Is it right time to invest?

Alphabet / Google generates more revenue outside the US than inside. That's one cherry picked example but if the rest of the world grows Google will grow and the S&P500 will grow. I'm sure it's similar to Apple, Tesla et al. I consider that a decent level of diversification. Up to you if you think otherwise.
"betting on the U.S as the dominant force " has been an ultra safe bet for as long as people have been buying equities

dont fight it
https://www.youtube.com/watch?v=RR7e1Y-HJxQ&ab_channel=BenFelix

This video might prove educational for you guys!
 
I am aware of that but every article from investment websites on the subject suggest, it is not diversified enough. If the dollar were to tank in value for example, or the face that the US market is grossly overvalued currently. If you type in S&P 500 and diversified into Google you will see all the arguments against only betting on the S&P500.

When the Pound tanked in value after Brexit vote, the FTSE100 went up. Because it's full of international companies that do much of their business outside the market that the stock exchange is based in.

It's not reasonable to suggest that a fall in the value of would necessarily cause a significant issue in an investment matching S&P500.
 
Part question part statement actually its just a Friday muse ....an uptick in interest rates will be negative for S&P (data suggesting inflation will be the forerunner) ....in normal conditions Markets move in investment themes ..some sectors and individual stocks do better than other hence index investing and but ..as a hypothesis ...do markets become highly correlated during sell offs (all sectors and all indexes sell off) ? and therefore true diversification is hard to achieve ....if higher rates as a trigger will become a head wind for property too

I am aware of that but every article from investment websites on the subject suggest, it is not diversified enough. If the dollar were to tank in value for example, or the face that the US market is grossly overvalued currently. If you type in S&P 500 and diversified into Google you will see all the arguments against only betting on the S&P500.

Curious, I presume you invest in the S&P 500, do you invest in the dollar or the euro hedged index fund?
[/QUOTE
 
I am aware of that but every article from investment websites on the subject suggest, it is not diversified enough. If the dollar were to tank in value for example, or the face that the US market is grossly overvalued currently. If you type in S&P 500 and diversified into Google you will see all the arguments against only betting on the S&P500.

Curious, I presume you invest in the S&P 500, do you invest in the dollar or the euro hedged index fund?

No , i never see the need to hedge , a weak dollar is good for american multinationals and they operate globally so if collecting in other currencies much of the time , thats a hedge itself

the american market is far more diversified than europe , never mind the fact that it almost always outperforms europe
 
No , i never see the need to hedge , a weak dollar is good for american multinationals and they operate globally so if collecting in other currencies much of the time , thats a hedge itself

the american market is far more diversified than europe , never mind the fact that it almost always outperforms europe
Nobody is talking about Europe.
We are basically talking about S & P 500 Index Fund (Stocks of USA) VS VWCE or Vanguard All World Index Fund. (Stocks of The World)
 
great video he said that the performance of the S&P 500 was exceptional from 2009 to 2019 and unrepeatable, just because the S&P500 is so dominant today does not mean that it can continue to hold that position, every dog has its day even the unpopular european and UK markets of today. One startling statistic from the video that is now largely forgotten, in 1989 the japanese market was 45% of global stock market capitalisation and the S&P only 28%. now the japanese market is only 8% of global stock market capitalisation. Remember in 1989 the Japanese were world beaters and possessed the best technology companies anywhere. Today the Japanese are dominant in robotics and associated technologies , what if the US again loses its edge in technology to Japan or pan Asia.
 
Last edited:
I want to invest $10000. Please recommend where should I invest this amount according to today's market status.
Pay approx 170 eur per year and subscribe to motley fool US site. Then buy 2 of their top 10 shares they suggest and hold for many years (the more you save the more you have to diversify). I have to admit those 2 brothers are geniuses to my experience so far and their advice clearly helped beat s and p 500 a lot in time (as proven by numbers in fool.com website). Will these sentences from me become infamous in time? Maybe but so far they helped a lazy investor like me a lot... And noone is paying me for advertising them I promise... And it's true imo that SMB companies' shares are more volatile nevertheless better than blue chips in the long run as valuation...

Last but not least their twitter account is a source of wisdom to my view for generations to come!

PS: Sorry I forgot to add: I disagree with their advice to buy bitcoins though. To me bitcoins will become the 21st century tulips-crash... We will see...
 
Last edited:
Every investor has to devise a strategy. If a subscription of €170 helps then it's well spend. But it's not simple, otherwise every investor will be millionaire. Some of the growth comes from the companies that generate wealth, while most is zero sum game- one wins at the cost of someone taking loses. The trick is not to loose any amount, even if you don't make money.
 
Every investor has to devise a strategy. If a subscription of €170 helps then it's well spend. But it's not simple, otherwise every investor will be millionaire. Some of the growth comes from the companies that generate wealth, while most is zero sum game- one wins at the cost of someone taking loses. The trick is not to loose any amount, even if you don't make money.
I agree. For me so far so good with fool.com but only time will tell if the 2 brothers will be able to 'keep' so good in spotting where many big investors go
 
Last edited:
Back
Top