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Sitt: Investors take “conservabull” route when deciding where to park cash

NYC, Milan and Madrid are among the safest bets

From the New York website: Call it the Running of the “conservabulls.”

Joseph Sitt, head of Thor Equities, employed the term on Bloomberg TV on Wednesday, referring to investors who are looking for a safe place to park their cash.

“What they are looking for is, ‘How can I invest my money and be a bull but, at the same time, be safe?'” he said. “I would liken them to tourists. Folks like cities to invest their money that have less exposure.”

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He said the threat of terrorism or the “Game of Thrones kid” running North Korea has people careful about where they choose to invest. Even President Donald Trump poses a potential “global shock risk,” he said.

“Donald Trump put a little fear. What’s he going to tweet at 8 a.m. on Sunday morning?” he joked. “That concern makes people become what I call conservabulls.”

Madrid, Milan and New York City are probably the safest bets, Sitt said. He cited HNA Group’s $2.2 billion contract to buy 245 Park Avenue.

“If I’m HNA, do I like the second-tier markets in the United States? Yes, I love them, but I’m sort of thinking to myself, ‘yes I love it but I also want to sleep at night,'” he said.

Sitt is having a bit of trouble with some of his New York assets. Vacancies at retail properties like 597, 590 and 530 Fifth Avenue could mean foreclosure for his loans, Crain’s reported. [Bloomberg] — Kathryn Brenzel 

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