'SPAC King' warns that tech stocks could get pummeled soon -- here's where he wants to be instead

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The tech billionaire is worried about his own sector. This is where he\u0027s finding comfort

The venture capital investor — often referred to as the “SPAC King” because of his big bets on “blank-check” acquisition companies — has long been a fan of the tech sector. However, on the All-In Podcast last month, he warned that tech companies could “get really pummeled when rates go up.”

But with high inflation and rising interest rates, investors tend to demand more money upfront because the future becomes more uncertain.Article content “You’ll want the thing that was generating a ton of cash because in a rising rate environment that has very positive attributes that work in your favour,” he said.

For fiscal year 2021, Australian giant BHP Group generated $27.2 billion in operating cash flow. Free cash flow came in at a record $19.4 billion.

 

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