By Worth W. Wray, Chief Economist, Evergreen GaveKal - EVA on Carl Icahn EVA Summary: This week’s Guest EVA features a video from the legendary activist investor, Carl Icahn, who is starting to make a lot of noise about frothy valuations, fuzzy accounting, and the corrosive consequences of zero interest rate policy. In the video, the billionaire corporate raider approaches the United States like a firm turnaround, employing the same thought process he typically applies to troubled businesses with ineffective management. While Mr. Icahn isn’t saying anything radically new, his warning deserves your attention. Investors who can weather the next downturn will find themselves well-positioned to capitalize on historic long-term opportunities. This week’s Guest EVA features a rare video message from an indisputable Wall Street Legend. [While my colleagues and I know online video may not be the ideal medium for some EVA readers, let me say that you don’t want to miss this video. It’s getting a ton of attention in the press and for good reason. If you are adamant that you don’t “do” video, my text should give you a decent overview. Still, there’s no question that Carl Icahn’s decades-long track record ranks him right up there with elite investors like Benjamin Graham, George Soros, and Warren Buffett. Time Magazine even called him the “Master of the Universe” and “the most important investor in America.” The man clearly understands financial markets, Corporate America, and the tax/regulatory environment coming out of Washington… which is why his latest warning deserves your attention. In the 15 minute video, Icahn basically treats the United States like a corporate turnaround, employing the same thought process he typically applies to troubled companies with ineffective management. First, he sets his sights on a country that is still not living up to its potential and where he’s already acquired a large, albeit a non-controlling stake ($22 billion across more than 10 industries). Then he lays out several steps for unlocking the economy’s productive potential and makes an aggressive push for the CEO (in this case, President) he believes should lead the charge (Donald Trump). And finally, with this video, Icahn is doing his best to sell shareholders on the overall vision (in this case, American voters). Rather than getting bogged down by Carl Icahn’s politics – or what he stands to gain from the tax/regulatory changes he is advocating – I’d encourage you to focus on the very real reasons he sees “danger ahead” for US financial markets. Here are some of the highlights from Carl Icahn… (1)The United States needs meaningful tax & regulatory reform, which is unlikely without a strong President who can... More