May 3, 2018
What happens when 15% of the largest companies in America can no longer afford the interest on their debts? As the Federal Reserve pushes interest rates past 3%, Porter makes the case that we could see investors pulling out of stocks to put money back into the safety of government bonds. Is this how the air comes out of the current bull market in equities?
Extreme Value analyst and editor Dan Ferris joins the show to talk about how to spot the next “$6 Amazon Moment”, how his value investing style has changed in an overheated market, and what could usher in the next “Golden Age of Value Investing.” Porter asks Dan to explain the first thing he looks at when evaluating a beaten down stock and reveals a scenario for $5,000 gold that doesn’t sound outlandish, at all.
A listener writes in to tell Porter he’s completely backwards when it comes to position sizing with bonds, and Buck tells everyone he’s moving to “the swamp” in DC.