Today’s market resembles the period just before the 1929 crash, Universa Investments Chief Investment Officer Mark Spitznagel said in a recent interview with the Wall Street Journal, warning that the ongoing rally may soon come to an end.

Spitznagel’s fund makes money by betting on rare but extreme market crashes caused by “Black Swan” events. The term was popularized in the book “The Black Swan” by investor and mathematical statistician Nassim Nicholas Taleb, who is also an advisor to the fund.

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Spitznagel thinks the current bull market’s fate could be worse than the 1929 crash due to repeated government bailouts and market rescues, he told the Journal.

Spitznagel, whose fund thrives on market downturns, bagged $1 billion in a single day for his clients during the market crash on Aug. 24, 2015, when the Dow Jones Industrial Average fell more than 1,000 points, according to the Journal. His fund also profited from the collapse of Lehman Brothers and the COVID-19 market meltdown.

“I’m the crash guy—I remain the crash guy,” Spitznagel told the Journal.

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However, Spitznagel believes the market still has room to run, saying the Federal Reserve’s ongoing rate-cut cycle provides ideal conditions for further gains. He added that we may be in a stage similar to early 1929, when stocks rose sharply before the crash.

Spitznagel told Reuters last year that a recession was imminent and that we were entering a “Black Swan territory” after the disinversion of the U.S. Treasury yield curve. At the time, he said the government may begin to sharply lower rates to “save the day” for the economy.

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