market crashes, are either of the other two alternatives going to be in any better shape? The only reason Im in stocks at all is to try to hedge against inflation. Im certainly not making any real money in terms of purchasing power.
The sky is not falling and billionaires are not pulling everything out of the stock market. The stock market fluctuates. It always has, it always will. The key is to diversify your investment portfolio. If you are truly interested in investing for the long term, check out Bogleheads - http://www.bogleheads.org/. They have excellent advice about investing for the long term using low cost index funds. The website has an excellent wiki and and excellent forum with extremely knowledgeable posters.
Thanks, I needed that.
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