Gold and Silver soaring, is the fan spinning up?
- Thread starter nottyboi
- Start date
Corrections in a rising market is normal and
expected.
Global economy is in an inflationary environment which
may transition to a stagflationary one.
To those who still want to stick with a buy-and-hold
investment approach here is the breakdown of asset
allocation I recommend:
60% stocks
20% fixed income
20% precious metals
I would concentrate my investments in all classes
on assets that offer protection against inflation.
For stocks I will focus on pipelines, utilities and
commodities. Some of my picks include:
Enbridge, TC Energy, Pembina Pipeline, Keyera,
Fortis, Emera, Nutrien, Cameco, Labrador Iron
Ore Royalty, Freehold Royalty, Osisko Gold Royalties,
Crombie REIT, Chartwell REIT.
I recommend against holding a cash reserve greater
than 10% of your portfolio. You may miss out the
opportunity of entry at the point of major correction.
But I believe the trend of the market is up in the next
few years. The market is more likely to melt up than
melt down. I would concentrate on fixed income
securities indexed against inflation.
Holding precious metals is IMO absolutely essential.
Put away 20% of your wealth in it not because you
want to become rich. Chance is hyperinflation could
erode away a considerable fraction of your investments
in the stock and bond market even if you are making
money on paper. Invest in gold and silver
bullions and pray their prices won't explode.
expected.
Global economy is in an inflationary environment which
may transition to a stagflationary one.
To those who still want to stick with a buy-and-hold
investment approach here is the breakdown of asset
allocation I recommend:
60% stocks
20% fixed income
20% precious metals
I would concentrate my investments in all classes
on assets that offer protection against inflation.
For stocks I will focus on pipelines, utilities and
commodities. Some of my picks include:
Enbridge, TC Energy, Pembina Pipeline, Keyera,
Fortis, Emera, Nutrien, Cameco, Labrador Iron
Ore Royalty, Freehold Royalty, Osisko Gold Royalties,
Crombie REIT, Chartwell REIT.
I recommend against holding a cash reserve greater
than 10% of your portfolio. You may miss out the
opportunity of entry at the point of major correction.
But I believe the trend of the market is up in the next
few years. The market is more likely to melt up than
melt down. I would concentrate on fixed income
securities indexed against inflation.
Holding precious metals is IMO absolutely essential.
Put away 20% of your wealth in it not because you
want to become rich. Chance is hyperinflation could
erode away a considerable fraction of your investments
in the stock and bond market even if you are making
money on paper. Invest in gold and silver
bullions and pray their prices won't explode.
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it's the everything bubble.. the last leg of the bull run ... then it's a brutal bear market, likely sometime in 2026 (q2 my guess/
Its not so much the spending, its the massive friction and uncertainty he is causing. Uncertainty is like a cancer for capital investment. It possible that this one backfires and corps just decide the US market is no longer the growth engine. Invest elsewhere and they have access to the global market of 6.7B people.
