Saturday, December 18, 2021

Why You’ll Regret Buying Stocks In 2022

Why You’ll Regret Buying Stocks In 2022
Lets talk about The Ray Dalio All Weather Portfolio, Investing in 2022, and whether or not The Santa Claus Rally could happen throughout the rest of the year - Enjoy! Add me on Instagram: GPStephan GET YOUR FREE STOCK WORTH UP TO $1000 ON PUBLIC & SEE MY STOCK TRADES - USE CODE GRAHAM: https://ift.tt/3spSP65 NEW BANKROLL COFFEE NOW FOR SALE: https://ift.tt/3gOs1cz DOWNLOAD MY NEW FINANCIAL APP: https://ift.tt/2WXgws1 THE NEW PODCAST: https://www.youtube.com/channel/UCMSYZVlQmyG8_2MkIKzg0kw The YouTube Creator Academy: Learn EXACTLY how to get your first 1000 subscribers on YouTube, rank videos on the front page of searches, grow your following, and turn that into another income source: https://ift.tt/3wPgj63 - $100 OFF WITH CODE 100OFF INTRODUCING: THE ALL WEATHER PORTFOLIO by Ray Dalio. His theory is that we have FOUR major cycles throughout our economy: * Rising prices (inflation) * Falling prices (deflation) * Rising growth (bull markets) * Falling growth (bear markets) And, in each of these 4 quadrants, there’s a BEST PERFORMING ASSET that can be used to keep your portfolio in the green. In this case, it’s a mixture of stocks, equities, bonds, and commodities: Equities perform best when the market goes up, commodities do well when inflation goes up, and bonds take care of the rest when everything falls. But, in terms of THIS allocation - its broken down into 30% equities - like VTI, 55% fixed income - including TLT and IEI, and 15% commodities - including Gold and a Commodity Index Fund. https://ift.tt/32UQswm Unfortunately, with almost any fund…it’s easy to selectively pick and chose dates that work for a specific narrative, like conveniently starting the All Weather Portfolio at the height of the market in 2006….right before everything crashed. But, if you go back to its inception in the 1970’s…you can see that, LONG TERM…it’s underperformed the SP500 by 30%. And even more recently, with low interest rates and high growth it’s - underperformed by nearly 50%. It can work as a portfolio designed to lower volatility and give you more consistent returns - but, it comes at a cost of potentially underperforming the market for the near future. THE SANTA CLAUS RALLY: his refers to the occurrence where, in the LAST WEEK of December, the stock market RALLIES, boosted by happy people, excessive spending, and year-end holiday bonuses. In fact, since 1950…December has, ON AVERAGE, been one of the HIGHEST RETURNING MONTHS of the stock market - averaging a 1.39% return, right after November…which, this year, posted a 6.91% GAIN. Not to mention…since 1969…the market has been UP that last week of December, 75% of the time. This also leads into what some traders call “The January Effect,” which occurs when investors make their initial purchases in the beginning of the year, after selling off losing positions in December for tax-loss-harvesting. When it comes to this…January has historically seen a nearly 1% increase in the SP500…and, 65% of the time - this has proven true. However, even though having a 65%-75% chance of something happening is REALLY ENTICING…it’s actually not as good as you think: If you invest in the SP500…since 1950, we’ve only had 15 times where the market closed lower by the end of the year….meaning, you have a 79% of making money if you just dump EVERYTHING into the market, all at once, on January 1st…and then, just wait. Of course, only time will tell how this ages…and, maybe this is the 25% likelihood that Santa Claus never comes to give us our tendies and January profits…but, regardless, year over year, you have a better chance at making money, as long as you don’t panic sell and keep buying. My ENTIRE Camera and Recording Equipment: https://ift.tt/2SbLvbD For business or one-on-one real estate investing/real estate agent consulting inquiries, you can reach me at GrahamStephanBusiness@gmail.com *Some of the links and other products that appear on this video are from companies which Graham Stephan will earn an affiliate commission or referral bonus. Graham Stephan is part of an affiliate network and receives compensation for sending traffic to partner sites. The content in this video is accurate as of the posting date. Some of the offers mentioned may no longer be available. This is not investment advice. Public Offer valid for U.S. residents 18+ and subject to account approval. There may be other fees associated with trading. See Public.com/disclosures/
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