Bullish on stocks and America: Richard Bernstein’s Eleven Predictions for 2011
This one from the Former Merrill Lynch Chief Investment Strategist Bernstein seems to be making the rounds. Hat tip Barry Ritholtz.
Here’s where I first noted that Richard Bernstein had turned bullish:
Bernstein added that one wants to load up on risk now if one believes in the recovery. Junky names are the best as they have more leverage to a rebound. This is certainly the play right now (but I think it has more to do with interest rates than recovery). I had seen Bernstein saying exactly this last month, but he was not yet confident that the jobs picture had turned. Apparently, he is now and recommends going all-in, a recommendation I would view with skepticism.
–Richard Bernstein: Once a huge market bear, now a bull, October 2009
About that time I thought bonds and gold were better plays and this has proved to be true. However, for the past few months I have been pretty bearish on bonds (see here, for example). Right now, Emerging Markets look better than the US as evidenced by the recent credit upgrades Win Thin has pointed to. But Bernstein recommends the US over emerging markets. He’s a smart guy so his views are definitely well-considered. Take a look at his reasons.
P.S. – also see his calls from last year. His record is pretty good.