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ITPM Flash EP71 - Listen Up! Summary
- The Institute Trader
- Mar 25
- 5 min read
In times of volatility, many investors either panic or freeze—but Ben Berggreen, senior mentor at the Institute of Trading and Portfolio Management (ITPM), sees these moments as windows of opportunity for disciplined, well-prepared traders.
According to Ben, the recent macro environment is shifting fast, and while fear is starting to creep back into the system, it’s exactly these kinds of conditions that reward those with structure, strategy, and an ability to think ahead—not react emotionally.
Let’s break down what Ben’s watching right now—and why a company like SoundHound (SOUN) could offer compelling long-term potential in a high-growth sector.
Macro Signals Are Flashing Yellow
Ben Berggreen has been closely tracking the macroeconomic slowdown, which became more visible as we moved through February and into March. He emphasizes that while we’re not necessarily in recession territory yet, the data clearly shows deceleration—and that has important implications for portfolio construction.
Here’s what Ben highlights:
The ISM manufacturing index has come in noticeably weaker than consensus estimates
Inflation-adjusted growth appears to be cooling
Most notably, the University of Michigan’s Consumer Sentiment survey showed the largest month-over-month increase in 5-year inflation expectations since 1993
Consumer Inflation Expectations have jumped recently.
That’s a red flag. Ben believes this surge in inflation expectations could be early evidence that tariffs and supply chain issues are finally being priced in by consumers—even if they haven’t fully shown up in the latest CPI reports.
Meanwhile, bond yields have remained flat through much of March, which Ben interprets as a sign of market indecision. Investors are in “wait and see” mode ahead of the next FOMC meeting, which could shape market sentiment for the next quarter depending on what the Fed projects for inflation and interest rates.
“This is a fragile moment in the cycle,” Ben explains. “We’re not at panic levels, but we’re also not in a ‘risk-on’ environment. It’s about balance right now.”
ITPM’s Stance: Volatility is an Opportunity, Not a Threat
At ITPM, one of the core philosophies is that volatility creates opportunity—when approached correctly. Ben Berggreen is a strong advocate of this view. He notes that many retail investors fall into the trap of either panic selling or blindly buying into rallies, both of which are emotional and reactive strategies.
Instead, Ben recommends maintaining a risk-balanced portfolio that includes both long and short exposure—especially in environments like this. He points out that options strategies are particularly effective during periods of uncertainty, as they offer limited downside while keeping the door open for outsized upside.
And the best part? You can execute many of these strategies even within retirement accounts like IRAs in the U.S., giving you greater flexibility than most people realize.
“This isn’t about guessing where the market goes next,” Ben says. “It’s about having structure, understanding the macro landscape, and building a portfolio that can weather both upswings and pullbacks.”
Ben Berggreen’s Take on AI and SoundHound (SOUN)
While tech has faced strong selling pressure recently, Ben Berggreen believes the long-term AI story is far from over. Yes, growth expectations have been tempered, and yes, many names are off their highs—but the fundamentals of the AI trend remain intact.
Ben is particularly interested in emerging names that are in the early stages of growth, and one company that stands out to him is SoundHound AI Inc. (Ticker: SOUN).
What SoundHound Does—and Why It Matters
Ben explains that SoundHound is developing cutting-edge voice-to-action AI technology, which sets it apart from traditional voice recognition companies.
Unlike the standard two-step approach (voice-to-text, then interpretation), SoundHound’s tech understands and processes speech into action in real-time—more like how the human brain works.
This makes the technology:
Faster
More accurate
Better suited for real-world use cases like in-vehicle voice assistants
SoundHound has already formed strategic partnerships with major players such as Nvidia, and Ben sees this as a validation of their potential in real-world applications—particularly in automotive and smart device ecosystems.
Strong Fundamentals Back the Story
Ben Berggreen emphasizes that innovation is only half the equation—the other half is financial health. And that’s where SoundHound stands out, even as a small-cap player.
Here are a few data points Ben highlights:
Last year, SoundHound delivered 85% year-over-year revenue growth
They’re expected to grow revenue by close to 100% this fiscal year
They maintain roughly $200 million in liquid cash and an additional $50 million in receivables
With current liabilities of $68 million, they have a quick ratio of 3.7
“For an early-stage AI company, this kind of balance sheet strength is rare,” Ben notes. “It means they can weather volatility and keep investing in growth without scrambling for capital.”
What High Short Interest Could Mean
Another key factor Ben Berggreen keeps on his radar is short interest—and SoundHound has a notably high level of it.
A large short interest signals that a significant number of market participants are betting against the stock. While that doesn’t guarantee any particular outcome, it does introduce a unique set of dynamics.
Ben explains that if sentiment shifts or unexpected catalysts emerge, heavily shorted stocks can become vulnerable to short squeezes—rapid price movements fueled by shorts covering their positions.
Of course, this is not a trading strategy in itself, but Ben believes it’s a factor worth understanding, especially when evaluating stocks in sectors as volatile as AI.
“Short interest creates potential volatility, and as traders, that’s something we can plan around—not fear,” Ben says.
Final Word from Ben Berggreen: Stay Balanced, Stay Strategic
At ITPM, the emphasis is always on education, process, and structure. And Ben Berggreen reinforces that message here: don’t get emotional in a volatile market—get prepared.
Whether you're evaluating tech names like SoundHound, positioning around macro events like the FOMC, or just trying to build more resilience into your portfolio, Ben believes the principles remain the same:
Stay diversified across themes and timeframes
Use structure to contain risk
Let macro data inform—not dictate—your trades
Focus on asymmetry: limited downside, meaningful upside
And most importantly: execute your plan without letting emotions take the wheel
“The AI story is still in its early chapters,” Ben says. “If you're doing the work, managing your risk, and staying patient—this is exactly the type of environment where smart traders can shine.”
🔍 FAQs
Q: Is SoundHound profitable yet?
Not currently. Like many early-stage AI firms, SoundHound is focused on scaling and product development. Ben sees their strong cash position as a sign they can sustain that strategy without immediate profitability.
Q: What makes SoundHound’s tech different?
SoundHound’s voice-to-action AI bypasses traditional voice-to-text methods and enables more intuitive, faster, and more natural user interactions.
Q: How does ITPM suggest approaching markets like this?
Ben and the ITPM team stress the importance of a balanced, risk-controlled portfolio—especially in volatile markets. That means combining both long and short positions, managing sizing, and avoiding emotionally-driven decisions.
Related Links:
University of Michigan Inflation Expectations
Institute of Trading and Portfolio Management (ITPM) YouTube
