Mary Ann Bartels: Stocks, Bitcoin Poised to Keep Rallying in 2025
Barron's Advisor
Deep Dive
Why does Mary Ann Bartels believe we are in the 'golden age of investing'?
Mary Ann Bartels believes we are in the 'golden age of investing' due to transformative technologies like AI, blockchain, and the upcoming Web3. She compares the current cycle to the 1920s and 1995-2000 periods, where new technologies like cars, radio, and the internet had profound economic impacts. She also notes that markets don’t peak until all investors are in and leverage is high, which she believes is not the case yet, indicating a secular bull market through the end of the decade.
What are Mary Ann Bartels' S&P 500 targets for 2025 and the end of the decade?
Mary Ann Bartels forecasts the S&P 500 to reach 7,200 to 7,400 in 2025, representing a roughly 20% gain from current levels. She also introduced a long-term target for the end of the decade, predicting the S&P 500 could reach between 10,000 and 13,000, driven by continued growth in technology and the economy.
What is Mary Ann Bartels' outlook on Bitcoin and its potential as a reserve asset?
Mary Ann Bartels is highly bullish on Bitcoin, viewing it as a store of value and a symbol of the world going digital. She believes there is a high likelihood of the U.S. government creating a Bitcoin reserve, which could offset the deficit. She also notes that Bitcoin’s scarcity (only 21 million can be created) and its role as a digital asset could drive its value significantly higher, with near-term targets of $113,000 and $150,000.
How does Mary Ann Bartels view the role of AI in the economy and its impact on productivity?
Mary Ann Bartels sees AI as transformative, already showing early signs of productivity gains, such as reducing analysis time for professionals. She believes AI will continue to drive economic growth, particularly in the U.S., which is the hub for AI technology. She also expects AI to lead to increased capital expenditure and spending, further boosting the economy.
What sectors does Mary Ann Bartels favor for investment in 2025?
Mary Ann Bartels favors technology, particularly software, as the leader for 2025. She is also bullish on small caps, capital markets, and infrastructure, citing expected economic growth and deregulation under the Trump administration. She is cautious on healthcare and consumer staples, which she views as weak, but positive on cyclicals and utilities, especially given the growing demand for electricity driven by AI and blockchain.
What is Mary Ann Bartels' perspective on the U.S. dollar and its future strength?
Mary Ann Bartels is a dollar bull, believing the U.S. dollar will remain stable or strengthen further due to attractive U.S. interest rates compared to collapsing rates in Europe. She advises investors to hedge overseas investments to mitigate currency risk, as a stronger dollar can reduce returns when translating foreign investments back to U.S. dollars.
How does Mary Ann Bartels view the potential for a Bitcoin reserve in the U.S.?
Mary Ann Bartels believes there is a high probability of the U.S. creating a Bitcoin reserve, given the government already holds billions in Bitcoin from seizures. She sees this as a potential way to offset the deficit and views Bitcoin as a key part of the digital transformation of the global economy.
What is Mary Ann Bartels' outlook on small caps versus large caps for 2025?
Mary Ann Bartels is bullish on small caps for the next six to 12 months, citing the traditional 'January effect' where small caps outperform. However, she believes large caps and mega caps will remain the leaders over the secular cycle, though small caps present attractive investment opportunities in the near term.
What is Mary Ann Bartels' view on the role of ETFs in the growth of Bitcoin and other cryptocurrencies?
Mary Ann Bartels sees ETFs as democratizing access to Bitcoin and other cryptocurrencies, making it easier for individual investors to participate. She believes this has been a significant factor in the growth of the crypto market, as it removes the complexity and risk associated with direct ownership of digital assets.
What is Mary Ann Bartels' advice for individual investors in the current market environment?
Mary Ann Bartels advises individual investors to stay invested, particularly young investors looking to build retirement wealth. She emphasizes the importance of dollar-cost averaging and not trying to time the market, as staying invested over time is key to growing wealth, even in volatile or high markets.
- Accurate market predictions for 2024
- Impressive Bitcoin performance exceeding 150%
- Introduction of the "golden age of investing" concept
- Transformative technologies: AI, blockchain, Web3
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