BlackRock (NYSE:BRK) Chairman/CEO Larry Fink predicts that the stock market can continue to move higher, so do Shayne and I.
Morgan Stanley (NYSE:MS) likes Small-Cap rotation, and Goldman Sachs (NYSE:GS) likes Big-Caps, we like a carefully chosen mix.
“I believe we still have more to go on the upside even in front of probably rising infection rates with COVID-19,” –Larry Fink
“We have a strong conviction that the average investor still is under-invested, and they’re going to have to be putting more and more money to work over the coming months and maybe even years,” he said.
There is about $15-T parked on the sidelines, a huge percentage will flowback into stocks and commodities.
“We are seeing a record amount of retail participation in the marketplace,” Fink said, contending it was more than just novice day traders using online brokerages such as Robinhood.
“Across the board, the average investor is putting more and more money to work, which is a good outcome. I do believe that pandemic actually has created that fear of the future and a response is now a higher savings rates in America, a higher investment rate for the long term.”
Meanwhile, Mr. Fink also said the world could be a lot greener if office buildings never reached their full capacity again and 50% of workers worked from home.
“If just 50% of workers returned to offices, traffic in cities would be eased and employees’ quality of life would be improved” he said Tuesday during an International Monetary Fund (IMF) virtual event.
“As we move more and more towards a digital society, the need for hydrocarbons will be reduced,” he said. “I want a future in which only 50% of workers are working in offices. And the other 50% — we could rotate — are working from home.”
The COVID-19 chaos forced companies to move to almost entirely remote work setups. Big corporations are wrestling with whether and how to shepherd their employees back to office buildings.
“This horrible, horrible societal impact of Covid and the impact to health is creating some big, giant macro changes which are, in my mind, blessings for society,” Mr. Fink said.
Have a healthy day, Keep the Faith!