- According to Peter Mallouk, investors should not look to bitcoin after what is happening with COVID-19.
- Speaking to CNBC, Mallouk said that stocks and bonds were much better investment opportunities than bitcoin and even gold.
According to Peter Mallouk, young investors should not look to bitcoin after what is happening with COVID-19. Speaking to CNBC earlier this week on the 21st of May, Mallouk said that stocks and bonds were much better investment opportunities than bitcoin and even gold. For those that don’t know, Mallouk is the president and the chief investment officer at the wealth management company, creative planning.
Speaking to the network, he said that there is no need to go over into the speculative world and argued that assets such as crypto and gold say a lot more spikes and crashes. He said:
Basically, we define ‘speculative’ as anything that doesn’t produce income and bring it to you as an investor.
The businessman was specifically talking about how bitcoin has outperformed stocks, bonds and oil over the past 12 months. Looking at how it has performed this year doesn’t seem to compare though.
It’s no different from loaning money to your brother — hopefully, your brother’s really economically stable, you loan him money, he’s going to pay you back.
Despite how it's been performing these past few weeks, Mallouk is convinced that it will fail in the end. Looking back in time to December 2018 when bitcoin experienced a massive crash to the price range of $3000, Mallouk said that bitcoin is dead.