Hedge fund guru Barton Biggs has been increasing his exposure to stocks, saying that their relative attractiveness compared to bonds and fixed-income investments will drive investors toward them.

“I’ve been gradually increasing and I’m up to 90 percent [long on stocks] now,” Biggs said on Bloomberg Surveillance with Tom Keene. “There is an awful lot of money that is out of stocks and in very low- yielding fixed-income instruments. I think the odds are that money is going to migrate back.”

Biggs says one risk to the markets involves the tensions in the Middle East. If Israel were to “take a shot” at Iran, it “would be very, very serious for the world economy and would cause a double dip,” he told Bloomberg.