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Excess Returns · Saturday, August 8, 2026

Rosenberg and Bernstein Reflect on Financial Crisis Lessons and "Trauma Bonding"

David Rosenberg and Richard Bernstein reflect on their experiences and lessons learned during the financial crisis, with Rosenberg stating it was a "great training ground" and Bernstein describing it as a learning experience that highlighted the recurring nature of bubbles. Both speakers emphasized the importance of resolve and balancing conviction with the willingness to admit when a call is wrong.

personDavid RosenbergpersonRichard BernsteinpersonJohn PaulsoncompanyMerrill

The tape

3 quotes
Well, here's to the trauma bonding.
David Rosenberg
Look, I think, um, in my career and Dave's career, I think there's been the era of the last 20, 25, 30 years. And the era of bubbles, right? We've seen very, very loose monetary policy again and again and again. And that has created, um, you know, excess or or or misallocations of capital within the economy.
Richard Bernstein
So, uh, for me, it was actually, uh, a great learning lesson and, and it helped me out in terms of shaping my convictions today.
David Rosenberg
Heard on Excess Returns — “David Rosenberg and Rich Bernstein on What Ends the AI Trade — And What They Own Instead, published Saturday, August 8, 2026. Heardvine summarizes and quotes with attribution and timestamps, and links to the original everywhere.
Transcribed via Gemini audio transcription · $0.07
Rosenberg and Bernstein Reflect on Financial Crisis Lessons and "Trauma Bonding" — Heardvine