I felt the stock market was too high before the COVID-19 pandemic. Now the indices are near or above their all time highs, with earning lower, significant numbers unemployed and many small businesses at risk of failing. There is too much confidence given the many unknowns. To me, it seems the downside risks are higher than the upside potential.
I will continue to take profits, raise cash and wait. I may even short a few stocks, such as cruise lines and airlines, which I believe have advanced far faster than recovery would support.
For more on The Practice of Personal Finance, check back Wednesdays for a new segment.
This is not financial nor investing advice. Please consult a professional advisor.
Copyright © 2020 Achievement Catalyst, LLC
No comments:
Post a Comment
Comment guidelines: My Wealth Builder will publish comments that are about the topic and do not contain inappropriate language. My Wealth Builder reserves the right to edit or delete comments for any reason which includes those that have advertising (either for a product, website, or blog), contain inappropriate language or are not about the topic.