Slack Investor remains IN for US, UK and Australian index shares.
The Australian Index (+3.0%) has had a good month. While the UK Index (-0.5%) and the US index (+0.5%) have ended the Australian Financial Year (FY) in a steady fashion.
All Index pages and charts have been updated to reflect the monthly changes – (ASX Index, UK Index, US Index).
Goodbye FY 2018
Slack Investor loves a review … and the end of the financial year is always a good time for introspection. Overall, it has been a good year to take some calculated risk and be involved in the satisfying world of investing in companies through the share market. Safe money in a bank is returning under 3% per year.
ASX 200 – Despite a mediocre performance by the Australian Banks (which make up a large porrtion of the ASX 200), You would have to say it was a good year for the Australian Index (+8.3%). If you take into account dividends, the ASX200 accumulation index increased a bumper 12.7%.
FTSE 100 – It was a bit of a struggle for the UK Index this year (+4.4%) with a lack of clarity on what Brexit will mean for the UK economy. Slack Investor left the index briefly as it plunged below a stop loss at the end of March, but rising momentum in April got me back in.
S&P 500 – The US Index was heading for a monster year with President Trump reducing taxes … and then he started talking about new trade tariffs There were also concerns about high valuations. But, overall, +11.8% is a very fine return in the current low interest environment for cash.
Financial Year Slack Investor Resolution – A recent ASIC report found that nine out of ten self-managed super funds recieve poor financial advice from their advisors … So start educating yourself in financial matters … become your own advisor!
The Productivity Commission have a plan worthy of Blackadder – Image may be subject to copyright
The Draft Report of the Productivity Commission (PC) into superannuation was discussed last post. The report identifies four main problems with Australia’s superannuation model that adversely impact the final payout. Underperformance, Multiple Accounts; High fees; and Expensive insurance. Slack Investor will look at a couple of the recommendations of the PC.
From PC Superannuation report 2016
Not all funds … is good funds!
The PC found that nearly 5 million accounts are in underperforming funds. They defined a low benchmark (BP2) which was the average performance of all MySuper accounts and the chart shows the cluster of purple retail funds at the in the poor returns of the bottom left (Plus a few laggard industry funds … Shame!)
PC Superannuation report 2016
The performance of a fund was found to be the most critical factor in determining your compulsory super payout. You could potentially save $375 000 by getting this right. The PC came up with a cunning plan to counteract the disengagement of younger members of the workforce. The Productivity Commission propose that the default super choice for when you first start work is one of the 10 best performing funds – Cunning but Brilliant!- You automatically get put into one of the historically best performing funds at a time when you are likely not that skilled in picking a fund yourself.
PC Superannuation report 2016
… members should be placed into a default fund once and that fund would be derived from a ‘best in show’ list of high‑performing funds identified by an independent and expert panel.
I would hope that all workers retain the right to eventually move to a fund of their choice – but it is a fine first step to put new workers into one of the funds with an established good record. To Slack Investor, this panel sounds like a cushy job – If my application to be Reserve Bank governator is rejected, I would be like to be on that panel!
One Super account for life …. How Bout that!
… one third of accounts, … are unintended multiple accounts that are costing members $2.6 million a year in fees and insurance premiums.
A structural fault with our current system is that new superannuation accounts are usually created with each new job or new union award – if you are not proactive it is easy to accumulate a handful of super funds before you are 30. The inefficiency of this structure just leaks money out of your retirement accounts in a myriad of fees that profit the funds .
What to do … Now!
In the meantime, not advice, but this is what I would do. Don’t wait for the PC final report … or the politicians … Get Engaged (Part 1, Part 2) and immediately get online and check on the performance stats of your current super fund(s). If you are more than 5 years from retirement, I would be in a high growth option of your super fund. You usually do have choice!
Look at the table below assembled from data on the most excellentsite Selecting Super and compare it with your current fund performance. Those wanting a more interactive experience should try the Stockspot site. If your fund’s performance results look bad (i.e. 5-yr less than 10%; 10-yr less than 5.6%) then lose your love for that fund and move on!
In what can only be described as a blatant display of my skills to get on the “best in show” panel, I have made my own “best in show” list and ranked the growth super funds according to their 5-year performance. I have only included the funds that are open to everyone, and … in over-achieving style, have listed the top 20 … yes 20! Followers of Slack Investor will find it no surprise that Retail Funds did not perform well enough to be in the top 20.
