One Four Nine Group’s Post

"While typically considered benign, passive index investing can come with unintended consequences." Passive investing, like owning the S&P 500 index fund, can be a straightforward and cost-effective strategy for long-term investors. However, it’s also important to consider how these strategies can expose you to full market downturns. Read the latest article in The Australian Financial Review newspaper from LGT Crestone's Head of Public Markets Todd Hoare about how passive investing can leave investors with "a much bigger mountain to climb in bad times." #equity #equities #markets #passive #active #lgtcrestone

Is #passive investing still a reliable strategy in this #evolving investment landscape? Though often viewed as benign, passive index investing can come with unintended consequences – having concentrated exposure to top #stocks, such as in the S&P 500, means #investors risk absorbing the full extent of the downside in times of market turbulence. As LGT Crestone Wealth Management Limited’s Head of Public Markets Todd Hoare outlines in The Australian Financial Review article, investors should consider the implications for their portfolios when blending passive and active strategies, and acknowledge that, just like returns, #investment styles are not persistent. Read more at the link below. #passiveinvesting #publicmarkets 

Great article from Todd Hoare in the AFR today…the advantages of passive investing are well known, but the risks need to be considered as well.

Unlock 🗝️ the Secrets to Financial Freedom with Alternative Investments! Dive Deep 🌊 into Our Latest Guide 📘 and Transform Your Portfolio Today! 🚀 "The Holy Grail of Investing" delves into the realm of alternative investments with the goal of broadening investors' horizons beyond traditional stocks and bonds. This section of the book is particularly insightful, as it introduces readers to a variety of investment opportunities that are often overlooked, yet can play a crucial role in diversifying portfolios and managing risk. Tony Robbins and Christopher Zook emphasize the importance of understanding the unique characteristics of alternative investments, including real estate, commodities, hedge funds, private equity, and collectibles, among others. They explain how these assets can behave differently from traditional markets, offering potential for both higher returns and higher risks. The authors provide a clear framework for evaluating these opportunities, highlighting the need for thorough research, due diligence, and an understanding of the market dynamics at play. One of the key themes in this section is the concept of non-correlation with traditional markets. Robbins and Zook explain how investing in alternatives can provide a hedge against market volatility and economic downturns, as these investments may not move in tandem with the stock market. This aspect is particularly appealing for those looking to build a resilient portfolio that can withstand market fluctuations. Additionally, the book covers the importance of access and liquidity in the context of alternative investments. Robbins and Zook address the challenges that individual investors may face in accessing certain types of alternatives, such as private equity, due to high minimum investment requirements or regulatory restrictions. They offer practical advice on how to navigate these hurdles and identify accessible opportunities. What stands out in their discussion is the balanced approach to alternative investing. While recognizing the potential for higher returns, Robbins and Zook do not shy away from discussing the risks involved. They advocate for a cautious approach, advising readers to allocate only a portion of their portfolio to alternatives and to ensure that this investment aligns with their overall risk tolerance and investment goals. In summary, the section on alternative investments in "The Holy Grail of Investing" is a treasure trove of insights for investors looking to diversify their portfolios and explore new avenues for growth. Robbins and Zook succeed in demystifying this complex area of investing, providing readers with the knowledge and tools needed to venture confidently into the world of alternatives. #MustReadMonday #InvestSmart #WealthBuilding #FinancialFreedomJourney"

Unlock 🗝️ the Secrets to Financial Freedom with Alternative Investments! Dive Deep 🌊 into Our Latest Guide 📘 and Transform Your Portfolio Today! 🚀 "The Holy Grail of Investing" delves into the realm of alternative investments with the goal of broadening investors' horizons beyond traditional stocks and bonds. This section of the book is particularly insightful, as it introduces readers to a variety of investment opportunities that are often overlooked, yet can play a crucial role in diversifying portfolios and managing risk. Tony Robbins and Christopher Zook emphasize the importance of understanding the unique characteristics of alternative investments, including real estate, commodities, hedge funds, private equity, and collectibles, among others. They explain how these assets can behave differently from traditional markets, offering potential for both higher returns and higher risks. The authors provide a clear framework for evaluating these opportunities, highlighting the need for thorough research, due diligence, and an understanding of the market dynamics at play. One of the key themes in this section is the concept of non-correlation with traditional markets. Robbins and Zook explain how investing in alternatives can provide a hedge against market volatility and economic downturns, as these investments may not move in tandem with the stock market. This aspect is particularly appealing for those looking to build a resilient portfolio that can withstand market fluctuations. Additionally, the book covers the importance of access and liquidity in the context of alternative investments. Robbins and Zook address the challenges that individual investors may face in accessing certain types of alternatives, such as private equity, due to high minimum investment requirements or regulatory restrictions. They offer practical advice on how to navigate these hurdles and identify accessible opportunities. What stands out in their discussion is the balanced approach to alternative investing. While recognizing the potential for higher returns, Robbins and Zook do not shy away from discussing the risks involved. They advocate for a cautious approach, advising readers to allocate only a portion of their portfolio to alternatives and to ensure that this investment aligns with their overall risk tolerance and investment goals. In summary, the section on alternative investments in "The Holy Grail of Investing" is a treasure trove of insights for investors looking to diversify their portfolios and explore new avenues for growth. Robbins and Zook succeed in demystifying this complex area of investing, providing readers with the knowledge and tools needed to venture confidently into the world of alternatives. #MustReadMonday #InvestSmart #WealthBuilding #FinancialFreedomJourney"

Take a deep dive into a genuinely international portfolio in the Murray International Trust plc with co-managers Marty Connaghan and Samantha Fitzpatrick who discuss the current portfolio in detail in a recent interview. abrdn Investment Trusts https://lnkd.in/e3CaqEA5

Watch out for 'raisins that look like turds' in investing! Charlie Munger's wisdom warns against greed-driven pitfalls, like the recent BHI Trust collapse and GSPartners' unrealistic promises. Don't fall for the allure of high returns; beware of shady schemes and protect your money wisely. This article by Rob Macdonald is a must-read.

Betashares' Thomas Wickenden explains how smart-beta investing can help investors target different factors or manage concentration risk in portfolios. Learn more via Livewire Markets: https://lnkd.in/gvK3ZJMy

Is the value of your investments really secure? Many investors may not realize that certain financial products, like ETFs, hold the potential to drop significantly or even go to zero. I came across an article that highlights the risks associated with ETFs, emphasizing the importance of understanding your investments fully. In my own journey, I've learned the hard way that not every investment is bulletproof. The key takeaway here is to do thorough research and know the underlying assets you're investing in. It’s essential to stay informed and make educated decisions. What steps do you take to safeguard your investment portfolio? 💡💼 #InvestmentStrategy #FinancialLiteracy #ETFs #InvestSmart https://lnkd.in/gTSvPgjz

Rob Macdonald, FUNDHOUSE, advocates for the responsibility of financial planners in safeguarding investors from dubious opportunities. In today's featured article on Blue Chip, Rob Macdonald draws attention to the enduring relevance of Charlie Munger's insights, particularly in light of recent investment challenges. Read the full article here: https://lnkd.in/ekcnzqbZ #financialplanners #financialadvisors #financialplanning #cfp #investment