15 days ago • 4:16 mins
Stocks might be down this year, but $140-billion hedge fund Bridgewater thinks the bottom’s still to come. The world’s biggest hedge fund has compared today’s conditions to those of past inflation-driven bear markets, and it fears things have to get worse before they get better. Here’s why.
Bridgewater’s identified that bear markets tend to follow two stages, as I explained here. Here’s the quick version:
First off, lower valuations. Rising interest rates reduce the present value of a firm’s future cash flows, because they increase the rate that’s used to discount them back to today. And since higher interest rates tend
Bloomberg’s done some snooping into where the institutional heavy-hitters are putting their money, and Carl’s laid out how you can invest just like them
Financial news commentators are declaring bitcoin dead (again). But Jon’s taken a look at the data, and it tells a different story.
But there’s a risk of a rude awakening. So Stéphane says you might want to approach the latest stock rally with caution.