Jeremy Grantham sees another bubble. Here’s where he’s hiding

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What he worries about is the fact that markets tend to get over-excited about such trends, and before the real winners emerge, a bubble inflates and pops. “Such revolutions are in the end often as transformative as those early investors could see and sometimes even more so – but only after a substantial period of disappointment during which the initial bubble bursts.” The best example is Amazon, which rose 21-fold between 1998 and its 1999 peak, then lost 92 per cent of its value between 2000 and 2002, and before eventually “inheriting half the retail world”. Grantham admits the bubble-within-a-bubble...