Real Estate bubbles in Toronto and Vancouver, high debt to GDP, high housing prices to median incomes and bank news have spooked me. As a result I have sold all my Canadian Banks and Home Capital Group. Debt/GDP-http://business.financialpost.com/news/economy/canadas-record-household-debt-is-threatening-its-financial-stability-global-bankers-fear Percentage of median income to afford real estate: https://opentextbc.ca/geography/chapter/case-study-2-2/ Median Real Estate Price to median incomes: […]
Stock market bubbles burst. Check out this playlist of documentaries on stock market crashes. It shows how market bubbles form and how markets crash. Follow this link to a youtube playlist of videos about stock market crashes.
From Key West on vacation, my opinion of stock market valuations. Nobody can predict when the stock market might crash but there are valuation levels I believe are more dangerous than others and we are there now. Market cap to GDP is at it’s second highest total and the Schiller price earnings is third all […]
A look back on the performance of 2016 and the last five years in comparison with the S&P 500 as well as the Toronto Stock Exchange TSX composite.
Markets overshoot both to the upside and the downside. I re balance my portfolio allocations of equities and cash depending on which side they are on. I do this to preserve capital and have cash for corrections or crashes that give me better stock prices. As Buffet says I want be greedy when others are […]
Market Risk: Market risk is the challenge of the overall market and unpredictable price swings. I can select good companies and still have them pulled down with a market correction or crash. The Stock market is on the short-term emotional and inefficient. Stocks fluctuate on news stories everyday and this is what creates buying and selling opportunities.Managing these […]