News
Plus: A Dividend Investor’s Checklist, Four False Investment Collaterals, Bear Market End or No, Inflation Rising, and More.
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A dividend investor’s three capital allocation checks
Before Reineke Davidsz of the Van Lanschot Kempen dividend team examines a company in more detail, she first wants to know what a company does with the capital. Immediately short checklist misallocation can be quickly detected and investment accidents prevented.
Four false certainties mislead investors
Markets and central banks confidently expect the global economy to enter a new era of Goldilocks in which everyone will live happily ever after. But investors’ optimistic outlook rests on four fallacies. That is the opinion of British economist Anatole Kaletsky in a column on Project Syndicate.
A new camping rally?
“The stock markets are always about nine to twelve months ahead of the real economy. Investors can always find a reason to cherish the positive sentiment. In addition to the interest rates that fell sharply in a few days, several ( American) figures from which investors could please.” Lees of column by Martine Hafkamp.
As long as southern interest rates remain under control
The #ECB‘s ‘game’ is pretty obvious! pic.twitter.com/f9L2HBXNHd
— jeroen blokland (@jsblokland) August 8, 2022
That was the bear market?
Yahoo polls the mood among professional investors. The reactions are … mixed. “While several capitulation indicators (e.g., sentiment) suggest the worst is behind us, we are cautious that we will see another leg lower as potential earnings growth becomes more realistic.”
Ben Carlson also has an opinion. “I also wouldn’t be surprised if the stock market heads back to new all-time highs next year right as the economy falls into a recession. Wouldn’t that be the icing on the cake for the weirdest, most confusing economic environment we’ve ever seen?”
Stock market sentiment and stock market positions diverge considerably
Sentiment vs Positioning: As I have previously highlighted, there has been a big disconnect between investor sentiment and actual positioning. pic.twitter.com/BtJK64PVlr
— Topdown Charts (@topdowncharts) August 7, 2022
Active vs Passive
The returns of the IEX Fund 40 (actively managed mutual funds) and the IEX Index 20+ (ETFs).
Prices in metaverseland: what the madman gives
And that’s less and less.
Land prices in the Metaverse are collapsing.
Even if the land is virtual, the pain is real. pic.twitter.com/ifsk8JWorU
— Alf (@MacroAlf) August 6, 2022
Low water level costs citizens extra money
The high energy prices. The war in Ukraine. Expensive raw materials. One more can be added to this list of causes of increasingly expensive life: the low water level in the Rhine and other rivers, according to RTL Z. Meanwhile, energy costs are spiraling out of control.
It amazes me so much that there is no TOTAL PANIC about this. That we individually might prefer not to think about it, ok. But this is dramatic. In The Hague, there used to be endless debates about a 7-euro difference in purchasing power figures. And now 4000 euros and .. we’ll see. https://t.co/WcBUtTR6nW
— bert hubert (@bert_hubert) August 7, 2022
More bad news from the inflation front: ABN AMRO raises inflation expectations
Forecast inflation increased, but also signs of improvement. Inflation rose in July at its highest rate since 1975. Read about increased energy prices into 2023, falling commodity prices, and government policies that push inflation into 2023. https://t.co/BNUdBmbZJC pic.twitter.com/amZqUoFq2e
— ABN AMRO EconBureau (@ABNAMROeconomists) August 4, 2022
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Of Editors of IEXProfs consists of several journalists. The information in this article is not intended as professional investment advice, or as a recommendation to make certain investments. Editors may hold positions in one or more of the listed funds. click here for an overview of their investments.
