Do you believe you are holding conservative investments?
I've learned recently that Canada's third-largest pension fund - the Ontario Teachers' Pension Plan was invested in FTX at its $32B valuation.
I've also learned that pension funds have been leveraging their bond assets to speculate in the stock market. Not surprising considering they have target growth requirements, and bonds have been crushed by the Fed dropping interest rates to 0 and below in recent years.
Today, the financial world is broken.
It seems no one knows what a conservative investment is any long. Perhaps there are none left, except precious metals.
Assets considered uncorrelated in the past are now all tied up in bizarre relationships.
It's no wonder every paper asset - bonds, stocks and crypto are all dropping together.
The generations of investors who've entered the markets since 2008 have not lived through a natural business cycle. They don't understand that eventually it must correct and come down.
And these generations are now in positions of making investment decisions for money that belongs to millions of other people. Probably for you.
Do you understand what is in your portfolio and what decisions are being made?
If not, you need to find out. Your future could depend on it.
These are conversations we have within the Wealthy Wise Woman community. First we need to know what is happening and then we need to sort out what to do about it.
It doesn't have to be a disaster, but it does take personal responsibility.
If you're looking for a place to learn and find clarity, DM me and we'll have a chat.
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