2014 will be yet another exciting year for stock investments and good profits. No doubt the markets will be volatile and choppy and once again fraught with uncertainty with the certain tempered winding down of the US stimulus programme and the most likely scenario of a global rise in interest rate.
Sounds scary? But wasn’t 2013 also a wild yet profitable ride too? It also depends on which markets you are looking at. Let’s take a trip down memory lane and compare how the general Singapore stock market (represented by the STI) performed vis-a-vas the general US stock market for the whole year of 2013.
What do you see and interpret?
While it doesn’t mean that you can simply make money by blindly choosing any stock in the US market and comfort yourself by saying a rising tide lifts all ships, it means that markets in different countries perform differently and give you different rewards. In this light, it is also useful to consider buying a simple exchange traded fund that track the general performance of the various stock market indicators. Yes, very boring but profitable.
We have said it before and we’ll say it again. If you have been always looking at the Singapore market and are somewhat disappointed, do consider the US stock market which has great companies and tremendous trading volume.
Recently, we took a position in Tesla after doing our homework and applying the principles we teach at our course. If you recall, we covered Tesla in our superblog posting.
We look forward to welcome our 3rd batch of Empower Advisory members this 18 January and teach a life-skill worth many, many times the course fee!
Our Best, Always!