Some investors thought 2018 would be another banner year for investors. They thought the stock market would be bullish for the next two years. Trump promised investors his economic and foreign agendas would be the icing on the investment cake during his campaign. But the icing melted when Trump showed the world he knew nothing about economics. Trump acted like he had a solid plan to increase GDP growth and help big corporations make more money. GDP growth did increase in the second quarter of 2018, but the economy is throwing a few curve balls at Trump in the fourth quarter.
Trump’s trade war with China, as well as interest rate increases in 2018, have investors in a panic. The dramatic stock market plunges show there’s trouble in Trump economic paradise. Trump thinks his agenda will straighten the market out in 2019. But the professional investors like hedge fund great Shervin Pishevar know Trump has no clue when it comes to investing. Pishevar let investors know interest rate increases, global unrest, and a president who lacks the insight to see potential investment issues will create another 2008 meltdown scenario in 2019.
New investors don’t know much about Shervin Pishevar or his 21-hour tweetstorm. But anyone who follows the startup industry in Silicon Valley knows Shervin Pishevar is a no-nonsense investor with a lot of investment wins under his belt. Pishevar made a fortune when he invested in Uber, Dollar Shave Club, and Airbnb. His investment track record is hard to beat, according to his friends in Silicon Valley. But during his 50-tweet tweetstorm, Shervin Pishevar told Silicon Valley to watch its back. Other parts of the world could dethrone the valley as the startup capital of the world.
When all the smoked cleared from Shervin Pishevar’s tweetstorm, some investors started moving their money around. Other investors laughed at Pishevar’s lack of faith in Trump. But investors aren’t laughing now. Pishevar’s tweet predictions make sense now. Investors are trying to find investment vehicles that can protect them from the mess that Trump created. But that’s not easy. All investment vehicles are sketchy in 2019, according to Shervin Pishevar. And he has a track record that proves he’s right more than he’s wrong.