(Bloomberg) — Scott Minerd, chief investment officer at Guggenheim, tells CNBC that if he was given $10,000 with a five year investment horizon he would not invest in stocks but would probably put the money into art or real estate. Furthermore, he added that he would like to see stocks lower before he would invest.
Minerd continued by saying he believes the Fed will continue on “auto-pilot” unless there is a panic sell off in the markets. If the decline in the markets continues to be orderly, the Fed will keep going. However, if the markets were to fall 20% in a week or two, the Fed would pivot.
The tech sector is fairly valued but in for further pain according to him because markets don’t typically stop when fairly valued, they “tend to overshoot.” He notes that the VIX needs to be above 40 and closer to 50 “to get a real bottom.”
Speaking on crypto, he says that Bitcoin and Ethereum will be survivors but that the “majority of crypto is garbage.” He doesn’t believe we have had the correct prototype yet for crypto if it is going to be a currency.
©2022 Bloomberg L.P.
More From The Real Estate Guys…
- Check out all the great free info in our Special Reports library.
- Don’t miss an episode of The Real Estate Guys™ radio show. Subscribe on iTunes or Android or YouTube!
- Stay connected with The Real Estate Guys™ on Facebook, and our Feedback page.
The Real Estate Guys™ radio show and podcast provides real estate investing news, education, training, and resources to help real estate investors succeed.
Broadcasting since 1997 with over 600 episodes on iTunes!
Love the show? Tell the world! When you promote the show, you help us attract more great guests for your listening pleasure!