Stock market expert Paul Mampilly is one of the strongest critics of the cryptocurrency market. In recent interviews, Mampilly advised anyone heavily invested in cryptocurrencies to get out before the bubble bursts. Although Mampilly doesn’t know when cryptocurrencies will lose their value, he believes a crash is inevitable.
— Paul Mampilly (@Paul_M_Guru) June 1, 2017
Paul Mampilly thinks cryptocurrencies are on the same trajectory as tech stocks in the late 1990s. He reminds investors out how NASDAQ favorites like Qualcomm were up over 2,000 percent within a matter of months, not so dissimilar with how Bitcoin has shot up thousands of dollars in the past few weeks. While it was difficult for Mr. Mampilly to sell big winners like Qualcomm back then, he decided to play it safe and lock in his gains in the mid-90s.
As Mampilly watched the tech stocks rise ever higher, Mr. Mampilly started to have second thoughts about his decision to sell. However, once all the tech stocks took a nosedive in 1999, he felt a great deal better about his investment decision. Mampilly believes investors in cryptocurrencies need to do exactly what he did in the tech stocks of the 90s: put greed aside and sell, sell, sell!
The main problem investors face in this scenario, Mampilly says, is their emotional attachment to their stocks/currencies. People involved in high-flying stocks tend to hold out for a “second high” that never comes. Unfortunately, only a few investors have the foresight to see that a stock or currency’s peak is actually the needle that punctures the bubble.
While Paul Mampilly admits he was wrong to discourage clients from investing in Bitcoin years ago, he believes it’s a terrible idea to buy into cryptocurrencies at these prices. The only reason Bitcoin is climbing now, Mampilly argues, has to do with the heightened media attention surrounding the name. This has nothing to do with Bitcoin’s fundamentals, Mampilly says.
For those who don’t know, Paul Mampilly is best known for his work as the money manager at the Royal Bank of Scotland and Sears. He now works as an editor at various financial publications like Extreme Fortunes and Profits Unlimited. Mampilly also has vast experience working for big banks like ING and Deutsche Banke. His current passion is helping average Americans make smart investing decisions in the tech and small-cap stock sectors. Mampilly’s highest honor was winning the Templeton Foundation Investment Competition in the 2008-2009 season. As for formal education, Mampilly has an MBA from Fordham University.
Mampilly’s most impressive stock pick was a pharma company by the name Sarepta Therapeutics. Sarepta uses RNA strategies to treat various neurological disorders. Mampilly cashed in a whopping 2,000 percent gain from Sarepta in one year. Sarepta Therapeutics is still traded on the NASDAQ under the ticker SRPT.
Anyone can hear more of Mr. Mampilly’s financial opinions on TV stations like CNBC, Bloomberg TV, and Fox News.
Learn More: www.linkedin.com/in/paulmampilly