Market. The percentage of IPOs for companies with negative earnings has increased and we are back to year 2000 levels. Unlike the 2008 incident that involved a housing problem with half a dozen states instigating a European banking crisis, this fund has a lot of middle eastern and their sovereign investments and so this could be more reaching than we expect. People are chasing these returns and being forced into riskier investments. He is more conservative for his clients. The more you go into the greed momentum, until that trend breaks it does not change and then there is significant change. At least MSFT-Q has a business.

Gold. It has put two or three percentage points on the index this year. He has a difficult time with the gold space. The rally leaves him cold. There have not been dividends in the sector and the companies have been terrible allocators of capital in the sector. They are expensive now. He is not about trading them. The investor is in it for the gold trade in most cases. Larger companies have done a better job.

Expecting 4% real return on banks, utilities. You want to have a sustainable income stream. These companies are not going away. If you are wrong then you should have some exposure to industrials. But otherwise he agrees with this.

Investors often panic and sell. Don't buy a stock unless you hold it for 5-10 years; you're guaranteed to make money over 20 years.

Investors do a lot of short-term thinking these days. There's always someone going to be pessimistic; if you want bad news, you'll find it, like FedEx yesterday. The key is timing. You don't know when the next correction will be. Who cares? You've made money if you've done nothing. He ignores worries and news and focuses on companies that grow quickly. Too many people sell out of fear, but many sell because they made a profit. You might have the next Microsoft. Don't average down. His investment horizon is very long, 5-10 years. You're guaranteed to make money after 20 years.