Michael Price, who said the market now is “ideal for a stock picker,” said he bought shares of BB&T Corp. and that community banks are attractive investments.
“This is what you wait for: Being prepared on valuations and waiting for the market to hand you things at big discounts,” Price, who managed some of the best-performing mutual funds during the 1980s and 1990s and now runs New York- based MFP Investors LLC, said in an interview with Bloomberg Radio.
The Standard & Poor’s 500 Index has surged as much as 37 percent from a 12-year low in March. Banks and other financial institutions led the rebound.
Citigroup Inc., the New York-based bank that’s relying on $45 billion in U.S. government aid, will survive the credit contraction after selling businesses, Price said. The lender, created by Sanford “Sandy” Weill through two decades of takeovers, became too big to manage, Price added.
He suggested considering investments in banks such as BB&T and Wells Fargo & Co. now that they have raised money following the government’s evaluation of their health. Both companies received funds from the Treasury’s Troubled Assets Relief Program.
Read the complete story at bloomberg.com
“This is what you wait for: Being prepared on valuations and waiting for the market to hand you things at big discounts,” Price, who managed some of the best-performing mutual funds during the 1980s and 1990s and now runs New York- based MFP Investors LLC, said in an interview with Bloomberg Radio.
The Standard & Poor’s 500 Index has surged as much as 37 percent from a 12-year low in March. Banks and other financial institutions led the rebound.
Citigroup Inc., the New York-based bank that’s relying on $45 billion in U.S. government aid, will survive the credit contraction after selling businesses, Price said. The lender, created by Sanford “Sandy” Weill through two decades of takeovers, became too big to manage, Price added.
He suggested considering investments in banks such as BB&T and Wells Fargo & Co. now that they have raised money following the government’s evaluation of their health. Both companies received funds from the Treasury’s Troubled Assets Relief Program.
Read the complete story at bloomberg.com
