There is a very high likelihood that most stock market participants will be in the red or even deep underwater so far this year. 2022 is the year of the bear market, right? Well, not quite right! What many don’t believe and can’t explain is why in many cases individual portfolios have actually lost even disproportionately more than the indexes. Today, I’ll show you how the crash proceeded, what you can learn from it, and what you might expect next.
Continue readingCategory Archives: investment climate / big picture
Debt and high inflation – money for nothing or looming meltdown?
Who would complain being relieved of their debt burden? With inflation reaching a 40-year high in many regions, it seems that not only is the purchasing power of money eroding, but so is the burden of debt, measured in real terms. But is it really wise to buy stocks of companies with a lot of debt and hope they pay it off with cheaper money?
Continue readingAre evil energy (oil) stocks already priced too ambitiously for a recession?
It is an old wisdom that during a recession cyclical equities in general and energy stocks in special are suffering pretty much. When the economy slows down, the supply and demand imbalance pushes energy prices down, too. Stocks of these “commodity businesses” come under pressure in unison. But is it the same now? Or could we even be in for a surprise to the upside?
Continue readingHow to beat the bear market – inflation, stagflation, recession
It should be clear to almost everyone by now that prices have risen sharply over the past twelve months. At the same time, economies around the world are plummeting. Stagflation at its finest. Unsurprisingly, many stocks have fallen, too. As a result, most people have become poorer in real terms, whether they invest or not. It is time to answer the urgent question of how to successfully weather this painful bear market.
Continue readingIs now the perfect time to buy silver again?
Precious metals are either loved or hated by most investors. After a pop in 2020, both gold and silver prices have been falling in a stretching torture for two years now. But there seems to be a silver lining on the horizon. As long as sentiment is poor, it may be time to have a look at silver again. Especially since there are fundamental tailwinds…
Continue readingHidden risks of ETF investing – how to invest instead
You read correctly, ETF investing is no walk in the park! The main motivation behind investing money into ETFs is to broadly diversify one’s stock portfolio. But is this really such a good idea? What sounds like a long-term no-brainer, carries significant risks that hardly anyone talks about. But today, we put our finger on the wound!
Continue readingA reliable early harbinger of the next stock market crash?
Precisely predicting every stock market crash to the very day is impossible for humans. Period. You can have luck once or twice, but not build a career on it. But what if you could look at some early indicators to massively improve your odds and know when to take the foot of the gas? You could timely hedge your portfolio to avoid bigger damage. There is even a stock that profits from market turmoil.
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