We Study Billionaires - The Investor’s Podcast Network TIP520: Investing Through Post-bubble Markets w/ Jamie Catherwood
26 snips
Feb 3, 2023 Join financial historian Jamie Catherwood, a Client Portfolio Specialist at O'Shaughnessy Asset Management and author of Investor Amnesia, as he delves into fascinating parallels between historical and modern markets. He explores how the frauds of today, like FTX, echo past scandals and the evolution of market regulations. Jamie also discusses how lessons from the 1800s can shape our current market outlook and highlights how the crypto landscape mirrors the early stock markets, revealing valuable insights for investors navigating today's financial realm.
AI Snips
Chapters
Transcript
Episode notes
1920s Market Parallel
- The 1920s offer a compelling parallel to the current market, marked by a pandemic, social unrest, and a sharp recession.
- This period eventually led to the roaring 20s, raising questions about a similar trajectory today.
Inflation and Equity Returns
- High inflation does not necessarily correlate with lower equity returns due to valuation compression.
- Factors like value, momentum, and shareholder yield tend to perform well in inflationary environments.
Frauds and Market Cycles
- Jim Chanos points out that fraud often lags the market cycle, becoming more apparent during downturns.
- Madoff's early success, despite initial losses covered by a loan, illustrates how narratives influence markets.