E 20: Kevin Muir on How to Position Portfolios for an Upcoming Inflationary Cycle

The Pitch Podcast

[SHOW NOTES]

These days it feels like the price of everything -- from housing, cars, gasoline, and even travel -- is skyrocketing. Today's guest, Kevin Muir, makes the argument that the inflation we are seeing around us is not a transient blip that will normalize with the easing of the pandemic, but an enduring force and a new economic reality. Kevin is the author of the MacroTourist Newsletter, with a tongue-in-cheek tagline of "All I Bring to the Party is 25 years of Mistakes." He is an expert macro thinker and trader and offers many nuggets of wisdom throughout the episode.

Key Points in This Episode

• Kevin's career evolution from trading at a prestigious investment bank to striking it out on his own
• How it's easier to make money than to keep it, and the importance of remaining humble and constantly learning
• His views on market bubbles, and how today's environment compares with previous bubbles
• The rise of the retail trader as a formidable market force, and how hedge funds have to now think harder about right-tail risk
• Modern Monetary Theory and its place in the current debate
• How the fiscal and monetary response to COVID was different from past cycles and will have different consequences
• What has changed in the market that will lead to inflation enduring in the 4-5% range
• How to position portfolios in the new economic regime