Bill Miller vs. the 'New Normal'

October 25, 2009 | By Jim Kim

Bill Miller, despite being badly burned in the financial crisis, is resolute about sticking with financial stocks. So far this year, he's fared well with the likes of Bank of America (BAC) and Wells Fargo (WFC). He's even more bullish and told clients recently that there's more upside to stocks.

He's also betting against the so-called "New Normal," the view that the recovery from the housing crisis will be slow and measured. He thinks it would be a big mistake for people to keep pouring into bonds. It will take a lot more for his investors to forget his truly disastrous performance in prior years. The man who beat the S&P 500 15 years in a row until 2007 had a terrible 2008 thanks in part to financial stocks. He just kept betting that they had hit bottom only to see them fall lower.

For more:
- here's an article from Pensions & Investments