8min chapter

The Memo by Howard Marks cover image

On Bubble Watch

The Memo by Howard Marks

CHAPTER

Market Bubbles and Investor Behavior

This chapter explores historical trends of market bubbles, focusing on the impact of investor behavior on stock prices and valuations. It warns of the potential risks posed by current market exuberance, particularly regarding AI stocks and overvalued markets, while highlighting the importance of underlying earnings and long-term returns.

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