Latest news with #Kevin OLeary
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a day ago
- Business
- Yahoo
Kevin O'Leary: tariffs key to trade war with China
Moneywise and Yahoo Finance LLC may earn commission or revenue through links in the content below. It's no secret that President Donald Trump has a fondness for tariffs — he once called it 'the most beautiful word in the dictionary.' While some experts question their effectiveness, 'Shark Tank' star Kevin O'Leary sees them as a crucial tool to reshape trade relations — particularly with China. 'China's a different issue completely to Canada or any other country. Since they came into the World Trade Organization, they have broken the rules with every country, including the U.S.,' O'Leary said in an interview with Fox Business. O'Leary shared his frustration with China, rooted in his business dealings: 'I'm an individual who does business there. My businesses have been absolutely screwed. I've said it countless times. They don't play by the rules. There's nothing reciprocal in our relations.' Don't miss Thanks to Jeff Bezos, you can now become a landlord for as little as $100 — and no, you don't have to deal with tenants or fix freezers. Here's how I'm 49 years old and have nothing saved for retirement — what should I do? Don't panic. Here are 5 of the easiest ways you can catch up (and fast) You don't have to be a millionaire to gain access to this $1B private real estate fund. In fact, you can get started with as little as $10 — here's how As a result, he advocates for strong measures. O'Leary emphasized that the only way to make it work with Chinese President Xi Jinping is to 'inflict massive economic pain and risk on him by imposing tariffs on sectors where many Chinese people are employed.' 'The only way to put [Xi] at risk is to say, look, if you want to mess with the largest economy you trade with, then we're going to force a lot of people that make yoga mats or electronics or whatever else it is to be unemployed in your cities, and they'll be rioting in the streets, they won't have any bread, and you will be out of power. That is the only way it's going to work — so very selected high-impact weaponry like tariffs, but you've got to be hardcore,' he explained. America is 'set up to grow' According to O'Leary, implementing tough measures is essential to leveling the playing field with China. '[Xi] only understands the stick. That's all he understands. Any weakness at all, he plays off and he has done so for years. So I'm hoping this is the administration that fixes the problem. I have really been hurt by China, and there are millions of other businesses in America in the same boat I'm in,' he said. To be sure, economists generally view tariffs as a double-edged sword. On one hand, they can protect domestic industries by making imported goods more expensive, giving local manufacturers a competitive edge. On the other hand, higher tariffs may result in increased costs for consumers, as companies pass on the extra expenses. This can lead to inflation, eroding household purchasing power and raising the cost of living. A 2019 study by economists from the Federal Reserve Bank of New York, Princeton University, and Columbia University analyzed the effects of Trump's tariffs through late 2018. Their findings were clear: 'Our results imply that the tariff revenue the U.S. is now collecting is insufficient to compensate the losses being borne by the consumers of imports.' Tariffs can also spark retaliation from trading partners, leading to trade wars that disrupt global supply chains and hinder economic growth. Ian Sheldon, a professor and the Andersons Chair of Agricultural Marketing, Trade and Policy at Ohio State University, underscored this risk during a conversation with Business Insider: 'We have this integrated market in North America, and we're already in a trade dispute with Mexico over genetically modified corn. It seems counterproductive to me to potentially exacerbate trade relations with one of our large trading partners. It doesn't make any sense to me.' Still, many business leaders remain optimistic about America's future under Trump's presidency — and O'Leary isn't alone in his confidence. Amazon founder Jeff Bezos recently expressed his own optimism, calling America 'the luckiest country in the world' and saying it is 'so set up to grow.' With the U.S. poised for potential growth and renewed strength, those who share this optimism might see opportunities to invest in America's future. Here are some simple ways to get started. Read more: Rich, young Americans are ditching the stormy stock market — Invest in American businesses One of the simplest and most accessible ways to invest in America is through the stock market. When you buy stocks, you're purchasing a share of ownership in businesses, giving you a stake in their profits and growth potential. Legendary investor Warren Buffett has championed this strategy for decades, maintaining steadfast confidence in its long-term rewards. 'America has been a terrific country for investors. All they have needed to do is sit quietly, listening to no one,' Buffett wrote in his latest annual letter to Berkshire Hathaway shareholders. His unwavering faith in U.S. equities has been a cornerstone of his success. 