Sharmin Mossavar-Rahmani, Goldman Sachs CIO of Private Wealth Management discussed uncertainty and equity volatility, trade under President Trump and her investment outlook for 2017.
She spoke with Scarlet Fu on “Bloomberg Markets” – see video here.
Sharmin explained why she remains cautiously optimistic for the stock market.
But really… she accepted that there is a lot of uncertainty, increased risks, there is a tremendous excess production capacity with consuming to be weak globally. Also said that they realize, the valuations [on equities] are high but still their thesis is to remain invested [on equities] for the long run…
Those were the key points in her interview. But this environment she described, is a very dangerous for stocks. What more does she need for to be bearish?
Don’t forget that she presented her investment outlook for 2017. Everybody knows that stock markets on the long term outperform the alternative investments.
If you don’t sell when valuations are high and also there is a lot of uncertainty, increased risks, there is a tremendous excess production capacity globally with weak consuming, then when do you sell? After the market collapses? It will be late.
