The sucker money flood, and the right time to aquire

A flood of wannabe-suckered money is sloshing around : investment that is seeking a story of an out-of-proportion return, at the hands of an investment manager under pressure to build a sunny story in rainy times. You can see the evidence in the business news every day : disproportionate valuations for laughably weak assets are in the news. Not small in scale, either : they do run into billions.

And why is this ohappeneing even in the middle scale ? When the bulk of the investment portfolio is stuck in conventional investments that are giving very low returns compared to what they were generating in the earlier decades, some investment manager feel they have to invest a large chunk of their portfolio with a story of incredible returns. The story may be thin, but at a pinch even a thin story is being accepted.

So a slim story of an emerging sector with high potential, can win top dollar investments for players who have no major innovation, are not having a ready product, and only have an outside claim and story.

By the time this bubble bursts, the investment manager would have made his bucks, and moved on.

Meanwhile, there is an opportunity in the oppsite direction. Solid traditional investments remain neglected : companies with solid customer base, established products, and well-integrated manpower remain available at attractive prices.

This is not just a good time to acquire in traditional sector.

This is a Great Time to acquire.