Fund
1-year
3-year
5-year
7-year
10-year
Intrust Core Super – Growth
12.40%
9.00%
12.00%
10.00%
6.10%
VicSuper FutureSaver – Equity Growth
11.90%
8.30%
11.90%
7.10%
StatewideSuper – High Growth
11.50%
9.40%
11.70%
Cbus Industry Super – High Growth
11.60%
9.30%
11.60%
10.60%
7.00%
AustSafe Super Industry – Super Growth
13.40%
8.80%
11.60%
10.10%
6.20%
HOSTPLUS – Shares Plus
12.50%
9.50%
11.30%
10.00%
7.10%
AustralianSuper – High Growth
10.30%
8.50%
11.10%
9.90%
6.50%
LegalSuper – High Growth
10.50%
8.30%
11.10%
9.80%
6.00%
Prime Super (Prime Division) – Managed Growth
10.40%
9.50%
11.00%
9.50%
4.00%
Catholic Super – Aggressive
10.60%
8.90%
11.00%
9.90%
7.30%
Club Plus Industry Division – High Growth
13.00%
9.40%
10.80%
9.60%
5.90%
Rest Super – High Growth
9.60%
7.70%
10.80%
10.00%
7.30%
HOSTPLUS – Balanced
11.00%
8.70%
10.60%
9.70%
6.70%
CareSuper – Growth
9.90%
8.10%
10.60%
9.70%
7.20%
First State Super Employer – High Growth
10.80%
7.70%
10.60%
9.90%
7.10%
TWUSUPER – Equity Plus Option
10.30%
7.90%
10.50%
9.40%
5.90%
Energy Super – Growth
9.20%
8.10%
10.40%
9.40%
7.10%
Media Super – High Growth
9.80%
7.80%
10.40%
9.20%
6.20%
HESTA – Shares Plus
10.70%
7.70%
10.30%
9.40%
6.90%
MTAA Super – Growth
9.30%
8.20%
10.20%
8.00%
3.50%
Once you have made your choice, and opened up a fund that you are happy with (if required, contact fund and get account number first) now consolidate all accounts to your one favoured fund using My Gov ATO Portal. Let your employer know of your new choice for future contributions.
If you are 21, according to the Productivity Commission, you might have just saved yourself up to $426 000 in retirement funds. If you are 55, you could save $55 000. – Still, that’s not a bad days work!
Slack Investor remains IN for US, UK and Australian index shares.
The Australian Index (+0.5%) has been a bit of a laggard with the banks still generating bad news and signs of the Australian property market starting to slow. The UK Index (+2.3%) and the US index (+2.2%) have continued to have solid growth.
The good news on the Australian Index (ASX 200) is the opportunity for Slack Investor to crinch up his stop loss from 5629 to 5724. A small movement upwards, but I always like doing this as it means that the Index has now set a new “higher low” The explanation for this technical stuff can be found here. A new “low” (or minimum) has been established at 5724 and this is my new stop loss on the monthly chart
Monthly chart for the ASX 200 – From Incredible Charts
All Index pages and charts have been updated to reflect the monthly changes – (ASX Index, UK Index, US Index).
Productivity Commission gives the Super Industry a bit of a “Ginger Up”
I have been a fan of Australia’s Productivity Commission (PC) ever since I read their 2010 report into the sorry state of Gambling in Australia. The report is full of thought provoking and shameful material like- Australia is the world leader in number of poker (slot) machines per capita and Australia leads the world in gambling losses per person – but I digress…
The “Ginger Up” refers to an ancient horse racing practice that I wont elaborate on here – but it does make me squirm! The PC have just delivered their draft report on the state of Superannuation in Australia. God bless them .. they have put in “black and white” the rorts that exist in Australia’s good but not great superannuation system – and they have created a new Slack Investor hero.
The lead author in the report is the Productivity Commission deputy chair Karen Chester who has delighted Slack Investor with the following refreshing quote. Ms Chester’s attitude was like a snowball in the face after the my last depressing post on the mostly self interested world of banks and financial advisers.
Karen Chester – Photo from Quentin Jones
“the only thing I care about is member outcomes” from source
The Productivity Commission identifies two structural problems with Australia’s super model. The unintended creation of multiple accounts and the entrenched underperformance of some of the super funds that are allocated to the employee.
From Productivity Commission Superannuation report.
