Big tech is cratering, economists are warning of a lost decade in the stock market and the S&P 500 is going nowhere. What can an investor do? Pull out your magnifying glass. Today we’re looking at small-caps — and why there’s potential in these stocks. There are two major indices that every investor should know:…
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What type of returns can investors expect over the next decade?
Last month, legendary investor Stanley Druckenmiller said there was a “high probability” that the market will be flat for a decade. Is he spitting out facts, or is he Drucken outta his mind? He argues that the factors that created the bull market since 1982 are no longer there: Falling interest rates: The US benchmark…
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“Help, I Have a Stock That’s Down 70%. What Do I Do?”
We’d say the chance you’re holding one of these is fairly high. At the start of this year, nearly 40% of stocks in the tech-heavy Nasdaq index were down over 50%. Zoom, Shopify and Peloton are a few of the most popular COVID stocks that are down over 70%. They also have little guidance from…
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Do you feel like walking away from the market?
Don’t worry, “imnotwillferrell”; you’re not alone. Millions entered the market in 2021 and many of us likely fell victim to the market crash. 2022 has been a really challenging year. The S&P 500 is down 25% this year, and the Nasdaq is down even more (-33%). The following data won’t give you much ease, but…
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The FTX curse: Tokens trend to zero after listing
FTX is the third largest crypto exchange by spot trading volume (behind Binance and Coinbase). All Star Charts highlighted something interesting about FTX: They’ve got impeccably (bad) timing at launching new cryptos or assets on their platform. Many trend toward zero after launching. Let’s take a look at some examples that All Star Charts highlighted:…
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The passive investor: go aggressive or go safe?
60.9% of investors surveyed by the AAII are feeling bearish over the markets in the following six months — the highest since 2009. Who can blame them? One week it’s inflation, the next, it’s a housing recession. With markets down 20% this year, investors are questioning whether they should play it safe or take advantage…
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Question of the week: What do we know?
For those with images turned off: “Tell me… If we don’t know when we’re OUT of a pandemic…or when we are IN a recession. What do we know?” We’re no economists or health experts, but here are some things we do know about markets: 1/ Bear markets are unavoidable. Over a 50-year period, expect 14…
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Here’s a lesson on investing from the worst market timer in history
If you suck at market timing, raise your hand. At this point, everyone’s hand should be up. But it’s okay; you can be bad at market timing and still make money… Meet Wally — the main character in Charlie Bilello’s hypothetical story. Wally is terrible at market timing. He would chase bull markets — constantly…
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Should investors diversify their portfolio internationally?
Warren Buffett famously said, “never bet against America” — a market that has seen consistent gains throughout history. Despite the S&P 500 being down 18% in 2022 — the U.S. market has still outperformed other global stock markets. U.S. GDP growth may be slowing, but the country isn’t dealing with some of the major problems…
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How do activist investors impact companies and their stock returns?
Activist investors: CEOs hate them, bankers love them and retail investors don’t know what to think of them. Last week, it was revealed that activist Elliott Management took a stake in PayPal — sending the stock up 15% since. PayPal’s stock moved up; that should be good, right? That depends… Do activist investors improve investment…
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