In this riveting episode of the Best Stocks Now show, professional money manager Bill Gunderson, alongside financial analyst Barry Kite, delves into the major market trends as we step into December. They discuss the interconnections between cryptocurrencies and traditional markets, highlighting the recent disruptions and the impact of fluctuating interest rates. Bill raises an eyebrow at the performance of Bitcoin, calling it a speculative asset, while reinforcing his faith in gold, which remains resilient in the face of market volatility. The conversation pivots to a strategic analysis of big tech and semiconductor stocks, particularly concerning geopolitical tensions involving Taiwan
He’s been seen on CNBC, the Fox News Channel, and the Fox Business Channel. His articles can be found on MarketWatch, Seeking Alpha, TheStreet.com, and many other places. He’s the author of the weekly Best Stocks Now newsletter and the inventor of the Best Stocks Now app. He’s president of Gunderson Capital Management. Here is professional money manager Bill Gunderson.
SPEAKER 03 :
And welcome to the first day of December. It is Monday. Welcome to the Best Stocks Now show with professional money manager Bill Gunderson, president of Gunderson Capital Management. And I’m here with Barry Kite, our chartered financial analyst and certified. Financial planner and we’re off on the wrong foot here so far, but not by too much. You got a couple of the crypto markets are disruptive here again today, disrupting, spreading into the stock market, in my opinion, and a few other issues. But the Dow is down 151 right now. 47,565, so it’s down a third of a point. The S&P 500 is down 24 points. That’s about a third of a point also. And we have the NASDAQ down, coming back now, it was down 200 points. Now it’s down just 110, but still down a half a percent. The big issues that I see today, the bond market, our bond market, we’re seeing a little spike in interest rates. It’s up to the 10 years up to 4.08. And that may be playing off a spike in interest rates in Japan. And why does that matter? Because it impacts the carry trade. There’s always something to worry about. And good old dependable gold. Good old dependable gold is up again a half a percent, and I’ve got to say it’s the most dependable performer in 2025. We’ll get to Bitcoin next, but welcome to the Best Stocks Now show with professional money manager Bill Gunderson, president of Gunderson Capital Management, a fee-based only nationwide firm. Barry, when push comes to shove, Where do you have more faith, Bitcoin or gold?
SPEAKER 04 :
Well, I mean, I think gold has stood the test of time. I was doing a lot of research into Bitcoin this weekend just in terms of, you know, the sell-off, what’s exacerbated it, and it’s a simple factor, leverage. You know, these, you’ve got, I think there was a call where you’ve got some big exchange that’s actually, I think, had to liquidate $400 million worth of Bitcoin today. And that’s why you’ve seen this drop again, whether it was roughly around 8% at one point today. But, you know, you’ve got a lot of leverage in that space. And when problems unwind and you’ve got forced selling, it gives you, I mean, it’s a speculative asset versus gold.
SPEAKER 03 :
Well, I’m on record as saying I have very little faith in Bitcoin. In my book, it’s kind of a pyramid scheme. As long as someone’s buying and they’re all buying, it can’t go down. But as soon as there’s some pressure and the selling sets in, there’s not a lot to prop it up. It’s in my book, it’s a little bit of a house of cards. And I know that’s not a very popular opinion. And I’ve had people try to explain to me where that intrinsic value lies in Bitcoin. And I’ve never heard a good explanation yet. But that’s just me, okay?
SPEAKER 04 :
And leverage makes the house taller. You know how when you’re making a card house, right?
SPEAKER 03 :
It makes it even worse.
SPEAKER 04 :
Yeah, bigger cleanup at the end.
