Famed investor Michael Burry made headlines this September for a stark warning about the pitfalls of passive investing. Best known for calling the top of the U.S. housing market in the mid-2000s — an achievement chronicled in the film, “The Big Short” — Burry unleashed a tweetstorm warning that passive ETFs and mutual funds were helping push the stock market to unsustainable levels.
Burry didn’t exactly call a top or say investors should cash out of their index funds now. But he did predict a reckoning, sooner or later.
That ought to be enough to make investors all-in on passive stock market vehicles think twice about their strategy. The fact is, the average investor has better access to a diverse and potentially profitable array of investment opportunities today than ever before. There’s no reason to put all your eggs in one basket anymore.
So, whether you’re inclined to listen to Burry or not, it’s time you reassessed your investment mix. These six investment ideas could serve you well in 2022 and beyond.