Ron Baron told CNBC on Tuesday that investors fear stocks.
That fear, if true, has not stopped the S&P 500 from closing in on a record high. The index rose 0.1 percent on Tuesday to come within 0.9 percent of its record.
Stock markets elsewhere performed even better on Tuesday. The STOXX Europe rose 1.1 percent, the Nikkei 225 rose 0.6 percent and the Hang Seng Index jumped 1.4 percent.
Helping to boost stock prices on Tuesday was a rise in oil. US crude oil rose 1.3 percent to settle above US$50 for the first time since July.