Cathie Wood Saw 2008 Housing Bubble in 2006

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Casgains Academy presents the career of Cathie Wood. Cathie Wood was an economic analyst in the late 1970s and 1980s when there was high inflation. Many noted experts believed that high inflation was going to stay for a long time. Cathie predicted that high inflation would go away soon and she ended up being correct. Cathie Wood now manages the Ark Invest funds which have over $50 billion in assets.

Cathie saw the housing bubble in 2005 and 2006 but after underperforming with a derisked portfolio in 2006 changed back to high risk in 2007 so she underperformed in 2008. This experience has helped Cathie to prepare her innovation funds to prepare for crashes and have strategies to ride through crashes.

Cathie was in early in Bitcoin when it was at $250.

Cathie was early on Netflix and Tesla.

“Disruptive innovation focused strategies can be used as part of an investor’s long-term growth strategy, as a satellite strategy to diversify core portfolios, or as a hedge against rapid change. Over time, such a well-balanced portfolio should have the potential to deliver higher returns than risk-averse strategies,” explains Tom Staudt, ARK Investment Management’s COO.

Cathie has been investing in innovation before and through the rise of the internet.

SOURCES – Casgains Academy
Written by Brian Wang, Nextbigfuture.com

29 thoughts on “Cathie Wood Saw 2008 Housing Bubble in 2006”

  2. but who gets to run, participate, and/or spectate? Controlling the access to such services?

  3. but is there trickle-down and oppportunity to 'buy in'? Are these 'titans' interested in spreading opportunity to all who want/can or in simply isolating themselves from others??

  4. Maybe Mrs. Wood saw the housing bubble, but Mr. Wang did not see
    1) that Maduro would not be removed
    2) that Iran would not yield
    3) that McCain would not have won in 2008
    4) that D-Wave would not go anywhere
    5) that Rossi was a scam
    ..

    Just sayin`

    Lukkhha (fighter for freedom in Iran, Iraq, Palestine and Venezuela against stipid cowardAmeritards)

  5. actually some really dry but essential financial, insurance, property transfer, and other public contractual stuff really benefits from this virtually unhackable and ubiquitous-fixed ledger system.

  6. Not convinced on the bitcoin/ blockchain/ crypto-database-y stuff as being a viable system of business outside of laundering, speculating, and niche libertarian dealings. It doesn't mesh with the way people/ businesses use money, credit, and overall product/service transactions. They say it provides a 3rd party trust element that lacks in many places – maybe so. But irreversible, forever documented, and not too upscalable is not a convenient thing for oversight and regulatory systems.

  7. Agreed. If the techno-capitalist titans intend to wield vast wealth and influence to squeeze time and money out of the masses to satiate their desire for immortal-space-bitcoin empires, i say Engage.

  8. Say what you want about how well she was positoned to predict this or invest in that — or whether she was a true influencer, an over-privileged trust-fund techie-chaser, whatever… but to look at the various ETFs that ARK has: Innovation, Genomic, Next-Gen Internet, FinTech, Autonomous Tech&Robotics, Space Exploration (interesting, but generic on their face)… and then to get into the individual holdings for each… really indicates a whole transhuman, post-industrial, off-world, possibly libertarian-post-scarcity, slightly force-militant, mindset: Thales, Kratos, L3Harris, Komatsu, Teradyne, UIPath, Coinbase, PayPal, Twilio, Teladoc, Twist, Crspr, Ionis… and then a whole bunch of flash-in-pan blockchain stuff, flavor-of-the-month companies: zoom and shopify… If there ever was a grab-bag of what the world should be 2020 to 2040, these are the companies to spread their service…

  10. Raw envy aside, even a broken clock is correct twice a day. The innovation investment space is a lot more complicated than a clock. However, there are a lots of broken clocks in that space.

  11. I remember Tall Paul Volker well. Actually, the federal reserve has a dual mandate imposed on it by law. That is to control inflation, and unemployment. It does neither, instead it ensures, at the cost of it's mandates, that banking is obscenely profitable under normal conditions, and that the big banks, and the crooks that run them do not suffer for their misdeeds in economic downturns

    The federal reserve should be abolished, and all central bankers sentenced to hard labor.

