Spitznagel warns that while short-term market euphoria may continue, the environment is primed for an impending recession and a significant market downturn.
"That's when you enter black swan territory. Black swans always lurk, but now we're in their territory," says Spitznagel, highlighting the risks in the current market.
He critiques conventional diversification strategies, calling it 'diworsification,' suggesting that modern portfolio theory misleads investors about risk management.
Spitznagel predicts the Fed's rate cuts could lead to stagflation in the economy, making the scenario more perilous as the biggest market bubble forms.
Collection
[
|
...
]