You don't get rewarded for taking risk; you get rewarded for buying cheap assets. And if the assets you bought got pushed up in price simply because they were risky, then you are not going to be rewarded for taking a risk; you are going to be punished for it.

The stock market is overpriced. Everything is overpriced. Junk is king.

You can't run the economy on BMWs alone. If the average person is in a pickle, how do you have a healthy economy?

Equities are boring; bonds are disgusting.

There is a lot of pain still to be had in the equity markets, particularly aimed at the risky end of the spectrum. We think the fair value on the market is about a third lower in the U.S. . .

Volatility is a symptom that people have no idea of the underlying value-that they have stopped playing the asset game. They're not buying because it's a company with certain attributes. They're buying because the price is rising. People are playing games not related to any concept at all of what the long-term value of the enterprise is. And they know it.

Capitalism believes that its remit is exclusively to make maximum short-term profits.