11–20 of 24 posts
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Yup. The "great" thing about the US is that it's a large developed country with a strong rule of law, but at the same time also perhaps the most corporatist country on earth, allowing companies to act with impunity and lobby when needed, all of which leads to big and sustained profits. Compare this to, e.g. Europe.
>with a strong rule of law Not so certain these days.
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>with a strong rule of law Not so certain these days.
Can you give an example of a better-functioning legal system?
Better examples aren't as easy to come by as cynics think. I think the problem they see is that it's worse than it was ten years ago, rather than that it's worse than most other places.
Stock Market Investment is not a skilled ability. Example: Buffett made the bet in December 2007, arguing that a fund holding the same stocks as found in the Standard & Poor's 500 index could beat the combined performance of a group of hedge funds over the following 10 years. Buffet won easily - https://www.usatoday.com/story/money/markets/2018/03/07/warr... Real Life Meaning - You need to diversify so much that you…
What if you do not have confidence in America's economy, long-term? What do you invest in, then?
Most retail investors make the mistake of assuming high growth = it will be a profitable investment. In fact, the companies and countries that are talked about in the press as being "the fastest growing" are typically the worst investments. How is this possible?
Because everybody else has also purchased that investment thinking the same thing you are and pushed its valuation beyond even high growth levels.
Stock Market Investment is not a skilled ability. Example: Buffett made the bet in December 2007, arguing that a fund holding the same stocks as found in the Standard & Poor's 500 index could beat the combined performance of a group of hedge funds over the following 10 years. Buffet won easily - https://www.usatoday.com/story/money/markets/2018/03/07/warr... Real Life Meaning - You need to diversify so much that you…
What if you do not have confidence in America's economy, long-term? What do you invest in, then?
The simple fact is that the American economy, and especially American financial instruments absolutely dominate the Global Economy. Consequently, a long term negative growth in the US would, by definition, lead to a Global Economic Downturn.
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What if you do not have confidence in America's economy, long-term? What do you invest in, then?
There are really no other good options. The simple fact is that the American economy, and especially American financial instruments absolutely dominate the Global Economy. Consequently, a long term negative growth in the US would, by definition, lead to a Global Economic Downturn.
This is just BS. There might not be other easy/convenient options for people in the US to invest in other economies, but that surely doesn't mean there aren't any options.
One option: gold.
Sure, you can criticize gold as an investment all you want (and I'm not recommending it), but it's definitely an alternative to investing (directly) in the US economy.
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What if you do not have confidence in America's economy, long-term? What do you invest in, then?
The question isn't if the region you're investing in is going to have high growth. Most retail investors make the mistake of assuming high growth = it will be a profitable investment. In fact, the companies and countries that are talked about in the press as being "the fastest growing" are typically the worst investments. How is this possible? Because everybody else has also purchased that investment thinking the sam…
Stock Market Investment is not a skilled ability. Example: Buffett made the bet in December 2007, arguing that a fund holding the same stocks as found in the Standard & Poor's 500 index could beat the combined performance of a group of hedge funds over the following 10 years. Buffet won easily - https://www.usatoday.com/story/money/markets/2018/03/07/warr... Real Life Meaning - You need to diversify so much that you…
It is a skilled ability (price discovery), just not when many other people are also doing it. The real benefit to passive, indexed investments is not just lower fees, but the ability to hold onto your portfolio without losing sleep. Loosely paraphrased from Bill Bernstein: If your active fund has a bad year or five, you don't know whether it's the fund manager's incompetence or just a rough market. In a passive, inde…
Not true. This has been studied and disproven[1] many many times. The only people who keep saying that are either just too stubborn, disinformed or just lying because they have a vested interest.
[1]: just one article (there's a lot of research out there) https://www.barrons.com/articles/monkeys-are-better-stockpic...
Earlier quoted context omitted.
There are really no other good options. The simple fact is that the American economy, and especially American financial instruments absolutely dominate the Global Economy. Consequently, a long term negative growth in the US would, by definition, lead to a Global Economic Downturn.
> There are really no other good options. This is just BS. There might not be other easy/convenient options for people in the US to invest in other economies, but that surely doesn't mean there aren't any options. One option: gold. Sure, you can criticize gold as an investment all you want (and I'm not recommending it), but it's definitely an alternative to investing (directly) in the US economy.
I would certainly run the numbers if they didn't say they don't want me as a client.
Earlier quoted context omitted.
It is a skilled ability (price discovery), just not when many other people are also doing it. The real benefit to passive, indexed investments is not just lower fees, but the ability to hold onto your portfolio without losing sleep. Loosely paraphrased from Bill Bernstein: If your active fund has a bad year or five, you don't know whether it's the fund manager's incompetence or just a rough market. In a passive, inde…
> It is a skilled ability (price discovery), just not when many other people are also doing it. Not true. This has been studied and disproven[1] many many times. The only people who keep saying that are either just too stubborn, disinformed or just lying because they have a vested interest. [1]: just one article (there's a lot of research out there) https://www.barrons.com/articles/monkeys-are-better-stockpic...
Earlier quoted context omitted.
There are really no other good options. The simple fact is that the American economy, and especially American financial instruments absolutely dominate the Global Economy. Consequently, a long term negative growth in the US would, by definition, lead to a Global Economic Downturn.
> There are really no other good options. This is just BS. There might not be other easy/convenient options for people in the US to invest in other economies, but that surely doesn't mean there aren't any options. One option: gold. Sure, you can criticize gold as an investment all you want (and I'm not recommending it), but it's definitely an alternative to investing (directly) in the US economy.