There are a lot of risks swirling around right now in the stock market.
When we look back to previous crashes, it seems obvious now how the dot-com bubble and the 2008 financial crisis happened.
This isn’t the first time Americans are worried about a crash and it won’t be the last.
It’s a ‘very dangerous period’ for investors right now from the S&P 500 to Big Tech to bitcoin.
That’s according to veteran fund manager David Tice, the investor known for going against the crowd in 2008 when he sold his bear fund right before the market crashed.
The reasoning: “The market is very overpriced in terms of future earnings. We are adding debt like we’ve never seen. We have the Treasury market acting very strange with rates falling dramatically,” he stated in a recent interview with CNBC.
Tice agrees that it is tough to time any market, and he himself has regularly been early on making these calls in the past, yet he repeated, “We’re not out of the woods yet, and this is a dangerous market.”
In his view, would you rather be early to exit the market? Or, stay invested to try and capture an additional 3-5% gain while facing a potential 40%+ market pullback?
The signs are pointing towards trouble and it’s not just Tice who believes so.
Warren Buffett’s favorite market gauge known as the “Buffett indicator” compares market cap to GDP and it hit a record 133%, signaling that global stocks are overvalued.
For comparison, it’s well above its peak readings during the dot-com boom and before the financial crisis.
Tice believes it’s a risk not worth taking. The numbers are not making sense.
As for Bitcoin, he said, “I think it’s very dangerous to hold today.”
But it’s not all bad news.
The longtime investor is a gold and silver bull and considers today as a once in a decade opportunity in respect to owning gold.
“You look at this lack of discipline in monetary and fiscal markets. Gold is truly the place to be,” claimed Tice. “Over 5,000 years, gold and silver do very well as protection against fiat money.”
Americans are in a position right now where the choice is theirs. Either try to time the market and risk everything or protect yourself before it’s too late.
Call American Hartford Gold today at 800-462-0071 to learn why thousands of Americans are moving to tangible assets like gold in times of crisis.