It has been a rough month in local and global markets and while oil has been slipping, giving us some relief at the petrol pump, the markedly weaker Rand is taking back most of that petrol price reduction. With all the bad news flowing around somebody asked me if we were due for another market crash. The short answer is absolutely, but when? This year, next, what about next decade? Sure, some people do manage to correctly call a market crash, but you’ll typically find that they’d been calling it for years and years and if you say it often enough eventually you’ll be right.
As investors we focus on what we can control and that’s simple - the price we pay for an asset. If the price looks good according to our metrics then we should be happy to buy and even if the market then crashes – it has equally recovered from every previous crash.
In the week ahead we have a live webcast on Investment Clubs, which you can watch on Wednesday at 13h00. They are an excellent way to pool knowledge and resources, have some fun, learn and get rich all at the same time. We’ll cover different ways to set them up, how to manage the money and how to unitise them so everything is fair.
Wednesday 6th June at 1pm - Investment clubs
Wednesday 13th June at 8pm - Sarting in FX
Monday 2nd July at 8pm - Trading commodities without currency risk
Other Relative Valuation Models
Four Important Candlestick Patterns
I love my coffee. I have a cappuccino machine at home and get beans in from all the best spots in the world. Sounds expensive? But it isn’t, not when compared to what I was spending buying a couple of cappuccinos in cafes every day, now that was expensive. How much are we spending every week, month, year on those little costs that seem to be unimportant? The reality is that lots of small costs very quickly add up to one large cost. Know where you money goes and watch our 100-second tip - How much is that cappuccino?
All the best
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