GYC Insights
Articles on real-life financial issues written to educate and enlighten.
Commodity Protection
With the creation of commodity funds and ETFs, investors of today do not need to own the physical commodity to have access to it. There are a few important things to note when holding them in your portfolio.
Use Your Intuition Wisely
Going to the safety of cash when uncertainty is in the air might seem like an intuitive response, but studies show that trusting your intuition may not be the best way to make decisions in investments
Is it Important to Beat the Market?
For one, investing during the right cycle is important, but the key here is not to give up market returns in an effort to chase performance.
Why Do We Still Listen to Forecasts?
Many people listen to the forecasts because to them, getting it right could mean a windfall and a false sense of certainty to something which is highly unknowable.
All that Glitters is Not Gold
The aphorism in the title of this article applies to many things in life and most definitely applies to investments.
Getting Rid of Investing FOMO
The fear of missing out (FOMO) is a perennial bad habit of many investors and it can be disastrous when it pushes your thinking into the short-term, with dollar signs being the only target in mind.
How do Returns Happen?
The average return from global stocks are around 7.5% a year, but investing when markets are depressed helps bump that number up a bit more.
Long-Term Investment? Doesn't Work All the Time
Buying to hold blue chips stocks for the long term is quite common advice, but data shows that in the long run only a handful of them retain their value, let alone increase it. Why is this so?
Your Purchasing Power
When it comes to money, even doing nothing has a cost. Over the last 53 years, the Singapore dollar has lost about 76% of its purchasing power. In contrast, investing in a global portfolio would have grown your wealth by 3,684%.
Simple Rules to Live By
Recent events have shown that investing in complicated investments in order to generate a higher return can have disastrous results for long-term wealth.
Is it a Good Idea to be Invested in the Market Now?
As Ben Carlson aptly put it, “Cash on the side-lines does you no good if it always stays on the sidelines.”
Waiting for Godot
After a depressing 2022 for investors, many prepared for the most widely anticipated recession in history. And yet, markets have defied the bad news by having a decent 1H 2023, with double-digit returns for global stocks.
Should You Listen to Experts?
Expert advice can be hugely beneficial when it comes to your health or fixing your automobile. However in the world of investments, expert advice seems to be routinely wrong.
The Pursuit of Happiness
Money can’t buy happiness, can it? A certain study calculated that happiness in Singapore will cost around S$62,233/year ($5,186/month).
Too Much of a Good Thing Can Be Bad
Short-term price movements of stocks and bonds can be noisy and volatile, but eventually, prices tend to return to the trend of the long-term fundamental value of assets.
It's Really Hard Not to Panic
“Don’t panic” and “Invest when markets are down” is usually easier said than done. Going through volatile markets can feel like a really long time, but when zoomed out, it is but a mere blip in history.
New Bull Market?
The S&P500 has been declared to be in a new bull market, rallying almost +24% off its October low, with Global stocks close behind (+20%). You usually see shoppers rush to take advantage of discounts but when stocks are beaten down in price, investors dump their positions. When prices rise, investors get more excited, dive back in and load up on stocks. This is really peculiar behaviour.
Can AI Invest Better Than Me?
AI in investing has actually been around for a bit, some active investors and traders have attempted to get an edge on others through AI tools that retrieve and process data. Is AI able to give investors a leg up against the competition?