“Members are really lost in the weeds of product proliferation with 40,000 products. They’re bamboozled by poor disclosure and … poor advice.” Karen Chester from source
I am hoping that Ms Chester will get the final report out with haste. Slack Investor loves the smell of the draft report. The Federal Government would do well to take up her recommendations. The info graphic above puts some real world figures on what might happen if the PC recommended changes to Australia’s superannuation model are adopted.
It is a promising sign that the current Finance minister seems to recognize the problem.
“Super has become worse than a honey pot; it’s a trough.” – Financial Services Minister Kelly O’Dwyer source
Slack investor will look at the “trough” and PC draft recommendations in the next post. There are things you can do right now to protect your super.
The incomparable David Rowe has a daily habit of drawing great cartoons. This image describes the current situation with the excrement covered big 4 Australian bank pigs dragging the Australian Treasurer and the Minister for Revenue and Financial Services along for the ride in front of the Royal Commission.
ASIC found that in 75% of the advice files reviewed the advisers did not demonstrate compliance with the duty to act in the best interests of their clients. Further, 10% of the advice reviewed was likely to leave the customer in a significantly worse financial position.
Lets get this straight … I rock up to to a financial planner and I only have a 1 in 4 chance to get some advice in my best interests …. and, I have a one in ten chance of ending up in a significantly worse situation … What is going on !!!! – these are the people who many depend upon for sound financial advice.
The sad case of Sam Henderson
Sam Henderson outside the Royal Commission from news.com.au
Slack Investor writes about Sam only because he is still gobsmacked with the evidence presented to the Royal Commission on 24/04/18.
A bit of background … Sam Henderson is the very public and enthusiastic face of Henderson Maxwell, a financial advice and accounting firm. Sam has been everywhere in the Australian financial media for the past few years with his own weekly TV show and newspaper columns. Slack Investor admits to being a great fan of Sam’s podcasts Sky News “Your Money Your Call” presented weekly on Thursdays. In these podcasts Sam, and others, dispense generally good advice about retirement issues and superannuation.
I have found their program to be extremely informative. They have talked a lot about Self Managed Super Funds (SMSF’s), retirement strategies and taxation – Advice that Slack Investor has found very helpful.
However, Sam has fallen foul of the Royal Commission. Henderson Maxwell charged $4950 up front to give advice to a client that would have been to her detriment – to the value of at least $500 000. It appears that Sam’s firm has acted in their own self interest rather than the clients. Specifically, Mr Henderson urged his client to establish a SMSF and remove her super investments from a generous public sector deferred benefit fund to invest in Henderson Maxwell products, which would have earned him ongoing fees.
Although, through this public shaming, Sam has carried a lot of the heat for the widespread malpractice by the banks and financial planners. This case represents the huge problem with the financial industry in Australia and the reason why Slack Investor has educated himself in the dark art of finance rather than rely on a financial advisor to dictate strategy for him.
One of the most galling things about this case is that Henderson Maxwell is considered to be one of the leading firms for giving financial advice. They are the winner of the 2016 Australian Association of Financial Advisers (AFA) award for practice of the year. The AFA advertise their advisers as “Trusted, Knowledgeable, Reputable, Respected”
Slack Investor admits to being a flawed human – but he would hope that he would act ethically even as the financial system drapes its lucrative reward tentacles tantalizingly in front of him. In the case before the Commission, Sam Henderson responded to financial incentive.
“Show me the incentives and I will show you the outcome” –
Charlie is vice- Chairman of Berkshire Hathaway and dispenser of financial common sense – another Slack Investor Official Hero
This sums things up. At the moment most financial advisors are given incentives to sell their own products – there is no incentive to represent the best interests of their clients. The regulator ASIC has done a review of the quality of financial advice that had been provided to SMSF’s, and found that
90% of cases had failed to be in clients’ best interests.
It is hoped that the Royal Commission will accelerate change. The Financial Review reported that four years ago the head of the Financial Planning Association (FPA) called on financial planners to unite and push for the separation of product from advice. In the meantime, the vertically integrated financial planning money machine with its fees and trailing commissions has kept on rolling on …
The Hayne Train should address these issues before finally pulling up to the station – While we are waiting, if you really need a financial planner, only use a truly independent advisor registered with IFAAA – No affiliations with product, no commissions and no asset fees . There will be an upfront fee for the advisor’s service – but this fee should be small in comparison to the ongoing costs associated with the lifetime tenure of an affiliated advisor.
