The Financial World in 2016 is a complex and interconnected system. Whole new asset classes emerged in the wake of financial innovation and the widespread usage of the internet. Exchange Traded Funds, Automated trading and so on. The individual investor might well feel lost in the maze of new ways of seeking returns and yields.
Do old rules still apply? How to allocate the savings that one has to be secure, yet reach meaningful profits? What to avoid and what to look for? These are the questions that I am seeking to answer in this book. It will help you understand how different assets could help you in reaching your financial goals or endanger your portfolio.
The investment landscape is also determined by the sentiment of investors. The trust and the confidence in the whole system and its parts could shape much more than short-term movements. Investors have to know that the fragile belief central banks and market participants is an important foundation that most investments rely on.
The global financial crisis added fear to mix, a fear of systemic risks which could rattle the whole web of financial markets. The high level of global debt that is the consequence of a multi-decade credit cycle is a defining characteristic of the current environment that leaves investors with doubts about the very foundation of the global economy.
How to navigate in this environment? Is it possible to reach satisfying returns in a zero (or negative) interest rate world? Even seasoned investors find it hard to answer these questions without projecting their hopes or fears on the future. I will try to give a guide for these conditions by looking at the core of the problem and by breaking down what is unchanged and what is upside down in this environment.
As you will see throughout the book, I won’t try to answer all the questions for you, as your portfolio should be based on your specific needs and decisions, And don’t forget, there are no definitive answers, and risk is an inherent part of investing that should be embraced and controlled rather than feared and avoided at all costs. That said, I am confident that the knowledge and advice I offer will help you in making the right decisions and in looking at markets and assets in more conscious and objective way!
I wish you an exciting journey!
Do old rules still apply? How to allocate the savings that one has to be secure, yet reach meaningful profits? What to avoid and what to look for? These are the questions that I am seeking to answer in this book. It will help you understand how different assets could help you in reaching your financial goals or endanger your portfolio.
The investment landscape is also determined by the sentiment of investors. The trust and the confidence in the whole system and its parts could shape much more than short-term movements. Investors have to know that the fragile belief central banks and market participants is an important foundation that most investments rely on.
The global financial crisis added fear to mix, a fear of systemic risks which could rattle the whole web of financial markets. The high level of global debt that is the consequence of a multi-decade credit cycle is a defining characteristic of the current environment that leaves investors with doubts about the very foundation of the global economy.
How to navigate in this environment? Is it possible to reach satisfying returns in a zero (or negative) interest rate world? Even seasoned investors find it hard to answer these questions without projecting their hopes or fears on the future. I will try to give a guide for these conditions by looking at the core of the problem and by breaking down what is unchanged and what is upside down in this environment.
As you will see throughout the book, I won’t try to answer all the questions for you, as your portfolio should be based on your specific needs and decisions, And don’t forget, there are no definitive answers, and risk is an inherent part of investing that should be embraced and controlled rather than feared and avoided at all costs. That said, I am confident that the knowledge and advice I offer will help you in making the right decisions and in looking at markets and assets in more conscious and objective way!
I wish you an exciting journey!
