Markets often reward patience. Mean reversion has humbled many predictions of a new era. Yet regime shifts do occur. When the base conditions change, the old reflexes deserve another look. This piece examines whether the familiar buy-the-dip mantra still rests on the old foundations.
The legendary investor says we’re in the midst of the third major shift he’s seen in his 50-year career, as a decades-long low-interest-rate environment shifts to something most investors have not yet experienced. It’s a new world in which credit investors – and especially bargain hunters – should thrive.
