Fund Managers Are Getting Out Of US Stocks

exit US stocks

The Nobel Prize winning economist, Robert Shiller, is thinking of pulling his money out of US stocks. At least, that is what he said on CNBC’s Squawk Box. While he was talking about his personal investments, he admitted to be doubtful about US stocks.

Regardless of the money he wants to transfer from the US, he underlined he already invested in Europe. The economist invested money in, for example, the Spanish and Italian index. He finds EU stocks to be a lot cheaper than US stocks right now.

Another solution is to save more, according to the third edition of his book ‘Irrational Exuberance’. If people stop saving, their future pension will be tough and the economist fears that not enough people understand that.

Sell US Stocks

Shiller was not the only one that made a positive statement about EU stocks this week. George Soros also cut in his hedgefund’s US positions in the fourth quarter of last year in favor of Asian and European stocks.

Hedgefund manager David Tepper from Appaloosa Management also scaled back his positions in US stocks. He cut back by 40 percent in the fourth quarter compared to the third. Most fund managers are not negative on the US, they just expect more return elsewhere.

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Author: Travis Esquivel

Travis Esquivel is an engineer, passionate soccer player and full-time dad. He enjoys writing about innovation and technology from time to time.

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