According to a report from (ZeroHedge), following a week where the S&P 500 index recovered from prior declines and the Nasdaq index reached new highs, Goldman Sachs' global head of hedge fund business, Tony Pasquariello, elaborated on his investment framework. He attributed the market's resilience to the continuation of the artificial intelligence boom, robust capital flows, and the gap between the stock market and the real economy, where concerns about the slowdown in employment growth remain.
Pasquariello's core position recommendation is to 'go long on value storage assets (gold/silver/bitcoin),' which serves as a hedging component in his overall 'long and hedge' strategy for the second half of 2025. Incorporating gold, silver, and bitcoin (BTC) into the portfolio reflects a strategy designed to cope with uncertainty, including operating under conditions of deep market deterioration and a 'sensitive and volatile' summer trading environment.
His overall strategy consists of four main pillars: going long on U.S. stocks (primarily tech stocks), going long on the aforementioned three value storage assets, moderately shorting the dollar, and trading for a steepening yield curve globally. Pasquariello pointed out that while a single position may perform poorly in certain weeks—such as last week's dollar position or this week's steepening curve strategy—the overall portfolio remains his preferred 'protective shield.'
He acknowledged that short-term challenges still exist, expecting the market to enter a consolidation phase in August, while the technical outlook in September will be trickier due to previous market re-risking. However, he believes that the main trend of the U.S. stock market in the second half of 2025 will still lean towards upward movement, particularly driven by growth in technology stocks. His strategy balances risks by being bullish on tech stocks while utilizing the defensive properties of precious metals and cryptocurrency assets.
Pasquariello emphasized the need to closely monitor the slowdown of the U.S. labor market and the risks of holding positions, especially the impacts from systematic traders. However, he concluded that this investment portfolio, centered around value storage assets, remains the best framework under current market conditions, and it is reasonable to incur hedging costs for stability.
Reference Source
This content is for informational reference only and does not represent the position or investment advice of this site. Readers should exercise their own careful evaluation.
Source
