GMO is currently betting big on deep-value stocks and bonds backed by commercial real estate, The Wall Street Journal reports. Grantham’s PredictionsGrantham has a reputation for predicting market bubbles, having foreseen the dot-com and housing-market busts of 2000 and 2008. He describes the current market environment as the final act of the fourth U.S. superbubble of the past century, according to WSJ. GMO’s StrategyGMO is doubling down on contrarian wagers, betting on deep-value stocks that trade at bargain prices relative to their fundamentals. The firm also sees opportunities in bonds backed by commercial real estate.

Source: Wall Street Journal July 01, 2023 17:26 UTC