In January, I had the honor to be invited to Guy Spier's ValueX. The event took place in the village of Klosters (Davos region) in Switzerland. I had not seen so much snow since my college days at Illinois. People skied or took group walks during the day while the presentations started at 3 pm and went on until late in the evening. The event had many similarities to the … [Read more...]
Archives for February 2018
ETFs that destroyed accounts…
ETFs started off as a 'savior' product for the retail investor, giving him options at a low cost. That product has turned into a monster in my opinion that has both resulted in distorting the market and destroying accounts. Investors experienced the 2015 flash crash which resulted in index funds dropping 35%+ intraday. At least by the end of the day the prices of these … [Read more...]
We simply went too long w/o a correction
The press tried to find reasons to attach to the drop, but they forgot a basic fundamental fact of finance. With higher returns comes higher volatility. It's that simple. If we define the end of the bull market to be one which experiences a 20% correction, then the current bull market is the 2nd longest in history! As shown below, the longest bull market ended in March … [Read more...]