SPEAKER 03 :
The wise man built his house upon the rock, unleveraged, right? Not on the sand. My favorite story of the day, strategy, which used to be known as microstrategy, which is Michael Saylor, who’s probably one of the biggest Bitcoin bulls in the world, on Monday. had to convert a lot of his Bitcoin to cash, to the U.S. dollar, to meet liquidity issues. I find that very interesting that, you know, hey, I thought Bitcoin was the reserve, your trusted reserve. No, we’re establishing a cash reserve to complement our Bitcoin reserve. So anyways… That’s also another little brick in the wall that rattles my faith in the crypto. Okay, we had the best Thanksgiving week. Well, not the turkey and the dressing. I’m talking about the markets that we’ve had since 2008. But as I did the analysis on Saturday for an abbreviated newsletter, I saw that that forward P.E. ratio went right back up close to 23 once again. We finished the week at 22.6. Hey, that 23 has been a ceiling, okay? It’s been a ceiling for the last five years. Never mind that the last five years the average forward P.E. ratio is 20. The top is 23. So if you know anything about Bollinger Bands, which are kind of reverting to the mean, the mean is 20. 23 is the extreme outer band, and it seems to recoil once it hits that 23 mark. Well, we hit 22.6 on Saturday, which doesn’t leave a lot of room in that theory there. We only got four points. Little points to go before you recoil. But you throw in the Bitcoin markets being shaken again here today. The bond market moving up to 4.08. That’s a pretty big jump. And I think that’s being caused. And believe it or not, That Japanese bond, I track that every Saturday because it fuels the carry trade. You borrow cheap money from Japan and you invest it in the AI markets in the US and it’s been old reliable. But with the moving up of Japanese interest rates, A new premier in Japan, a conservative woman, they’re talking a rate hike over there in Japan. So now you’ve got another little force on the market here that is rattling the markets here to begin this new week. Now, historically, December’s a good month. In fact, they say Santa Claus usually pays a visit to Wall Street. But don’t forget.
SPEAKER 04 :
Usually about a percent. I think I saw a stat that was about a percent. And I think in the last ten years, though, it’s been basically flat. So it’s on average.
SPEAKER 03 :
Yes. It’s usually a good mark. Maybe this is a sign of what’s to come. We watched the Grinch. uh on uh on saturday all the grandkids uh dr seuss still one of my favorites i still love dr seuss i grew up with dr seuss When my mom took me to the library, I’d come home with six or seven dollars. Of course, he was a San Diegan, too.
SPEAKER 08 :
Green eggs and ham. Oh, I love it.
SPEAKER 03 :
Green eggs and ham, man.
SPEAKER 08 :
That was one of my faves.
SPEAKER 03 :
Yes. Okay. So we watched the Grinch. And, of course, we do have the Grinch lurking out there. His days are numbered, and he knows that. And sometimes when people’s days are numbered, they seem to act a little bit more angry and they act out. Trump has picked the new Fed chairman. We don’t know who it is, but the Cauchy prediction markets are assigning an 82% chance now to Kevin Hassett. So they must know something we don’t know. But the Grinch is out there. He’s lurking in the form wearing his little Grinch hat and his stockings is Chairman Powell, who’s not exactly a friend of Donald Trump. And I thought the market was pretty premature in just saying, yeah, we’re going to get a December rate cut. Ah, you know, not so quick. I’m not so sure about that.
SPEAKER 04 :
We get PCE data at the end of this Friday.
SPEAKER 03 :
Well, that might have some kind of impact. But I personally put it at 50-50. We get an 85% chance at the moment. Lay a $20 bill on not happening for me, and I’ll take the odds and give the points.
SPEAKER 04 :
But anyways… I guess the question will be for this December, right? Will the Fed put a present under the tree, right? Or are we getting some coal?
SPEAKER 03 :
No, he’s not going to do it, I don’t think. But we’ll see. Wall Street Post, best Thanksgiving week performance. i was a little skeptical of it myself you know it’s on light volume uh there was a rebound somewhat in the crypto markets taking it back up to 90 000 but once again i don’t have a lot of faith in those crypto markets because you know there’s that there’s a group of people out there saying gee i wish i would have got out at 125 000 i wish i would have got out 110 000. it’s back to 90 i’m out of here And that’s what you have, and that’s what shows up in the charts. The charts are the evidence of what’s happening underneath the surface. And when I looked at the chart of Bitcoin over the weekend, I said, that’s still a weak chart. I don’t have a lot of faith in that chart that it’s going to go storming back to 125,000. It seems like Michael Saylor doesn’t have a lot of faith either as he’s raising dollars right now to give him a little bit of liquidity. So, hey, we have so much to talk about today. I thought it was going to be, okay, we’ll ease back into a full work week. It shouldn’t be too tough, Bill, to slip back into it. No, I started digging into the news, and, man, there’s a lot taking place here. in the markets today and by the way happy birthday chat gpt which turns three today i still remember where i was when chat gpt was released isn’t that something we’ll be right back
SPEAKER 1 :
Thank you.