'I can't remember a period since March 11, 1942 — the date of my first stock purchase — that I have not had a majority of my net worth in equities, U.S.-based equities,' he wrote. For those looking to follow in Buffett's footsteps, he has consistently advocated for a simple but effective strategy which he referred to at Berkshire's 2020 annual meeting: 'In my view, for most people, the best thing to do is own the S&P 500 index fund.' This straightforward approach gives investors exposure to 500 of America's largest companies across various industries, providing diversified exposure without the need for constant monitoring or active trading. With Wealthfront's automated investing platform, the power of compound interest works for you. Their sophisticated "set it and forget it" approach means your money is professionally managed and automatically rebalanced, allowing your wealth to grow steadily over time. Start investing for the long term with globally diversified portfolios or go for a higher yield than a traditional savings account with an automated bond portfolio. Open your account today and receive a $50 bonus to jumpstart your investment journey. Whether you're saving for retirement, a home, or building generational wealth, Wealthfront's low-cost, automated investment strategy can help you achieve your financial goals. Building wealth through American real estate Real estate has been another cornerstone of wealth creation in America, and the current housing supply gap highlights a unique opportunity for investors. According to a June analysis by Zillow, the U.S. housing shortage reached an estimated 4.5 million homes as of 2022. Federal Reserve Chairman Jerome Powell underscored the severity of the crisis in a September press conference, stating, 'The real issue with housing is that we have had, and are on track to continue to have, not enough housing.' While high home prices and elevated mortgage rates have made buying a home more challenging, you don't need to purchase a property outright to invest in U.S. real estate. Crowdfunding platforms like Homeshares allows accredited investors to gain direct exposure to hundreds of owner-occupied homes in top U.S. cities through their U.S. Home Equity Fund — without the headaches of buying, owning, or managing property. The fund focuses on homes with substantial equity, utilizing Home Equity Agreements (HEAs) to help homeowners access liquidity without incurring debt or additional interest payments. This approach provides an effective, hands-off way to invest in high-quality residential properties, along with the added advantage of diversification across various regional markets – all with a minimum investment of $25,000. With risk-adjusted internal returns ranging from 12% to 18%, the U.S. Home Equity Fund offers accredited investors a low-maintenance alternative to traditional property ownership. Another option is First National Realty Partners (FNRP), which targets necessity-based commercial real estate. The platform lets accredited investors own a share of institutional-quality properties leased by national brands like Whole Foods, CVS, Kroger and Walmart. Investors can enjoy the potential to collect stable, grocery store-anchored income every quarter. You can also tap into the real estate market by investing in shares of vacation homes or rental properties through Arrived. Backed by world-class investors including Jeff Bezos, Arrived allows you to invest in shares of vacation and rental properties, earning a passive income stream without the extra work that comes with being a landlord of your own rental property. To get started, simply browse through their selection of vetted properties, each picked for their potential appreciation and income generation. Once you choose a property, you can start investing with as little as $100, potentially earning quarterly dividends. What to read next Robert Kiyosaki warns of a 'Greater Depression' coming to the US — with millions of Americans going poor. But he says these 2 'easy-money' assets will bring in 'great wealth'. How to get in now Accredited investors can now buy into this $22 trillion asset class once reserved for elites – and become the landlord of Walmart, Whole Foods or Kroger without lifting a finger. Here's how Car insurance in America now costs a stunning $2,329/year on average — but here's how 2 minutes can save you more than $600 in 2025 Here are 5 'must have' items that Americans (almost) always overpay for — and very quickly regret. How many are hurting you? Stay in the know. Join 200,000+ readers and get the best of Moneywise sent straight to your inbox every week for free. This article provides information only and should not be construed as advice. It is provided without warranty of any kind. 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Yahoo
2 days ago
- Business
- Yahoo
Kevin O'Leary warns against making this 1 big mistake when there's 'blood in the streets'
