If you’re a Trump fan, you probably won’t believe what angel investor and hedge fund guru Shervin Pishevar had to say in his 21-hour tweetstorm. Trump claims the economy is great. He claims his economic plan works, and the monthly job reports prove this is the greatest economic boom in history. But even though the GDP grew by a little more than three percent in the second quarter of 2018, the economy has several hurdles to overcome in 2019. And a couple of those hurdles are the handy work of Donald Trump.
Anxiety seems to be the flavor of the day on Wall Street. The stock market is the measuring stick that tells investors how healthy corporations are and how strong the economy is at any given time. Investors know the stock market plunges in November and December show there’s danger dead ahead, according to Shervin Pishevar.
If the name Shervin Pishevar doesn’t mean much, you probably don’t know he’s a successful Silicon Valley investor and hedge fund manager. He played an important role in launching Uber. He lead the charge to invest $21 million in Uber when no one knew what Uber was or what it could do in the transportation industry.
Mr. Pishevar invested in other startups along the way. Airbnb, Dollar Shave Club, Postmates, and Warby Parker are a few of the startups that Shervin Pishevar recognized before other investors knew about them.
When Shervin decided to warn investors that another economic crisis was in the wind in February 2018, investors thought he didn’t understand how great Trump’s economic policies would be. But Shervin saw things that other investors overlooked back in February. Inflation, climbing interest rates, stock market plunges, bond uncertainty, and Trump’s tariff and sanction initiatives are on every investor’s mind right now. Shervin Pishevar warned investors those issues would come together to produce another 2008-type meltdown last February.
Shervin Pishevar tweetstorm gave investors fair warning, but most investors thought Pishevar didn’t give Trump enough credit. But those investors didn’t see the handwriting on the recession wall in Pishevar’s tweetstorm but they see it now.