Hedge fund manager Paul Tudor Jones issues a call for more responsible investing, saying that the craze over stock buybacks is causing troubling social ills.
"I think we've got a mania going on in buybacks and a mania going on terms of shareholder primacy," Tudor Jones told CNBC's Bob Pisani on the sidelines of the Inside ETFs conference in Hollywood, Florida. He added that the focus solely on shareholder profits has helped cause major wealth disparity and is a departure from the way corporate boards used to behave.
"Things had been different and can be different again, and if they're not I'm really nervous about what the ultimate social consequences are in this country."
Tudor Jones is noted for making broad market calls and predicted the 1987 stock market crash. More recently, he warned at an investor forum in November of a "global debt bubble" that would be "very challenging."
In June, he told CNBC that the stock market could got "a lot higher at the end of the year," but the exact opposite happened. Stocks fell into a near-bear market to end the year as investors recoiled on fears that the Federal Reserve was going to make a policy mistake and raise rates too aggressively.
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from Top News & Analysis https://cnb.cx/2N0LaaH
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