SPEAKER 03 :
Welcome back here to the second quarter of today’s Best Docs Now show. I think the first big story is this Airbus story. That’s not a good story for them at all, I suppose. Let’s just take a look and see how Airbus is reacting. Airbus is a publicly traded company. It trades on the pink sheet, but it trades big volume. So you can definitely buy and sell it, no problem. I had somebody that transferred in some Airbus to us, Barry, and I sold it last week. I didn’t like the way it was behaving, the chart. But I held it for a while because, you know, when somebody transfers something into us, I don’t just automatically sell it on day one. Hey, let’s try to get as much as we can out of it. It finally peaked at $62, $61.70 per share, started to roll over a little bit. I said, you know, this thing’s really expensive. And its competitor, Boeing, has a very, very weak, one of the weakest charts in the Dow for sure. So I sold the Airbus. Airbus is a $178 billion major competitor, headquartered in the Netherlands with a lot of French exposure. That stock is only down 2.39% right now, but it was down big. Well, that’s not so bad, 2.39%, but they have an issue.
SPEAKER 04 :
And part of it being from a solar flare. It’s hard to control that, right?
SPEAKER 03 :
How you control that, you can plan for all kinds of different kinds of risk. And you get hit by a solar flare and it knocks things out. And if that’s something you can’t, maybe you should plan for it. I don’t know. But anyways, that’s Airbus plunges after Reuters reports a new quality problem on dozens of A320 jets. Right now, I’m going to say it’s not that big of a deal. It was down 10%. Now it’s only down 2.3%.
SPEAKER 04 :
What’s Boeing looking like?
SPEAKER 03 :
Are they benefiting from this? Well, you would think Boeing would be bouncing a little bit, even though the Dow’s down today. Boeing is basically flat on the day. Boeing was at 242. It’s down 40, 35 points from its high. It’s had a pretty steep sell-off. We don’t own Boeing.
SPEAKER 04 :
It’s starting to kind of be in that. I’ve been keeping an eye on it. It could turn into that value play, but it’s still a headline risk. It’s hard to get away from it.
SPEAKER 03 :
And I’ll tell you the other thing, the apartments that they’re building here in my neck of the woods with news that Boeing’s going to double their size in South Carolina, you can’t believe how many apartment complexes are going up for the workers. And I was talking to another kid yesterday. He works at Mercedes-Benz. They make the Sprinter vans here, and they’re ramping up, too.
SPEAKER 04 :
Oh, yeah, Mercedes.
SPEAKER 03 :
And Google is ramping up their campus here in the Charleston area.
SPEAKER 04 :
The only problem with Charleston is you can always widen roads, but it’s hard to widen bridges, right? At some point, you’ve got to go over the water, and widening bridges takes a lot longer.
SPEAKER 03 :
Yeah, that Cooper River bridge is a tough one. But I know they have plans on widening it, but to get to Boeing, you’ve got to pretty much go over a couple of bridges. So we need some wider bridges here in our neck of the woods. Okay, man, okay, so we got the Airbus story there, which is pretty big. The next story I got is, let me get back to my, there we are. We got Japan yield spiking. I talked about that. It’s hitting the risk on trade pre-market. uh and that has off and on during the year it has been a problem for the market when those uh yield spike in japan i’ve explained this before the carry trade where these big institutions or hedge funds are borrowing money from japan on the cheap and turning around and arbitraging and buying assets here in America, when that yield spikes in Japan, that cuts into the carry trade, which has fueled a lot of the movement in the market. We still have some earnings coming in this week, believe it or not. And, of course, yeah, we’re going to get Salesforce, a member of the Dow, Benny Off, the guy that last Monday kicked Google in the gear with his comments about their latest version of AI. We’re going to get Snowflake. We’re going to get CrowdStrike, which is probably one of the top three, along with Palantir and a couple others there that might be in third place. CrowdStrike is maybe number two behind Palantir in my book. Software stock, we’re going to get Marvell, which is in the top five of semiconductor stocks. DocuSign, Hewlett Packard Enterprises, Mongo, Dollar Tree, Macy’s. So there’s still a few that are going to hit. In the meantime, you know, old dependable, old faithful has been gold. Gold is up again, and there’s a big story out there today on one that we have a big position in, Barrick. Barrick is going to evaluate a potential IPO of their North American gold assets. So that would be kind of a spinoff, I suppose.
