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Head and Shoulders Babeee!!! 7/17/23

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46 minutes ago, fxfox said:

😂😂😂

What, you're a military historian too? 😄

Heidelberg, the 29th. 

 

 

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1 hour ago, fxfox said:

I wrote about that here several times in the past.

2022 was CATASTROPHIC. It was like 2008. Difference is that it didn‘t show up to the same extend in the S&P as in 2008, but if you look at the market as a whole, that‘s stocks AND bonds, 2022 was the worst year for a 60/40 portfolio since 1932! And for portfolios with higher percentage of bonds it was the worst ever I think. Bonds were no safe haven when needed and that alone was a catastrophe.

Fxfox,

I remember that you said this couple times on this forum. I was not investing in bonds in the past so i was not interested in following the results. Now, the more I look at ETFs, which are quoted on Xetra in EUR, the more I read about bonds - with floated, fixed rates, inflation linked etc. I keep reading about ETFs strategies and I'm amazed how portfolios are constructed - mainly on bonds and equities in split from 20/80 to 80/20 depends on your age.

 

Nevertheless I also tried to understand how to hide in the future in such a tough times. I conclude that it was the best to be invested in energy stocks like XOM in 2022.

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@fxfox

if you are into clean energy please look at L&G Battery Value-Chain UCITS ETF, symbol BATE GY, TER 0,49%

Thematic investments in a basket of companies focusing on electrochemical technologies for electricity storage and mining companies focusing on metals used in battery production, among others. The 32 companies, mainly from Japan, the USA, South Korea and Australia, include Mineral Resources, Pilbara Minerals, ESS or AMG Advanced Metallurgical. To a lesser extent, shares of electromobility-oriented car manufacturers such as Renault, BMW and Nissan are also represented here. The underlying assets are denominated in several currencies.

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10 minutes ago, SiP said:

Fxfox,

I remember that you said this couple times on this forum. I was not investing in bonds in the past so i was not interested in following the results. Now, the more I look at ETFs, which are quoted on Xetra in EUR, the more I read about bonds - with floated, fixed rates, inflation linked etc. I keep reading about ETFs strategies and I'm amazed how portfolios are constructed - mainly on bonds and equities in split from 20/80 to 80/20 depends on your age.

 

Nevertheless I also tried to understand how to hide in the future in such a tough times. I conclude that it was the best to be invested in energy stocks like XOM in 2022.

I still believe that the majority of „non-professional“ investors in bonds do not really understand how bonds work. I am not talking about those who hold to maturity and simply collect the coupons. 

Things like inflation linkers are complicated. I am quite sure most bought those when it was already too late: When inflation was already running. And now they sit in their position, inflation goes down and they die a slow death…

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In terms of clean energy, then its always about components

When I look at iShares Global Clean Energy UCITS ETF. IQQH GY, TER 0,65%

"Clean Energy Thematic Investments. These are the holdings of 100 of the world's largest companies focusing on clean energy production or energy equipment and related technologies. The most represented companies are from the US, China, New Zealand and Brazil. Examples include Vestas Wind Systems, Meridian Energy, First Solar, Solaredge Technologies or China Everbright International. The underlying assets are denominated in several currencies (e.g. euro, New Zealand dollar or Hong Kong dollar)."

image.thumb.png.cb52e67bc9b754c0eb9dd7cfea98828e.png

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2 minutes ago, fxfox said:

I still believe that the majority of „non-professional“ investors in bonds do not really understand how bonds work. I am not talking about those who hold to maturity and simply collect the coupons. 

Things like inflation linkers are complicated. I am quite sure most bought those when it was already too late: When inflation was already running. And now they sit in their position, inflation goes down and they die a slow death…

yeap. In Poland as a retail investor you could bought inflation link bonds but.... the premium (like CPI)would be paid in.... second year! What a joke. So people bought bonds in mid to late 2022 then the bonus will start kicking in but.... the inflation is goin lower. And you stuck in this bonds for 5 years. If you sell them before this period you lose your "premium".

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10 minutes ago, SiP said:

@fxfox

if you are into clean energy please look at L&G Battery Value-Chain UCITS ETF, symbol BATE GY, TER 0,49%

Thematic investments in a basket of companies focusing on electrochemical technologies for electricity storage and mining companies focusing on metals used in battery production, among others. The 32 companies, mainly from Japan, the USA, South Korea and Australia, include Mineral Resources, Pilbara Minerals, ESS or AMG Advanced Metallurgical. To a lesser extent, shares of electromobility-oriented car manufacturers such as Renault, BMW and Nissan are also represented here. The underlying assets are denominated in several currencies.

Interesting, thanks! 😎

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6 minutes ago, SiP said:

yeap. In Poland as a retail investor you could bought inflation link bonds but.... the premium (like CPI)would be paid in.... second year! What a joke. So people bought bonds in mid to late 2022 then the bonus will start kicking in but.... the inflation is goin lower. And you stuck in this bonds for 5 years. If you sell them before this period you lose your "premium".

That sounds almost like a fraud. 😳

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This ETF is for me a joke. Its called "Global government bonds linked to inflation", symbol IGIL LN from iShares.

 

Its lost like 50% (!) between late 2021 and mid 2022

EUR hedged

image.thumb.png.c82569eed146c7d9cd58c41e017ce3ab.png

 

USD accumulating

image.thumb.png.a70b2ed6753456e10c4d72d15f5c4fe7.png

 

I dont get it. Really. Lets say you made a correct forecast about infaltion. You bought it and what? Lost 50%? WTF!

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