Mechanics of a stock market bubble - Jeremy Grantham

Mechanics of a stock market bubble - Jeremy Grantham

Jeremy Grantham is a British-American investor, entrepreneur and philanthropist. He is the co-founder and Chief Investment Strategist of GMO, a global investment management firm. Grantham is known for his expertise in value investing and for his focus on long-term investment strategies. He is also known for his outspoken views on environmental and sustainability issues, and has been a vocal advocate for addressing the challenges posed by climate change. Throughout his career, Grantham has been widely recognized for his contributions to the field of investing and has been awarded numerous accolades for his achievements. Grantham has been particularly critical of the tech bubble of the late 1990s, and the housing bubble of the mid-2000s. He has argued that these bubbles were fueled by low interest rates, easy credit, and a widespread belief that these asset classes were immune to market corrections. He has also been a strong advocate for addressing the root causes of bubbles, such as monetary policy and regulation, and for taking steps to prevent future bubbles from forming. In recent years, Grantham has warned about the dangers of the current bubble in technology stocks, and has urged investors to be cautious and to diversify their portfolios. Mechanics of a stock market bubble - is a video in which Jeremy Grantham talks about the mechanics of the formation of a bubble, the behavior of institutions and individuals that lead to the accumulation of extremely high prices compared to the value of assets, and also about the fair value of the S&P 500. Like Michael Burry, Jeremy Grantham, is a prolific investor who studies the bubbles that form around several asset classes. ======================================= Books recommended by Jeremy Grantham: 1. The Wizard and the Prophet: Two Remarkable Scientists and Their Dueling Visions to Shape Tomorrow’s - Charles Mann World https://amzn.to/3lvMasK 2. Dirt: The Erosion of Civilizations - David Montgomery https://amzn.to/3jOe9n5 3. Immoderate Greatness: Why Civilizations Fail - William Ophuls https://amzn.to/3K2x6gc 4. The End of Normal: The Great Crisis and the Future of Growth - James Galbraith https://amzn.to/3XrOgal ======================================= Thank you for watching! Only if you like this kind of video, please subscribe.    / @simpleinvestings   ======================================= Content: 00:00:00 Intro 00:00:37 Crazy Behavior 00:01:52 S&P 500 fair value 00:02:08 Japan Bubble 00:03:20 2007 Housing Bubble - 3 years up, 3 years down 00:04:16 2000 dot.com Bubble 00:05:24 The triple Bubble of 2021 00:06:37 Into The Bubble 00:07:56 Deflating The Bubble 00:08:19 It will last forever 00:08:57 What will rattle the cage 00:09:31 Symptoms of bubble deflation 00:10:00 The first signal that you are in a bubble 00:11:32 The biggest bailouts in the world 00:12:15 The FED team results