Hedge fund manager Boaz Weinstein warns of Japan-style bear market for stocks
Global stock markets could be heading for a Japan-style bear market lasting decades, says the hedge fund manager credited with spotting the “London Whale” derivatives trader a decade ago.
Boaz Weinstein, whose New York-based Saba Capital was one of the world’s top-performing hedge funds in the market turmoil of 2020, said that the unwinding of central banks’ vast stimulus programmes in an effort to combat high inflation could lead to “doldrum” markets for a prolonged period.
“I’m very pessimistic. There isn’t a rainbow at the end of all this,” Weinstein told the Financial Times. “[Quantitative tightening] is going to be a real headwind for investors.”
“In this sell-off you have so many things that are problematic swirling around, some that are contradictory. There’s a lot of fear, but there’s been a lot of time for people to think about [the issues].
This story originally appeared on: Financial Times - Author:Laurence Fletcher
