- 12/28/2022 at 9:36 pm #84273Mark VincentParticipant
The correlation between stocks, bonds and gold has gone away in this inflationary environment. Risk Parity portfolios are down 20%? Everyone thought inflation was transitory (Wrong) its hear to stay. Any one have any ideas on 2023?
– Ride it out?
– Commodities bull thesis?
– Currency trades USD vs everything else?
– Short Nasdaq
– Long Tankers
My crystal ball is very fuzzy,
MV12/29/2022 at 4:20 am #84275Frank1 GrossmannKeymaster
I rather think that Treasuries will again be a good addition in the future as we are near the top of Fed rate hikes. For equity, I think that we are back to a market where stock or sector picking makes the difference. This explains also that the Dow, Nasdaq or the Sector strategies did best this year. The time where you could not beat a straight S&P500 investment is probably over.
Regards Frank01/01/2023 at 3:45 pm #84320jmont42Participant
All subject to change but if the dollar has peaked, precious metals and emerging markets might do well. If the fed is close to being done, bonds might outperform. Also, value and dividend plays seem like a safer bet. Personally, I’m 80% in T-Bills and trying to trade tactically with the rest.01/02/2023 at 5:01 am #84325VangelisKeymaster
Good points. Some addressed in our new year’s newsletter. T-bills are not a bad choice at all. https://logical-invest.com/the-logical-invest-newsletter-for-january-2023/
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