Slack Investor remains IN for US, UK and Australian index shares.
After all the doom in March, the Australian Index (+3.9%) has had a great April. The UK Index (+3.4% since our buy IN in the middle of the month) has also bounced back. The US index (+0.3%) has been steady – but Slack Investor is still on high alert – considering high company valuations in the US at the moment.
All Index pages and charts have been updated to reflect the monthly changes – (ASX Index, UK Index, US Index).
Slack Investor is always looking for a new hero and it just might be the Honourable Kenneth Madison Hayne AC QC.
The driver of the Hayne Train and new Slack Investor Hero Hon. Kenneth Hayne. – from source
The driver of the Hayne Train is in charge of the new Royal Commission into Australian Financial Services. Commissioner Hayne is very ably assisted by a crack team of lawyers. Kenneth Hayne seems appalled by some of the practices in banking and the financial industry that his commission is exposing. Slack Investor also has a very poor opinion of the bulk of the financial advice industry and is heartened by recent goings on at the Royal Commission. Perhaps the state of financial advice in Australia is best summed up by the seemingly toothless industry watchdog ASIC (Australian Securities & Investments Commission) in a report in January 2018.
ASIC found that in 75% of the advice files reviewed – the advisers did not demonstrate compliance with the duty to act in the best interests of their clients – from ASIC Report 18-019MR 24 January 2018
Wow! … this is a real scandal! Our Australian government regulator that has oversight for financial services and consumer credit has found that three out of four people who go to see a financial advisor receive advice that is not in their best interests!!!
The ASIC report received relatively little press on its release in January and it has taken Kenneth Hayne’s team to forensically go through some astoundingly bad practices of banks and financial advisors for this issue to finally gain some traction with our government, press, and the Australian public – Things have to change!
Power to you Kenneth – you Slack Investor Official Hero (Calling it Early!) … keep exposing and I will present some more of your most excellent initial findings in the next post.
… ensure the stability of the international monetary system
Some would say that this mission is as equally impossible as Ethan Hunt’s escapades but, like Ethan, they have had their successes. If you are one of the 189 membership countries you share your economic data with the IMF and they monitor and provide assistance with each countries’ economy – this may be with advice – or even to help out with a loan … and they also come up with projections for world economies. These are represented by the dotted lines on the chart below. As you can see, for 2018 and beyond, the boring IMF is quite optimistic on the overall world and emerging economies (China +6.4%, India +7.8%, Indonesia +5.5%, Philippines +5.8%) but less so for the advanced economies (US +2.7%, UK +1.5%, Germany +2.0%, Australia +3.1%). The percentages represent IMF Real GDP growth forecasts for each country in 2019.
In fact, they have lifted their world growth forecasts for 2018 and 2019 to 3.9%, Now these are just projections based upon a forecast of buoyant trade and investment ( as well as recent US tax reforms). These projections are not set in stone and subject to world events – Yes I’m talking to you Donald! – but they are reasons for optimism. I am glad to be diversifying my risk by being a holder of the Vanguard Asia (Ex Japan) ETF – VAE.
In a whirlwind cycle … within 2 weeks of getting out of the UK Index, I’m back in! – this is just part of the way that markets move sometimes. Although Slack Investor prides himself on the minimization of decisions, through looking at historical data on the ASX over 40 years, he has found that it is advantageous to act on weekly signals to get into the stockmarket and stick with monthly decisions on getting out of the market. As a result, the weekend reading of the FTSE 100 chart has given me a buy signal at 7264 and a new stop loss of 6866. More detail on the UK Index page.
Slack Investor remains IN for US, and Australian index shares.
However, it is time to temporarily leave our cousins in England – I am OUT for the FTSE 100.
… a tricky month for investors with all markets declining. The Australian Index (-4.3%) and the US index (-2.7%) had solid falls but managed to stay above monthly stop losses. The UK index (-2.4%) has just had its third monthly fall in a row and finishes the month below its stop loss – Slack Investor must sell his FTSE100 ETF.