Moneywise and Yahoo Finance LLC may earn commission or revenue through links in the content below. Escalating trade tensions amid tariff threats under President Donald Trump has rattled investor confidence. While the roller-coaster market might tempt some investors to sell, 'Shark Tank' star Kevin O'Leary is taking a different approach. 'Nobody likes volatility, but the market was extremely expensive,' O'Leary said in an interview with Yahoo! Finance on March 13. 'I've lived through multiple corrections of up to 20%. I have to admit, I did some buying lately.' Don't miss Thanks to Jeff Bezos, you can now become a landlord for as little as $100 — and no, you don't have to deal with tenants or fix freezers. Here's how I'm 49 years old and have nothing saved for retirement — what should I do? Don't panic. Here are 5 of the easiest ways you can catch up (and fast) You don't have to be a millionaire to gain access to this $1B private real estate fund. In fact, you can get started with as little as $10 — here's how The sharp pullback in stocks — particularly in the tech-heavy Nasdaq and small-cap Russell 2000 indices — caught O'Leary's attention. 'I can't catch the bottom, but I've seen great companies that still have great growth prospects selling down,' he said. O'Leary believes this kind of downturn is exactly the moment investors should be stepping in, even if the headlines are full of doom and gloom. 'Everybody feels, 'Oh my goodness, it's the end of the free world as we know it' — this always happens,' he said. 'As an investor you learn that you have to hold your nose, and when there's blood in the streets you have to be buying. It's an old adage, but it's not incorrect.' What O'Leary says he's buying So, what exactly has O'Leary been buying? Rather than picking individual stocks, O'Leary revealed he buys indices, favoring rule-based exchange-traded funds (ETFs) that provide broad exposure while following a disciplined strategy. 'I use ALPS [mutual funds] because I once had an ETF company that did this,' he shared. 'I use their OUSA product for the S&P 500 and OUSM for the Russell 2000, and I bought more because it's on sale.' While O'Leary is confident in the long-term benefits of buying during downturns, he cautions against trying to predict the exact bottom. 'You just have to look long term and realize these are buying opportunities, but never think you're going to catch the bottom. I don't even guess to do that, I don't try to time the market,' he remarked. Read more: Rich, young Americans are ditching the stormy stock market — O'Leary's strategy meets Buffett's wisdom O'Leary isn't the only high-profile investor who champions index investing — Warren Buffet has long been a vocal advocate of the strategy for everyday investors. Buffett has previously stated: 'In my view, for most people, the best thing to do is own the S&P 500 index,' meaning shares in an index fund. The legendary investor, who Forbes estimates is worth $160-plus billion, believes everyday investors are better off putting their money into a broad-based, low-cost index fund that captures the long-term growth of the U.S. economy. He believes so strongly in this strategy that he instructed 90% of his wife's inheritance be invested in 'a very low-cost S&P 500 index fund' after he dies. The beauty of this approach is its accessibility — anyone, regardless of wealth, can take advantage of it. With Wealthfront's automated investing platform, the power of compound interest works for you. Their sophisticated "set it and forget it" approach means your money is professionally managed and automatically rebalanced, allowing your wealth to grow steadily over time. Start investing for the long term with globally diversified portfolios or go for a higher yield than a traditional savings account with an automated bond portfolio. Open your account today and receive a $50 bonus to jumpstart your investment journey. Whether you're saving for retirement, a home, or building generational wealth, Wealthfront's low-cost, automated investment strategy can help you achieve your financial goals. While investing in an index fund is straightforward, some investors may want guidance on building a portfolio that aligns with their personal financial goals. That's where a professional can help. With you can connect with a personal adviser who can help assess how you're doing so far and make sure you've got the right portfolio to meet your goals on time. is an online platform that matches you with vetted financial advisors suited to your unique needs. Once you're matched with an advisor, you can book a free consultation with no obligation to hire. What to read next Robert Kiyosaki warns of a 'Greater Depression' coming to the US — with millions of Americans going poor. But he says these 2 'easy-money' assets will bring in 'great wealth'. How to get in now Accredited investors can now buy into this $22 trillion asset class once reserved for elites – and become the landlord of Walmart, Whole Foods or Kroger without lifting a finger. Here's how Car insurance in America now costs a stunning $2,329/year on average — but here's how 2 minutes can save you more than $600 in 2025 Here are 5 'must have' items that Americans (almost) always overpay for — and very quickly regret. How many are hurting you? Stay in the know. Join 200,000+ readers and get the best of Moneywise sent straight to your inbox every week for free. This article provides information only and should not be construed as advice. It is provided without warranty of any kind.
