The Sohn Hearts & Minds conference is open to everyone as long as you have over $3,000 to hang out at the Sydney Opera House to listen to the views of two American legends of investing — Ray Dalio of Bridgewater Associates and Howard Marks of Oaktree Capital. These guys were the headline acts last Friday and basically told us that they’re playing attack when it comes to investing but with a defensive bias. I was invited along as a guest of one of the sponsors. This organisation raises serious money and gives it to organisations engaged in medical research.
Both weren’t telling us to go long stocks with our ears pinned back but neither were they card-carrying doubters of the US economy and Wall Street. That said, they reminded us that we’re in the end play of the bull market but no one knows when it will end.
Like me, Howard thinks “this time it is different” with negative interest rates and central banks virtually handing out “free money”. But the difference that prevails also means something different of a ‘black swan’ kind could easily glide into our investing world.