After weeks of not posting anything on Twitter, Shervin Pishevar really let loose after tweeting 50 points in a matter of just 21 hours. Many of the tweets had dark predictions for the US economy and big businesses in the United States.
Shervin Pishevar is a well-known angel investor in the Silicon Valley area. He has received a variety of awards and recognitions, including one given by Barack Obama in 2015. He was appointed to the J. William Fulbright Foreign Scholarship Board. He is of Iranian descent and was given an Ellis Island Medal of Honor in the year 2016. The last time he was heard from on Twitter was in December 2017 when he announced that he would be resigning from Sherpa Capital, which is a venture capital fund that has invested in well-known companies like Munchery and Uber. He also spent some time as a strategic advisor to Uber.
Shervin Pishevar’s Twitter storm came in response to a steep drop in the stock market. He feels that things are going to continue to get worse before they will get better. All of the gains from 2018 are already forgone, and Shervin Pishevar predicts that the gains from 2017 will be gone soon as well. He warned that every asset class has proven to be overvalued and that everyone should scramble for safety. However, he says it will not be found anywhere. He thinks that the reason why there will be continued losses are because of increasing interest rates, tax giveaways, and continued credit account deficits.
Almost midway through the Twitter storm, Shervin Pishevar talked about quantitative easing. This is a process that is used by the government where central banks can buy bonds. It has been used effectively in the past to reset the market. He tells everyone to not be fooled if the government turns to this tactic again. He says that it has been used too many times in the past to continue to be effective.
Shervin Pishevar had especially ominous predictions for big funds, especially managed future funds and volatility indices. He believes there is precedent to expect one of the big ones to bite the bullet.