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Grantham warns AI bubble, urges exit from US equities

6/26/2026

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Summary

Grantham Warns AI Bubble

Jeremy Grantham warned the AI-driven market bubble could cause a historic decline and urged investors to leave U.S. equities.
He said the market-cap-to-GDP ratio is about 235%, the highest ever.
Grantham advised 60% of portfolios in non-U.S. equities, 5-10% in precious metals, and the rest in bonds and government securities.
He warned AI stocks may drop up to 70% and said he holds no Bitcoin, expecting it to hit zero.

Summary

Grantham Predicts Robots

Grantham says simple-operation jobs will be the first replaced by nonstop robots.
He cited a video of an AI robot sorting parcels nonstop for seven days, while a human needed breaks.
Grantham warned that robots’ massive energy demand could force societies to barter chips and power.
He advised focusing on engineering or crop farming as the world “loses the plot.”

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Grantham Warns AI Bubble

Jeremy Grantham warned the AI-driven market bubble could cause a historic decline and urged investors to leave U.S. equities.
He said the market-cap-to-GDP ratio is about 235%, the highest ever.
Grantham advised 60% of portfolios in non-U.S. equities, 5-10% in precious metals, and the rest in bonds and government securities.
He warned AI stocks may drop up to 70% and said he holds no Bitcoin, expecting it to hit zero.

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