With an MBA from Fordham University, Paul Mampilly joined Bankers Trust as an assistant portfolio manager. He worked in various law firms over the years as his knowledge and expertise in investing increased. He was responsible for the hedge fund of Kinetics Asset Management where he helped the company’s assets grow to a staggering $25 billion. This caused Barron to call it one of the best hedge funds growths of all time. In his tenure, the company averaged 26% annual returns. His reputation as a genius investor grew when on an investment of 50$ million he was able to generate a 76% return in a period of two years during the 2009 financial crisis.
Eventually, Paul Mampilly got tired of Wall Street and making money for the extremely rich and shifted his focus to helping common people lead better lives by increasing the returns on their investments.
Recently, Paul Mampilly wrote on the trends that people can expect to see in the finance market in 2018. He talked about blockchain and the effects it will have. Blockchain is basically a ledger on the web that is like a spreadsheet which different computers can update simultaneously. As the ledger is not centralized, it is not possible for anyone to encrypt it. It is meant to be shared, as anyone with an connection to the internet can access it. This technology has significantly altered the industry of finance. For the first time, people from different countries can interchange data without involving banks or government bodies.
As the banking system is prone to fraud, exorbitant fees and unnecessarily huge amount of paperwork, people are turning to blockchain for making their transactions. This is causing a disruption to the financial industry so banks are not rushing to integrate blockchain technology into their own systems. But it is not only the banks which will be affected. In a decentralized economy, there won’t be any use for middlemen. Other industries like retail and transportation will also take a hit.
Paul Mampilly has also written on bitcoin recently. He believes that the cryptocurrency market is in a bubble. He warns that even though the value of bitcoin has increased tremendously right now, the bubble could burst at any time and the value would suddenly plummet. He predicts that cryptocurrencies are headed for a crash that will happen sooner rather than later. His advice to people is to get out while they are still making money.
Paul Mampilly’s Facebook Page: www.facebook.com/PaulMampillyGuru/