“We have a moral duty to inform people of this.”
In January of this year, while other investors were focused on movements in China and the Fed, on a whim Raoul Pal flipped back to the charts of European bank stocks and thought, “Holy $#!7.” It wasn’t just one – they were all starting to go.
Watch a 4-minute excerpt of Raoul Pal Presents The Reset II:
Seth Klarman: Investors Can No Longer Rely On Mean Reversion
"For most of the last century," Seth Klarman noted in his second-quarter letter to Baupost's investors, "a reasonable approach to assessing a company's future prospects was to expect mean reversion." He went on to explain that fluctuations in business performance were largely cyclical, and investors could profit from this buying low and selling high. Also Read More
Watch The Reset: Part 2 to hear Raoul outline, in detail, the risks currently coursing through the system, and his probabilistic outcome for the next 5 years – including ways to protect your investments from the worst case scenario.