UK INDEX FTSE100 Monthly Chart Trade Cycle 29 Jul 16 – 29 Mar 18 – Click for better resolution – From Incredible Charts
As always, there is a time of reflection when I sell – I like owning a share of these UK companies – it is much more satisfying than owning cash. Slack Investor bought the UK index at the end of July 2016 and, after 20 months, is looking at a profit of 4.9%. Not a fantastic profit – but this is the fourth Slack Investor profitable trade in a row for the UK market (31.7%, 27.1%, 17.6%, 4.9%). For simplicity, dividends are not included in these calculations.
The Downside of being Slack
FTSE100 Daily Chart -Click for better resolution – From Incredible Charts
As I wrote about the upside of being slack last month, it is only right that I illuminate the downside. At times, there is a cost to being a monthly trader. If I was a daily trader that used stop losses, I would have unloaded the FTSE 100 on Feb 8, 2018 at 7170 when the closing price first fell below the stop loss. Slack Investor sold at 7056 a discount of 1.6% to the daily exit – but as mentioned many times, the piece of mind found in monthly decisions makes this a small price for me to pay.
All Index pages and charts have been updated to reflect the monthly changes – (ASX, UK, US).
Still from the Peep Show – Image may be subject to copyright – found at this link
One of the great things about England is the turn of phrase that the locals enjoy. “Chance would be a fine thing” is a good example of language that is perplexing to the new arrivals. It is the sort of saying that sometimes crops up in the UK that has a meaning that is not entirely obvious.
In context, someone in England would utter this phrase in response to a comment from another that sets up a desirable scenario – but the retort “Chance would be a fine thing” is said to indicate that it is not likely to happen! Further context can be found in the great tribute by David Mitchell to insecure managers in the short but very fine Peep Show “Chance” sketch at this link. Youtube Autoplay will reward the brave with another great character from the show -“Alan Johnson”, the crude and aggressive management guru in the following Youtube clip – But Language Warning with Alan – I Digress! (… but still giggling!)
I like the “chance” phrase, it reminds me of the enormous part that luck plays in the building of a share portfolio – but it is the very opposite of how I think when I buy a stock! I do not buy stocks often and a buy is usually at the end of some good research where I have convinced myself that the stock is growing and is just about to take off when the rest of the market catches up to my brilliant thinking. Bitter experience and keeping good records over 25 years has shown my abilities in picking winners at around the 55 -60 % mark.
At first glance this looks a pretty poor record of stock judgement – However, by keeping my losses relatively small (through monthly stop losses), owning a diverse range of companies (see Portfolio Page), and letting my rising shares rise, and luck, the Slack Investor has done alright – Five year compounded average growth rate (CAGR) for my audited SMSF portfolio of 16.9% p.a..
The luck of stock selection has always been acknowledged by Slack Investor, but it was brought home to me when my son asked, in December 2017, for advice on where to put $5000 in the share market. You would think that this would be an easy thing for Slack Investor who has spent almost 30 years studying the vagaries of the market. 15 months ago I went into a lather and researched very hard and came up with two growth stocks that I thought were not overpriced and had reasonable growth prospects – but I still had a bit of trepidation as, he is my son, and this was his hard earned savings from a part time job -and, I wanted him to continue with the allusion that his Dad knew what he was talking about!
With the usual combination of research and luck, the two stocks that I presented him with were stocks that I already owned – Fisher and Paykel Healthcare (FPH) and Altium (ALU). I gave him the choice after a brief overview of each company (… spread the risk … give him ownership!). The former are world leaders in surgical instrumentation and pumps. and Altium has something to do with printed circuit board design and the “internet of things”. With the wisdom of youth, he picked Altium to put his savings into. I am relieved to say that both stocks have done extremely well in the past 15 months but the weekly charts tell a story – with my son’s choice, ALU, the clear winner (+177%).
Fisher and Paykel Healthcare (FPH) Weekly Chart – From Incredible Charts
Slack Investor remains IN for US, UK (Just!), and Australian index shares.
… a very volatile month and a test for the fainthearted. The monthly overall declines do not tell the whole story – rapid declines then recovering. The Australian Index (-0.4%) had the best recovery and the US index (-3.9%) and UK index (-4.0%) had similar overall monthly falls.
Slack Investor is already off the couch and is still on alert for the US Market considering its high valuation and its recent 10.2% correction. The UK market is also under watch as it is very close to its monthly stop loss (See UK Index page).
The Upside of being Slack
Some of the time there is a price to pay for being Slack – and only making sell decisions on a monthly basis. But it is not this day!
