Welcome to Investing Insights for the Modern Investor, a quarterly podcast to help you become a better investor so that you can grow and protect your wealth.
I cover investment topics including portfolio design, cutting edge investment strategies, risk management, personal finance and any topic relevant to creating better long-term investing results.
For more information about 3Summit Investment Management and to subscribe to Investing Insights please go to our website at www.3Summit.com.
Episode 13: In The SPAC Shell Game - Don't Be The Sucker
In this episode we cover dig into the latest investment craze...SPACs. Special Purpose Acquisition Companies (“SPACs”) are extremely complex and have historically been highly efficient wealth destroyers for retail investors. Complexity obfuscates the risks and costs investors will bear.
If you are thinking of investing in a complex structured deal like a SPAC and you are wondering who is most likely to bear the greatest risk and costs, it is probably you. The richest people on Wall Street are not necessarily the best investors, but the best deal makers. They are experts at structuring heads I win, tails you lose deals, where the financial success of their investors has little to no bearing on their own financial rewards.
Episode 12: Stock Valuations Are Sky High - What Comes Next?
Investors are facing economic conditions that have not been seen for 40 years. This quarter, we will examine how to measure and evaluate stock market valuations and then identify the driving economic forces responsible for their rise to such significant levels. Finally, we will discuss the economic mechanisms that pull valuations back towards their mean, what indicators investors should be monitoring and what those indicators may foreshadow for stock prices and valuations going forward.
Episode 11: GameStop - A Financial Battle to the Death and What it Foreshadows
Some traders are making millions or tens of millions of dollars on their GameStop holdings, while several hedge funds are losing billions of dollars. A huge number of small retail traders have been taking it to the billion-dollar hedge funds that have large short positions in GameStop, and these retail traders are a vicious pack out for blood. This zero-sum battle between small retail investors taking long positions (betting the stock will go up) and big money hedge funds on the short side of the trade (betting the stock will go down) led to a massive short squeeze that propelled the price of GameStop into a parabolic move to the moon.
Episode 10: Riding Big Waves to Big Returns
Something is wrong with the S&P 500 Index. Risk is very high for U.S. stock investors. In this episode we break down the risk and opportunities for stock investors and provide strategies for navigating this risky market.
Episode 9: Conventional Diversification Fails...Again (Part 2)
In this episode we share powerful risk management strategies that address the shortfalls of conventional diversification, offer protection from large investment losses, and drive the opportunity for higher long-term returns.
Episode 7: Chasing the Siren Song of High Returns
Performance chasing is one of the biggest mistakes investors make. Learn why performance chasing can be so detrimental to successful investing and how to avoid it.