  12. Actually, she lacks the courage of her convictions. She identified the bubble, and knew it would pop, but could not wait out the machinations of the federal reserve to delay the rupture.

  13. The CPI has been engineered bit by bit to hide the true extent of consumer inflation. If you calculate the CPI by the original formula, you'll see it will be between 8, and 9 percent higher than the dishonest number the federal government craps out, and the mainstream media accepts without question, or comment.

    The below link is for charts that show CPI reported by the feds since 1980, compared to the 1980 formula calculation, and the 1990 version. The charts are created by economist John Williams, who owns the website ShadowStats.com.

    At this website you can find honest CPI, GDP, and other important financial measures that are calculated on an apples to apples basis, rather than an apples to oranges version. The purpose of this fraud is to put a happy face on the US economic disaster brought on by central banking, and globalism, and to decrease cost of living adjustments to government programs, and government, and private pensions, both of which the federal government guarantees for now.

    http://www.shadowstats.com/alternate_data/inflation-charts

  14. Inflation is here to stay. It must stay or increase due to the high debt we incurred by both parties GOP and DEMs who think by spending over earning is money that grows on trees. Our national debt still is way too high and it risks the republic going into a deep depression. At some point this country will need to deal with extremely wasteful healthcare system which bankrupts people when they get sick, pay down national debt by taxation, young people cannot afford to buy houses or college educations and the ever increasing catch basin of poor people who cannot get ahead anymore. The republic is showing its cracks.

  15. Low inflation didn't just happen. Does anyone even remember Paul Volker, former chairman of the federal reserve under former POTUS Ronald Regan and predecessor of Alan Greenspan?!? The stagflation of the late 70's early 80s? Paul Volker explicitly stated that it was the policy of the fed to wring inflation out of the economy. Interest rates rose to nosebleed hights — 18%-20% for mortgages, 30-50% on CCs. The 1980's especially, in the first half, was extremely economically painful. The fed succeeded in its goal and we got an era of very low inflation and hight growth. It was hard earned and hard won economic disciple. Unfortunately, it seems we've thrown out that discipline and are pursuing economic policies that will re-create what lead to the stagflation of the 70s and early 80s. We seem to be repeating history (sigh)! How soon people forget!

  16. The problem is not the gods helping her, it is her thinking that the gods are helping her.

  25. That's what I was going to say: While you can do it deliberately as a scam, nature replicates it all the time. Just by random chance some people are going to make a string of correct predictions, that doesn't really mean their next prediction will be correct.

    Though if you have to bet, I suppose that's the way to do it.

    "Cathie saw the housing bubble in 2005 and 2006 but after underperforming with a derisked portfolio in 2006 changed back to high risk in 2007 so she underperformed in 2008. This experience has helped Cathie to prepare her innovation funds to prepare for crashes and have strategies to ride through crashes."

    So, she saw it coming, and positioned herself to suffer from it anyway? And this is supposed to recommend her? Not seeing it.

  26. "Somebody right now has backed the right company when it comes to commercial fusion."

    Fusion "might" be big, but it still has to compete with abundant natural gas, solar, conventional nuclear and possibly fast reactors or natural hydrogen in the future.

    In any case, robotics/AI/quantum "cloud" computing/BMI "uploads" might lead to industries that are bigger than the energy sector according to economist Robin Hanson:
    http://futurebrief.com/RobinHanson.pdf

  27. This is a classic scam. Send out letters to thousands of prospective investors with different predictions. Then the small fraction that are right over time lure in "investors," while the erroneous letters are set aside.

  28. To predict that something is going to happen without knowing when – usually leads to disasters. I don't care about Cathie.

  29. I believe there will always be some 'guru' who called the top or bottom – just like there will always be a 'hot' celebrity on a roll. Look at Michael Burry who was 100% right about the housing crisis of 2008 but not so much after. Given there are 1,000s of fund managers, some percentage are going to be on the right side at the right time and called a 'genius'. Somebody right now has backed the right company when it comes to commercial fusion. Who is the genius? We don't currently know.

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