From what I understand bonds & gold usually considered safe bets, but I saw this the other day which the guy suggests that these (along with pre-paid plans & trends) are things millionaires don’t invest in (video goes into more detail as to the reasons why):
Of course different strategies work for different people e.g. Some people did get really rich off the crypto trend (while others lost tons as he points out), so I guess it really depends on your aims e.g. Do you want to take the risks in getting rich or do you want to play it safe and just beat inflation until the market recovers.
Of course that article/video is just one guy’s opinion and not everyone might agree with him. As always - do your own research is the best thing to do
No = Invest in high quality large cap (10B+) equities
To offer some reassurance on this matter. During the financial crisis I held my nerve, dumped as much money into the stock markets as I could & 5 years ago was able to pay off my mortgage. Assuming you remain employed & can hold your nerve, a recession is likely to be your best friend
Spot on. If all the great large caps you buy on discount all fail and the system fails. Then your money’s not going to be worth much if you save it anyway. It’s very simple advice but buy the dip…buy value. That’s why Berkshire are hoarding $122B for the next correction.
TL;DR US treasury bond yield curves on 2-year and 10-year debt inverted for the first time since the financial crisis. 10 year bonds are now priced less attractively than 2-year bonds. Recession is on the horizon.
I’d read Warren Buffett’s letters pre- and post-2008. Don’t watch CNBC and Bloomberg and don’t listen to analysts. There’s a reason why they aren’t billionaires. Read this book - it’s a small investment https://www.amazon.com/MONEY-Master-Game-Financial-Freedom-ebook/dp/B00MZAIU4G
He interviewed people who normally wouldn’t give interviews. Wall St/City’s interests aren’t aligned with normal folks’ interests.
Agreed - keep Bob always in your mind. Don’t think about planning for a recession unless you’re actually likely to need your invested money during that time. Otherwise continue to invest in a diverse portfolio and in the long run you will do well. Don’t think you can ride the market waves like the big guys can - most of the time it’s because they are creating the waves themselves.