GO
Loading...

Enter multiple symbols separated by commas

Stock Pullback Will Come—but Not Yet: Barton Biggs

The S&P 500 will rise to 1200 or 1250 before there's a meaningful correction, so although stocks aren't as cheap as they were a few months ago, they're still worth buying, said Barton Biggs of Traxis Partners.

"Everybody thinks it's gone too far. We're getting all kinds of advice that we ought to cut back and lock in some gains," Biggs told CNBC. "It takes courage to be a pig, and I'm a pig here." (See video at left for more.)

Biggs recommended the following sectors and markets to investors:

Retail: "As the stock market has gone up and good things have happened in the economy ... you're going to get big increases in confidence and people are going to start spending again," he said.

Emerging Markets:The global economy is rebounding faster than the US, and Biggs specifically suggested buying into Eastern European countries such as Poland, Turkey and Russia.

Biggs also likes pharmaceuticals, technology and real estate investment trusts (REITs).

One sector not on Biggs' list: financials.

"Financials are tech in 2003," he said. "They've had a big bounce off the bottom just the way tech did and they're going to be unproductive money for the next five years."

Also on CNBC.com:

Contact U.S. News

  • CNBC NEWSLETTERS

    Get the best of CNBC in your inbox

    Please choose a subscription

    Please enter a valid email address
    To learn more about how we use your information,
    please read our Privacy Policy.

Don't Miss

  • Learning your value

    How to make sure you get what you¿re worth at your job, why you should stop apologizing, and how to manage work-life balance. Anchor Mika Brzeznski, author of the new book "Grow Your Value," shares her strategies for juggling busy lives.

  • Why women cheat?

    Is cheating bad? Why do women cheat? The founder and CEO of affair website Ashley Madison tells all, including why he has his eye on China.

  • Judge's gavel

    The Financial Industry Regulatory Authority disciplined several financial services firms and individuals in May 2015.

U.S. Video

  • Cramer: Here's a sign the market could rally

    Wall Street's been soaking in red, but "Mad Money" host Jim Cramer has one signal to watch for that could point to another run.

  • Burger war maneuvers

    Cramer looks at the number of company's selling burgers and tries to determine the quality names, as well as those to avoid.

  • Cramer: What's driving defense?

    Cramer says that even though President Obama has made it clear the US can no longer be the world's policeman, the country can become the world's arms dealer. Profiting from defense spending.