Journal to portfolio afterlife

[portfolioafterlife]

Including value in your portfolio can bring in a high level of diversification, especially during a recovery; history shows that value typically outperforms during a rebound period after a downturn. Where the market generated 36.5% CAGR on average during a recovery, value produced 45.1% CAGR—a significant outperformance of 8%. But during the actual downturn, data shows value underperforming at the same rate of 8% CAGR on average. That indicates that value is particularly sensitive to the ups and downs of the economy, making it a “pro-cyclical” factor. Because of that sensitivity, investors should consider value investing as a complement to the core of their portfolio, rather than the dominant strategy, the article concludes.

Value Investing Offers Diversification – Validea's Guru Investor Blog

The value investing strategy—acquiring shares of companies that are trading below their fair market value—had fallen out of favor in the 2010-2020 decade as high growth businesses dominated the market. But value is now outperforming growth with a 10% CAGR (compound annual growth rate), according...

blog.validea.com

 

[portfolioafterlife]

A recent study that examined how online traders utilize stop-loss orders—automatically selling off an investment if it drops to a preset price—which should, in theory, limit your losses. But the research found that many investors simply lower the preset price once their investment starts dropping—in essence chasing their losses instead of stopping them at all. 40% of the actions taken by traders who’d set up stop-loss orders were to change their stop-loss thresholds, the study found. And professional investors aren’t much better: because they tend to sell their biggest winners and losers, fund managers lose about 0.8% of their returns on average since those stocks generally go on to outpeform, research shows.

Devo aggungere una postilla ... il bitcoin potrebbe essere uno strumento protettivo rispetto all'inflazione nel lungo termine, ma una asset class così volatile non lo può certo essere nel breve termine, in particolare se lo si acquista vicino ai massimi storici

It can be difficult to know when to quit, but in order to make peace with stock market losses you need to plan ahead, Annie Duke, the author of “Quit: The Power of Knowing When to Walk Away,” told The Journal. She says to devise “kill criteria,” or a set of conditions that an investment must meet in order to hold, and commit to selling it when it fails to. For example, if those investors who bought bitcoin last year as a hedge against inflation, by installing kill criteria to, say, sell it if you lost at least 25% when inflation is over 5%, you would have avoided most of bitcoin’s 60% decline this year.

Making Peace With Stock Market Losses – Validea's Guru Investor Blog

With stocks down 20% and bonds off 14% for the year, it can be tempting to avoid looking at your account statements of late, writes Jason Zweig in an article for The Wall Street Journal. While looking at the losses can’t change them, it can serve as a stepping stone to making good decisions in a...

blog.validea.com

 

[portfolioafterlife]

Il mercato ha sempre paura di qualcosa ...

The stock market's 'nightmare' chart is already a reality: Morning Brief

What to watch in markets Wednesday, October 12, 2022.

finance.yahoo.com

 

[portfolioafterlife]

 

[portfolioafterlife]

 

[portfolioafterlife]

 

[portfolioafterlife]

Ucraina: bombe russe su siti energia ovest, manca corrente - Ultima ora - Ansa.it

Le forze russe hanno attaccato questa mattina infrastrutture energetiche nell'Ucraina occidentale: lo ha reso noto il gestore Ukrenergo, mentre funzionari hanno segnalato interruzioni della corrente elettrica in diverse parti del Paese. (ANSA)

www.ansa.it

 

[portfolioafterlife]

What Makes Life Meaningful? Views From 17 Advanced Economies

Family is preeminent for most publics but work, material well-being and health also play a key role.

www.pewresearch.org

 

[portfolioafterlife]

Quanto "pesa" quel 160 del MOVE?

Fed Rate Hikes Approaching The "Breaking Point" - RIA

Fed rate hikes are approaching the breaking point as cracks appear in the financial underpinnings which previously led to instability.

realinvestmentadvice.com

 

[portfolioafterlife]

With the pandemic-driven savings now spent, 60% of Americans say they are living paycheck-to-paycheck.

"Recession Fatigue" As Consumers Begin To Break - RIA

"Recession Fatigue" is setting in as consumers struggle under rising interest rates, high inflation, and a declining stock market.

realinvestmentadvice.com