PLP Advisors, LLC

Financial Advisor Discusses the Stock Market Bubble

Tubbergen's radio shows are also available as podcasts on his website.


Grand Rapids, MI -- (SBWIRE) -- 12/03/2013 -- Dennis Tubbergen is a financial advisor, author, radio show host and CEO of PLP Advisors, LLC. Whether people enjoy his weekly radio show or his blog at, Tubbergen is known for discussing the latest financial news. When a well-known figure recently commented on the role the U.S. has played in the value of worldwide assets, Tubbergen gave his thoughts on the topic. On December 2, 2013 his blog was titled Stockman: Worldwide Bubble in Stocks.

"David Stockman, former Director of the Office of Management and Budget under President Reagan, made some interesting observations recently about the Federal Reserve’s role in the bull market in stocks we’ve been experiencing," began Tubbergen.

Below he quotes from a November 26, 2013 article on CNBC.

The actions of the Federal Reserve have created a massive bubble not just in U.S. stock prices, but in a variety of assets all across the world, contends David Stockman, who served as the director of the Office of Management and Budget under Ronald Reagan.

"The Fed is exporting this lunatic policy worldwide," Stockman said, referring to the Federal Reserve's asset-purchasing program. "Central banks all over the world have been massively expanding their balance sheets, and as a result of that there are bubbles in everything in the world, asset values are exaggerated everywhere."

"It's only a question of time before the central banks lose control, and a panic sets in when people realize that these values are massively overstated," he said.

The issue, says Stockman, is that central banks around the world have followed the Fed's dovish lead "for either good reasons of defending their own currency and their trade and their exchange rate, or because they're replicating the Fed's erroneous policies."

Either way, "Central banks have been massively expanding their balance sheets," which has reduced interest rates on government bonds, and increased the amount of money chasing a fixed set of assets.

"While bubbles eventually burst, the timing of such an event is difficult to predict," explained Tubbergen. "That’s why we’ve recommended the use of trailing sell stops for clients when managing their stock portfolios."

To read Tubbergen's full take regarding sell stops and our current stock market, go to and select his December 2, 2013 entry.

Tubbergen’s syndicated radio show can be heard on metro Michigan stations WTKG 1230 AM and WOOD Newsradio1300 AM and 106.9 FM.

Dennis Tubbergen has been in the financial industry for over 25 years and has his corporate offices in Grand Rapids, Michigan. Tubbergen is CEO of PLP Advisors, LLC and has an online blog that can be read at

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