… A day may come when the courage of men fails, when we forsake our friends and break all bonds of fellowship. But it is not this day.–Excerpt from Aragon’s Sons of Gondor speech – Lord of the Rings – Wikiquote
Well, … quoting from Tolkien’s The Return of the King is perhaps is a little dramatic but this post is a bit technical and needed a picture of Viggo Mortensen just to brighten it up.
There are many share traders who set automatic stop losses with their brokers that trigger a sell order when the price moves below a designated value. This technique can be good when you want to set a stop loss and forget about it – But there are pitfalls. Slack Investor has tried this method before and has found that the automatic sells are sometimes triggered by a particularly volatile day and your automatic sell order may trigger at $3.00 but at the close of the day the stock may have recovered to $4.00.
More common (and disappointing!) is when a rapidly falling price jumps below your automatic stop loss without triggering the sell. You then would sell the stock manually – usually at a lower price.
There are many traders who, like Slack Investor, set there stop losses manually … butact on them on a daily basis. The chart below is a daily chart of the US Index S&P 500. As a refresher, each vertical line represents the daily price range for the S&P 500. A red line indicates that the price has dropped during the day, and a blue line shows a daily price rise. Clicking on the chart will increase the resolution and you can then make out little tabs either side of the vertical daily line. The tab on the left represents the opening daily price and the tab on the right the closing price for the day. A daily trader might act on his stop loss immediately the S&P 500 falls below the stop loss (e.g. big red arrow). This technique can be a very good thing if there are further falls! However, in this case, the recovery from the 10.2% correction has rewarded the Slack Investor’s slackness.
Slack Investor does not like the daily grind of decisions. He likes to do most of his trading based on monthly charts (See left) … where each vertical line represents a month of price movement for the US Index S&P 500. At the end of February 2018, the right hand tab of the last vertical red line indicates a closing price of 2713 – well above the stop loss of 2557 (for now!) so my trading method says to hang in there.
Sometimes there is a price to pay for this slackness – For instance, when there is not a recovery in the stock price! But the delight of only making monthly decisions outweighs this concern for me. My monthly trading method together with diversification (~20 stocks) and a bit of effort in selecting growth stocks has proved to be sound so far.
All Index pages and charts have been updated to reflect the monthly changes – (ASX, UK, US).
Easy does it Ladies and Gentlemen … slide back in your seats … there has been a correction in the S&P 500 … the world is not ending … Yet!
The market volatility has been driven by the US market which was overvalued due to stellar gains of 22% in 2017 and big gains in 2016. According to AMP Capital, as of early February, European shares have fallen 8% and Australian shares have lost 6% – there have been substantial recoveries in all markets since.
On Feb. 6, 2018, the (US) stock market officially entered “correction” territory. A stock market correction is defined as a drop of at least 10% or more for an index or stock from its recent high. –from fool.com referring to the Jan/Feb 2018 correction in the US S&P 500 index.
The stock market is a wonderful way to accumulate wealth … but it does not always behave rationally. The driving force behind increased stock prices is company earnings … if they are rising then “generally” the price of the stock increases. But rationality is not a common trait where the share market is concerned – as the market is combination of buyers and sellers with differing motivations.
I often find it useful to take a step back from the daily price fluctuations, the chart below shows the last 5 corrections of the S&P 500 US market (in dark grey) since the market crash (>20%) of 2008/9. It has been a couple of years since the last correction and the US market has made some substantial gains since then.
Source financialsamurai.com showing the last 5 corrections(>10%) of the S&P 500 since 2009.
Corrections are a normal part of stock market growth and the chart below (In logarithmic scale – representing percentage increases on the same vertical scale) shows how Australian share market values have continued to increase over all – despite the many world crises that have presented in the last century.
The chart below sums up why Slack Investor is happy to be predominantly invested in shares at the moment. The “Grossed up dividend yield” is the effective yield “after tax” that Australian shares are returning to the investor – around 6%, compared with the safe term deposit rate which languishes at around 2%. While the gap in annual earnings between Australian shares and bank deposits remains high I am happy to stay with the “risk on” options of shares – The price of shares, or capital value, may fluctuate temporarily but the annual dividends should continue to be paid. In any case, my downside risk is protected by monthly stop losses. The economic news from around the world remains mostly positive pointing to a growing global economy. So, … stay optimistic – but be ready to bail if the charts start turning south in a significant way!
Slack Investor remains IN for US, UK and Australian index shares.
