Investors should brace for stocks to drop at least 15% in early 2020, money manager Jack Ablin says
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A top money manager is on pullback watch as stocks head deeper into record territory.
Cresset Capital’s Jack Ablin is telling investors to brace for stocks to drop at least 15% in early 2020.
“Valuations are pretty stretched,” the firm’s chief investment officer told CNBC’s “Trading Nation
” on Thursday. “We had [a] 30% move this year on 3% earnings growth.”
His newest sell-off call came after the tech-heavy Nasdaq crossed the 9,000 mark for the first time ever, and the S&P 500 rallied to a record high.
Ablin suggests the driver for a market setback is unclear.
“I can’t see a specific catalyst unless it’s higher interest rates that would precipitate a decline,” he said.
Regardless, he has been limiting his exposure to stocks.