SPEAKER 04 :
Yeah, it includes what you’re doing. It’s a bit of financial engineering, but in reality, it’s kind of like you think of GE years ago in terms of they’ve got this Vegas, I think it’s not Vegas, but it’s in Nevada, Nevada mine that essentially analysts have felt has been undervalued for a long period of time. And so what they’re thinking of is, you know, say they’re spending that out, or I don’t know if it’s a private asset held by them, but essentially, you know, unlocking that value and making it available to all of us public investors.
SPEAKER 03 :
I have a heck of a lot more faith in gold than I do in Bitcoin. And that’s all you’ve got to do. Look at the chart of MicroStrategy MSTR. By the way, there’s a couple of inverse ETFs on MicroStrategy. You know, basically you’re shorting Bitcoin. You’re going short on Bitcoin. There’s also some short ETFs. BITI is the inverse one of them. There’s SBIT, which is leveraged inverse ETF on Bitcoin. And then there’s an ETF that is, there’s two of them that are inverse Michael Saylor’s MicroStrategy, which is now called Strategy. His strategy’s not doing so hot. He’s one of the guys, you know, Barry, there’s three people, well, there’s four, that I don’t really listen to on Wall Street. You know, you probably know who they are. Kathy Wood is at the top of the list for me. She’s usually doing exactly the thing I would not be doing in the market. God bless her. Number two, Jim Chanos, who is a well-known, infamous short seller who’s been wrong for 27 years. Of course, it used to be. He’s kind of disappeared, though, the guy down in Puerto Rico. I don’t know what’s become of him. Schiff. Peter Schiff. I don’t listen to him, and I don’t listen to this Michael Saylor. And there was a fourth one.
SPEAKER 04 :
And don’t forget your guy.
SPEAKER 03 :
Morgan Stanley.
SPEAKER 04 :
Yeah, and he was kind of the bearish. And, of course, he’s kind of turned around a little bit. But, yeah, he was wrong for an extended period of time. I don’t think of his name here in a minute. I saw him on TV a couple of days ago.
SPEAKER 03 :
Yeah, well, Mike Wilson, not Mike Wilson. Yeah, Mike Wilson. And then there’s another one just like him that’s just as bad. You know, I like to listen to people that are right most of the time, right? 90% of the time, they’re right. I agree with them. That’s who you want to listen to. But look at the chart of Barrick hitting a new high today. We’ll be right back. This is Bill Gunderson. Thank you for tuning in to today’s Best Stocks Now, Best Inverse Funds Now show. I put several hours of research in during the wee hours of the morning each day to bring you the very best cutting-edge stories that I can. To get two free weeks of my newsletter, go to GundersenCapital.com. To talk to us about our fee-based only money management services, call us at 855-611-BEST. Now, back to the second half of the show.
SPEAKER 06 :
And welcome back to the second half of today’s Best Docs Now show.
