Fundstrat co-founder and managing partner Tom Lee says that deep-pocketed investors are still skeptical of a certain stock group, despite a rally in the markets. In a new interview on CNBC Television, Lee says that high-net-worth investors are still on the fence about speculative stocks, shares of firms that carry a high level of risk but also offer the potential for very high returns The performance of these stocks is often attributed to hope and hype rather than a proven business model. Says Lee, “These are not the stocks that we recommend for our clients. You know, we stick with large-cap quality and portfolios. 35 of the best S&P [500] names… There’s $7 trillion of cash on the sidelines, and retail investor sentiment, I think you have to really fracture it. I think the Robinhood community is bullish, but what I’d call the high-net-worth and the traditional equity investor is still pretty cautious. That’s the heart of our universe of clients.” Lee also says that the US stock market is still in good shape to witness more rallies, as investor sentiment appears to be muted despite surges to all-time high prices. “So I would say speculative activity, those are such small examples that I would say it’s way too early for me to say there’s speculation… High beta as an ETF (exchange-traded fund), if you look at that, it usually should lead in a bull market. So it’s not unusual… But the thing to keep in mind is that in 2021… people were speculative excess in these Mag 7 and these large-cap names. There’s hardly any euphoria in those stocks.” Follow us on X , Facebook and Telegram Don't Miss a Beat – Subscribe to get email alerts delivered directly to your inbox Check Price Action Surf The Daily Hodl Mix Disclaimer: Opinions expressed at The Daily Hodl are not investment advice. Investors should do their due diligence before making any high-risk investments in Bitcoin, cryptocurrency or digital assets. Please be advised that your transfers and trades are at your own risk, and any losses you may incur are your responsibility. The Daily Hodl does not recommend the buying or selling of any cryptocurrencies or digital assets, nor is The Daily Hodl an investment advisor. Please note that The Daily Hodl participates in affiliate marketing. Generated Image: Midjourney The post High-Net-Worth Investors Are Still Cautious on These Stocks – According to Fundstrat’s Tom Lee appeared first on The Daily Hodl .
