Investing is the act of allocating resources in a project with the expectation of generating a positive return. I am strongly inspired by the Parable of the Talents and the desire to optimize my assets allocation by “giving every dollar a job”. Enjoy the reading, Sweat Your Assets.
INVESTING
Diversification or diworsification?
You might have surely heard debates about two different investment strategies: the concentration of the investments vs the diversification of the investment. The debate could seem merely entertaining. After all, we have all heard the old adage about "not placing all...
How to deal with a Bear Market?
We are far from simple volatility in the markets. With the possibility of a global economic recession, continued high oil prices, ongoing war in eastern Europe, leadership assassination (Japan), leadership resignations (UK), countries in default (Sri Lanka), and the...
Invest with your kids in mind. It helps you play the long term-game
Investing with a short-term mindset does not help. It is actually one of those things NOT to do for a couple of reasons: when you invest short term, you tend to "trade", not to invest! You ultimately try to speculate over gurus' secrets, short-term trends, gut...
When to buy or Sell Your Investments
I genuinely enjoy the analytical mind of Howard Marks, co-founder of Oaktree Capital and author of great Investment books Mastering the Market Cycles and the Most Important Thing. I am not the only one. His memos are read by thousands of professional and individual...
Three ways to beat the market, by Charles Ellis
I am not one of those trying to beat the market. I instead try to "be in the market" and "be the market". What does it mean? It means to stay invested no matter what (be in the market), through a broad and well-diversified portfolio (be the market). In this way, I...
Greenwashing practices among mutual funds
Investing Author Larry E. Swedroe has recently commented on the growing trend of ESG investing. Despite the positive social and environmental expectations associated with such funds, Swedroe calls for caution. Recent research identified the practice of adjusting...
Why Nassim Taleb says Bitcoin is worthless
Nassim Taleb: Why Bitcoin is worthless by Michael Edesess | Advisersperspective.com | 7/18/21 Nassim Nicholas Taleb doesn’t mince words. When he thinks that something is worthless, he says so. In a recent paper, he says in no uncertain terms that bitcoin is...
Why the Stock Market is NOT the Economy
Holding a long-term well-diversified investment strategy implies navigating financial markets during their ups (bull market) and downs (bear market). This strategy requires a firm understanding that in the short timeframe (less than 5 years), markets are irrational...
A Skeptical look at ESG Investing – updated
According to its CEO Larry Fink, BlackRock, the world's largest investment firm, will put sustainability at the centre of its investment strategy from now on. Talks and attention about Sustainable Investing/ESG Investing are positively growing worldwide. This should...