(Bloomberg) -- Billionaire investor Leon Cooperman said rising inflation will force the Federal Reserve to raise interest rates next year.

“I’m assuming they’re going to be surprised by inflation, it’s going to be more intractable,” Cooperman, 78, said in a Bloomberg TV interview Wednesday. “And the market’s going to be surprised that the Fed will raise rates sometime in 2022. They’ll be forced by inflation.”

He also said there’s a bubble in the bond market, not the stock market.

Cooperman’s family office, Omega Advisors, was previously a hedge fund, and had posted annualized returns of 12.4% since inception, before he stopped managing client cash in 2018 and converted it into a family office. He cashed out investors at a record high.

The billionaire investor also touched on potential regulatory fallout from the collapse of family office Archegos Capital Management. Calling himself a “retired money manager,” Cooperman said: “Why they have the right to regulate me is beyond my wildest dreams.”

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