'irrational Exuberance' Could Spell Disaster For Markets

Scott Olson/Getty Images Bank of America Merrill Lynch's fund-manager survey shows that a record number of participants are taking on higher-than-normal levels of risk. A large number of investors acknowledge that markets are overvalued, while cash levels are still falling, which signals overconfidence. In markets, it's common knowledge that when things are going well, overconfidence can come back and bite you. And that, in turn, poses one of the great existential dilemmas of investing: Do you take a more measured approach, knowing that your hubris could eventually be your undoing?

BING NEWS:
  • Former ‘bond king’ Bill Gross warns ‘irrational exuberance’ is driving stocks higher
    Erstwhile “Bond King” Bill Gross doubled down on his stock-market skepticism in his latest investment outlook, where he warned that “irrational exuberance” has driven markets since 2022.
    03/22/2024 - 1:16 am | View Link
  • Former 'bond king' Bill Gross warns 'irrational exuberance' is driving stocks higher
    Erstwhile "Bond King" Bill Gross doubled down on his stock-market skepticism in his latest investment outlook, where he warned that "irrational exuberance" has driven markets since 2022.
    03/21/2024 - 10:17 pm | View Link
  • Pockets of irrational exuberance in small and midcaps, says SEBI chief Madhabi Puri Buch
    While certain pockets appear to be experiencing a favorable reassessment, others seem to be displaying signs of irrational exuberance, said SEBI chairperson Madhabi Puri Buch on March 11.
    03/10/2024 - 9:22 pm | View Link
  • Irrational Exuberance: Exploring the outer limits in VR
    Take Ben Vance’s Irrational Exuberance, for instance. It’s a journey into an imagined outer space, full of vast starfields, realistic, low-gravity physics and other interstellar phenomena ...
    06/8/2015 - 12:11 am | View Link
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