Month: June 2023

Crypto Quarterly 2Q 2023

On balance, the news regarding cryptocurrency is still fairly skewed to the negative. But crypto remains alive, although widely a mystery to most of the population (including yours truly). Reporting on crypto is thus difficult – but even a small amount of information can be worthwhile.

One of the key events of the tragic crypto downturn remains the November 2022 fall of FTX and arrest of its founder. Interest rate increases also gradually revealed weaknesses in various cryptocurrency exchanges and functionality.

Continue reading “Crypto Quarterly 2Q 2023”

Be on Lookout for Small Caps

A short and punchy note today. Recent data speaks to money flows and trends favorable to small company stocks. 

Taking a step back, at most basic, small companies (when successful) become large companies – a good thing. Also, small company stocks are bought much cheaper (lower ratios of price to book value) in the marketplace. The caveat is that small companies typically have less of a track record and can be more volatile.

Continue reading “Be on Lookout for Small Caps”

Review: What Could Happen in 2023

Since it is approaching mid-year, it makes sense to look at a few data points from the start of 2023. Back in January, TGIF 2 Minutes took a look at two charts:

  1. How much more expensive growth stocks were (and are) versus value stocks (top chart)
  2. Average US stock returns following big downturns in markets (bottom chart)

Read on for the review from earlier in the year, followed by a June 2023 update. Continue reading “Review: What Could Happen in 2023”

The Mega-Cap 7 or 8

There is a narrowness to the US stock market’s “strength” so far in 2023 that warrants attention. Out of the five hundred US companies in the S&P 500 index, if not for seven of them (or eight, if Netflix is included) the index would be down for the year.

These seven or eight companies are all mega-capitalization technology companies: Nvidia (whose chips are currently fueling white-hot artificial intelligence), Apple, Microsoft, Amazon, Meta (formerly Facebook), Alphabet (parent of Google), Tesla, and the 8th is Netflix (arguably as large and hot as the rest).

Continue reading “The Mega-Cap 7 or 8”

Why Save & Invest?

 

The question, “Why save and invest?” is one not emphasized nearly enough. Often, savers and investors – whether having accumulated millions of dollars or those just getting started – focus almost exclusively on the various investments themselves, without first and often taking a step back to establish the “WHY” of investing.

The WHY can vary greatly, which is the reason the question is so meaningful.

Just this week I heard about the show currently on Netflix called “How to Get Rich” (haha, I may have just lost a few readers who will jump to find out more about the show). But it is not the show that is the focus of this week’s edition of TGIF 2 Minutes but rather one of the ideas behind the show. The idea comes from the author and successful entrepreneur, Ramit Sethi. One of the key ideas Sethi emphasizes is the “rich life” we all may wish to attain.

Continue reading “Why Save & Invest?”