SPEAKER 03 :
I’ll tell you what, there’s been a lot of noise. recently about China and Taiwan. And there is an interesting article in Seeking Alpha today asking several of the analysts that write stories for them. They didn’t ask me, but that’s okay. That’s cool. I don’t have time right now. What happens to the chip sector if China retakes Taiwan? Number two, I mean, what happens to the world economy? Look what, you know, during COVID, the automobile sector was unable to get chips, and it pretty much brought them to a screeching halt. Imagine what would happen to the chip sector if China were to retake Taiwan, which there’s been a lot of noise. You know, we talked about it last week. You know, really didn’t think they would ever just come in and just smother Hong Kong like they did. But it did. It happened. And Hong Kong now is totally, you know, under Red China control. And, of course, Taiwan. Now, in talking to some military people. They say there’s only two months out of the year that were those straits. Those are very rough water. I know about rough water. We had rough water off of San Diego from time to time. When that wind blows, those waves can get 20, 30 feet. It’s hard to invade a country with that kind of weather. But I’m told that in March and November, those are the two months. And some military… is expecting 2027, November 2027, they have that circled on their calendar as a potential. So we don’t know. Look, if you ask Elon Musk, Elon Musk said it’s inevitable. It’s inevitable. It’s in that China, Taiwan belongs to us. And don’t even question it. You know, this new leader of Japan said something about it, and all of a sudden they stopped all buying of Japanese goods. So that just tells you how serious they are. Now, having said that, we obviously now have a Taiwan. I think there is a contingency plan. Number one, I don’t think they’re going to let China get that technology. And we’ve heard that they would detonate the plants if they had to to keep them from getting that technology. That’s what I’ve heard through the grapevine. And number two, Taiwan has a plant in Arizona, and they have produced an NVIDIA chip there. Maybe that’s the contingency plan. I don’t know. I know that Taiwan’s also been expanding a little bit. Taiwan’s on my two Japan. And I saw that Micron is going to build the plant. You know, you’ve got this huge shortage in memory. right now that has tripled the price of memory chips. And I see Micron is ramping up. You know, they produce a lot in Idaho, yes, but they produce probably at Taiwan Semiconductor. And they’re also going to build a factory in Japan. I think they’re looking ahead. to contingencies. But anyways, it would definitely disrupt the global chip sector. And it’s just one of those things, you know, you mitigate against risk. I heard them talking this morning about the outage that they had in the Chicago Mercantile Exchange. That was a risk that they knew was there, but they didn’t really take seriously where one of the data centers goes down and it took them 10 hours. So they obviously didn’t have that contingency thought out well in advance. So there’s risk to those data centers too. And what was that about? Air conditioning on a very cold day. So go figure that. Okay, one other hot spot in the world besides Taiwan, Trump says Venezuela airspace to be closed in its entirety as tensions escalate. And he has made some noise about some kind of land attack on the drug trade route, which, you know, he seems hell-bent, and he should be, To stop that fentanyl from coming into the U.S., there’s still a fentanyl tariff on Mexico. He took the fentanyl tariff off of China, and I believe there’s still a fentanyl tariff on Canada. But it seems to me that the major source of all of this is coming out of Venezuela. And he’s not only taken out boats, supposedly fishing pongas. No, I know what a fishing ponga looks like. You’ve got usually a guide that’s banging on the outboard engine, Barry, to keep it running, to make it back into the harbor. You don’t have three Merc or Yamaha engines. Two.
SPEAKER 04 :
Three 300s on the back of it, right?
SPEAKER 03 :
Yeah, so there’s always that out there, too, okay? An invasion of some sort. I probably would think we would do something like we did to Iran. All of a sudden, the F-35s flying over and a few sites are decimated down below, putting their drug business out of business. So that’s something that hangs out there. And, of course, we still have the Supreme Court.
SPEAKER 04 :
court decision that’s out there on the tariffs well and much much larger country and and certainly a lot more complex but i mean you know we’ve we’ve done things whether it was uh you know panama um with with uh you know taking over noriega uh we’ve done uh of course you had uh yeah el salvador and you had uh grenada i mean yeah yeah so uh that that fentanyl trade is going to be shut down i can tell you that one way or another and it’s going to take a bit
SPEAKER 03 :
Of a fight.
SPEAKER 04 :
Talking about rerouting supply chains, I saw where a lot of now they have an influx of cocaine and other narcotics into Europe at the moment. Wonderful. Because they’re looking, need a different place to send it to. Yeah, they need a new customer.
SPEAKER 03 :
Man, I’ll tell you what, I don’t dig those drug lords at all. But, you know, hopefully the fight is going on. Okay, ETFs. It’s a hot deal. It continues to be a hot deal. The mutual fund industry is a dying industry. I looked into starting a mutual fund maybe 10 or 15 years ago and I didn’t like it. I could see it was a dying industry. The break-even point is not good. But ETFs are a much more scalable thing. I didn’t know Dan Ives has an ETF. Wedbush has an ETF. I have a lot more faith in Ives. I-V-E-S is the symbol. I added it to the app this morning. Then I do an ARKK. I don’t think I realized he had.
