Boom and Bust is not bust

Chris Watling  |  Longview Economics  |  18 February 2020  |  0.25 CE

It must be something about Davos. Just as in January 2018, in 2020, high profile names have again spoken out about the attractiveness of the equity market despite its strong run up and, conversely, the unattractiveness of cash. Ray Dalio, in an almost like-for-like rerun of his 2018 interview in Davos, spoke about how “cash is trash”. His co-CIO Bob Prince then went one step further and laid out how “we’ve seen the end of the boom-bust cycle”. Davos’s sentiment is, as always, likely wrong - but this time, because it’s too complacent. The economic cycle is not over - boom/bust has not been b...

Not yet a Member? It’s quick and free to join. Already a member? Please log in.

Led by behavioural finance expert, Herman Brodie, the Behavioural Finance - Investment Decision-Making course will help you identify, analyse and evaluate the principal human preferences that influence decision-making in situations of uncertainty, so you can recognise and identify these preferences in others, to improve investment decision-making.

What's new with our live and on-demand continuing education, accreditation and certification programs.