Steve Black: Two places you don’t want to be investing right now

Steve Black, the renowned small caps manager and one half of the Pengana Emerging Companies Fund says that there’s now “definite evidence that the housing cycle has rolled” as approval rates fall. “So those stocks that are exposed to the housing cycle will no doubt be the concern for us in the market.” Black says investors need to be careful not only of housing stocks but also the retailers that leverage off the housing sector, such as the furniture and electrical goods stocks as they too are likely to “battle” in the coming months. Watch the short interview here.