SPEAKER 04 :
No. I mean, obviously, Webb Bush in terms of their mutual funds, but I didn’t know they had any.
SPEAKER 03 :
Well, it has $920 million in it already, which is just shy of a billion dollars. And here’s the moves. He rebalances quarterly. I would do it more often than that, and I am still looking into it. a couple of ETFs. I have some friends in the industry that basically they do that for a living. You want to take an ETF to the market, we do all the grunt work, all of the permitting, all of the processing and everything like this. Legal stuff. I mean, there’s a ton and tons of… Yes, documents and SEC gets involved. But I would love to take on Dan Ives. I really would. I don’t know. My… I’ll put up my ultra-growth portfolio since 1999. I think that would maybe outdo most ETFs out there. But anyways, here’s the changes he’s making this quarter, okay? And I found these to be interesting, and I agree with what I… Now, he’s a guy I generally agree with most of the time, okay? But he is a permabull, and he is all tech. I mean, he never talks about lily. He never talks about, you know, deckers outdoor and things like that. But it’s all tech, and you’re at the mercy of AI if you own that thing. I would rather spread out my wings a little bit. But he’s added CoreWeave. iran okay iran is very crypto related but it’s also ai related and he’s added shopify here’s what he’s removed i totally agree with the ones he’s removed sound hound yeah you know what it was kind of a a a bit player out there in the ai world where they create sounds using ai ServiceNow, which is not really an AI company. And you know what? It’s been a bad stock. It, along with Salesforce, have really lagged the market, and he’s removing Salesforce. So I totally agree with those. There was a time when ServiceNow, that was one of our greatest finds of all time and one of our biggest winners of all time. That was several years ago. And Salesforce obviously went into the Dow. It’s never been the same, really, since it’s gone into the Dow. It’s pretty much very difficult for it to even beat the S&P 500. But those are his moves, adding CoreWeave, which I’ve been looking at. I did get back into an AI stock last week. I see it’s up 4% today. as the chart looked really good. I don’t agree with Iran. And Shopify, I don’t know. Shopify, I have my moments with Shopify, and I have other moments with them. When we come back, we’ll discuss just for a moment what Cathie Woods is buying and selling. And then there’s news on a lot of other stocks here today. We’ll be right back. We’ll be right back. And welcome back here to the final segment of today’s Best Stocks Now show. You know, going back to that Taiwan thing, obviously, what would it do to the stock Taiwan semiconductor, number one? Number two, what would it do to all the semiconductor companies that have their chips made there? NVIDIA being number one. What would it do to NVIDIA stock? You know, look, we woke up one day and Russia was invading Ukraine, right? I remember where I was a little over, I guess it’s been three years now. I was sitting writing my newsletter when the attack on Israel happened. occurred down there in the southern israel and i remember when uh… that that the takeover in hong kong kinda happened little by little and then it happened all of a sudden that’s kinda how it works and uh… you know you just have to wait and that was already going down it was already going down that path because you had the the british uh… you know what i believe relinquished control you know in the in the late nineties in terms of the uh… in terms of their lease i guess or of hong kong and so
SPEAKER 04 :
It was working towards that over time, but yeah, it would seem to be more of an abrupt change, obviously, if you have a, like you said, if you have an attack on Taiwan. And it’s one of those things that you would expect to be A surprise, right? It’s not… Yeah, they’re not going to announce it a year in advance that we’re going to invade on November 3rd, 2020. Probably more of a surprise moment than Ukraine. I mean, remember Russia was building forces, right? Yeah, they were massive. For a period of time, right? And so with China particularly invading an island, as you know from D-Day and other… Unfortunately, from other historical events over the years, it’s something where surprise is going to be important.
SPEAKER 03 :
Well, they’re ramping up their Navy. I mean, that’s not for a land attack. I mean, they are building their Navy out at a much faster rate than any other country in the world. You can’t come to any other conclusion than it would be a massive shock Not just to Taiwan Semiconductor, not just to Nvidia, not just to AMD, but to the entire stock market and the global economy. I don’t know how you can come to any other conclusion than that. That’s why you cannot be a permable anymore. Oh, Jim Chanos was the other. Did I mention Jim Chanos? Yeah, you got Chanos.
