We often hear the term bubble, especially from well-known investors who think that the market is just too pumped. And now, Billionaire Stan Druckenmiller also thinks that crypto, meme stocks, and even bonds are in a bubble. The S&P500 is no different as the market is continuously breaking ATHs as if there is no limit. Stan also added that “This bubble is in everything, every asset on the planet.”
Stan Druckenmiller on market bubbles
Stan has recently discussed bubbles with the billionaire investor and hedge fund manager, Seth Klarman. Stan was also the managing director at Soros fund management with an overall asset value of $22 billion. And now, his net worth is $6.8 billion. So, he has got a lot of experience with money, and it will be interesting to see his perspective on bubbles. He was asked, “If the bond market is what everybody’s keying off of and the bond market is in a bubble, then everything’s a bubble, is that fair?” And to this, he said that yes, everything is in a bubble.
Stan also went on to compare, saying that this bubble is nowhere similar to the dot com bubble 20 years back. He said that was a technological bubble of people figuring out 20 years in advance about the network effect and companies coming 0ut of nowhere. Stan was also asked if there is something that’s not in a bubble. To this, he told Seth that he is not a value investor and doesn’t know what value means. It is not really his methodology to make money in the market.
Stan Druckenmiller is into BTC
Stan told us that he invested in Bitcoin back in November 2020, considering that it is a great store of value. He also believes that it can beat gold. And even in June, he invested millions in cryptocurrency. He also got a call from billionaire hedge fund manager Paul Tudor Jones asking him what he preferred (BTC or Gold) to hedge against inflation.
What are your thoughts on Stan saying that crypto, meme stocks, and even bonds are in a bubble? And do you agree with this and his idea that everything is over-valued? Let us know in the comments below. Also, if you found our content informative, do like and share it with your friends.
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