Prices are loaded with danger and only a few stocks are holding the bull market together, warns Platinum’s Andrew Clifford.

Platinum reported a return of performance fees in its annual results released after the closing bell on Wednesday, but none were generated by the international fund, whose returns have been the most challenged by the hammering of value investing.
“I suspect very much that the extraordinary valuations we’re seeing in growth stocks are fundamentally a part of what is in every good bull market: there’s a great story, there’s too much money and our own human condition goes to work of over-extrapolating just how good these stories are.”
However, peak-to-trough from the market high of February 21 to the low of March 23, the international fund’s loss was 15.1 per cent, outperforming the index’s loss of 23.2 per cent in what Mr Clifford said was a vindication of its strategy.
But the nature of the recovery was so explosive that its underperformance has been restored.
The Nasdaq, for example, has witnessed a 50 per cent increase in valuation over the three months since March 23’s floor, to 28 times earnings from 19 times.
“We may be weeks or months away from an end in this mania, it doesn’t mean that that doesn’t end 20 or 30 per cent higher.”