SPEAKER 04 :
It was Mike Wilson that we were missing a bit.
SPEAKER 03 :
But you just can’t because things in the world changes. The stock market changes. And I would just have to think that Dan Ives’ ETF probably stays fully invested all the time. And a Bill Gunderson ETF would measure on a daily basis, like I always do, the interest rate environment, the U.S. economy. You don’t want to be heavily invested in tech stocks if we were to go into a recession, a bad recession here in the U.S., Nor would you want to be heavily invested if they started massing and preparing some kind of attack on Taiwan. That’s why you just cannot be set in your ways and handcuffed to whatever your charter says of your particular ETF or fund. Oh, we have to remain 80% invested all the time because the charter says so. Well, you know what? You’re going to go down with the ship then at some point in time. Speaking of which, the ship, the Ark, that’s springing a leak. She’s been loading up on crypto-related stocks. I mean, she seems to always be doing the wrong thing at the wrong time.
SPEAKER 04 :
It seems to be increasing risk at the time.
SPEAKER 03 :
It’s doubling down on mistakes. And you have to run from mistakes, learn from mistakes. Try not to make those mistakes again. Look, we go back to the year 2000 when the NASDAQ went down 79%. The mistake made then was everybody, almost everybody, was too loaded up on tech. And number two, they were disregarding valuations and earnings. And of course, by how much? By a long shot. You had a 79% correction in the NASDAQ. Well, I learned from that. And I’m glad to have gone through that, although it was quite a welcome. I left another industry and got into the stock market industry. I’d only been in for maybe six months or something like that when that hit, nine months, something like that. Welcome to the market, 79% sell-off in the NASDAQ. And most of the guys I was working with at that time, they were just gone. I saw one of them. He was a barista at Starbucks. you know and they just got wiped out they never got back into the market and a lot of people in the industry a lot of mutual funds all of those stars that i used to see up in the bay area the uh the the tech fund managers garrett von wagner uh several others they were just you never heard from them again because they got wiped out so anyways you cannot be you have to in my opinion you have to be unconstrained why do you want to place constraints on you right i mean you’re right you don’t always want to be invested in the market bottom line and so by an index you’re definite by definition you are all you hold zero cash and
SPEAKER 04 :
With a lot of ETFs and mutual funds, even if they’re quote-unquote active ones, by prospectus, they’re only allowed to go 20% cash.
SPEAKER 03 :
That’s the problem with an ETF. I would rather have a collection of ETFs and be able to throw in an inverse ETF if I think I need to from time to time, right? Anyway, and the other thing is being a perma bear Which the two we mentioned Wilson and Jim Chanos no question about it. That’s all he does is short sell Well when you short sell if you look at a chart of the S&P 500 over the last 20 years It’s just you know up up up up and away and my beautiful balloon but if you’re fighting that against that trend and you know you’re just a contrary sob that can never admit that you’re wrong right and you just keep doubling down and i see today he’s saying all of the these things that are going to go wrong with the ai sector and how they’re going to crash and burn and he’s been saying that about every sector his entire career basically and i know that he eventually he folded up shop and But he still gets a lot of press because he comes out with sensational headlines. And sensational headlines sell and attract money, right, I guess. But eventually he ran out of other people’s money to be a permanent bearer with. Okay, we’re out of time. It’s going to get interesting here in December. There’s a lot going on with that Fed meeting hanging out there and this disruption in the crypto markets, which is spreading to the stock markets. Luckily, I’m unconstrained and I like being that way. To get the newsletter, to stay on top of all this on a weekly basis, GundersenCapital.com. To get with a money manager who is not constrained, give us a call at 855-611-BEST. 855-611-BEST. Have a great day, everybody.
SPEAKER 02 :
This show is not a solicitation to buy or sell any securities. Bill Gunderson or clients of Gunderson Capital Management may have long or short positions in stocks mentioned during the show. Past performance is not indicative of future performance. Gunderson Capital Management is a fee-based registered investment advisory firm. All accounts are held at Charles Schwab. Schwab is a member of SIPC and FINRA.
