Blackstone President and COO Tony James said Tuesday stock market valuations are ahead of themselves, and a correction is coming.
James ticked off a number of headwinds: the impact of the Paris terror attacks, higher U.S. interest rates on the horizon, weaker growth in China and problems in South American economies.
"The cumulative effect of that is, where do you look for good news that's not already reflected in the market? Earnings of the S&P (^GSPC) are flat at best, so I think stock prices have had a great run and it's time for a pause," he told CNBC's "Squawk Box." "We see a bit of a correction coming."
Blackstone has exited "a lot of investments" where it can and is poised to take advantage of a correction with "a lot of capital," he said.
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