Barton Biggs of Traxis Partners spoke to Bloomberg Television's Betty Liu this morning about his investment strategy.
Biggs said he's now "80% net long" on stocks and that the U.S. market rally is "going to continue for awhile." Biggs also said that he's "intrigued" by European stocks, but he isn't buying them.
Biggs on his position in the markets:
"I have drifted a little bit higher. I am more about 80% net long...I am pretty bullish here. This morning, all of the commentary is from the wise men of Europe and the economists and so on, is very negative about this European deal that was worked out last week. I think the general feeling is that the right thing to do is to cut back on risk and that it is going to be a flop and all they did was kick the can not very far down the road again. I am inclined to feel differently. I think the pain trade is still up and there is a tremendous amount of money that is still trapped out of stocks. I think this rally is about positioning and it will continue for a while."
On Europe heading into a period of slow growth:
"I think Europe is going to head into a decade of slow growth...but that does not mean it will fall apart in the meantime. At these valuation levels, I think Europe is very cheap. I must admit I do not own hardly any European stocks, but I am intrigued by them because they are so cheap and because it would certainly be a contrarian trade."
On when he would jump into the European market:
"I do not know at what point. At this moment, I feel that there are some big groups of stocks in the U.S. that are more attractive than Europe because I think we're going to have growth that is going to be 2%, 2.5% over the next three to five years versus their growth that will be much slower. I still feel Asia and, in particular, China, are very compelling investments. I am not bearish on Europe. I just can find other things I would rather own."
On stocks he's buying in the U.S.:
"I think technology looks very good. Both the new technology, Apple, Qualcomm, Broadcom, VMware and old technology like Cisco, IBM, Intel, Microsoft, which is incredibly cheap and undervalued, so I think technology is attractive. I think the oil service area continues to be a very appealing place to have money. I think the big capitalization industrial companies like caterpillar, Deere, Emerson Electric, even GE are attractive."
On whether he regrets having missed part of the rally in October:
"Absolutely. I had a decent October, but it was not a great October because I was not in enough. My risk was around 20%. But a girl has a right to change her mind. I changed my mind."
On MF Global:
"I'll give you a frank comment. I do not know anything about MF Global or Jon Corzine or what is trading habits are, so, look, any time you get dramatic moves in markets, there is always a few bodies that come to the surface belly up. I guess this is one of them."