Although everyone has sort've silently moved on, AMC is still trading steady at $45. (~500% gain from last year) GameStop is sitting steady at $200. (~2000% gain). Ethereum is growing rapidly and currently sitting at nearly $4000 (~2000% gain). The most popular NFT (CryptoPunks) have grown from $4000 last year to roughly $400,000. That is a roughly 10,000% gain. I think you get the point.
"Value" stocks like Ford and GM have gone up about 50% in the same time, a fraction of the growth stocks. Similarly, these value plays dropped 40% during the coronavirus crash, roughly the same as all risky assets like Bitcoin, Ethereum, etc.
Which poses the question :: why would anyone buy stocks, especially value stocks?
Everything Buffett and others eschew have provided the most returns in the past 5-10 years. Now while one may have been focused on value and long term growth, their returns will have been essentially rooted to their peers who invested in growth. (ironic to call an unproductive asset like crypto "growth" but you get the point). So in logical times, you could say "these are in a bubble and history does not repeat itself to the future." however, considering the past 5 years crypto is up tremendously with little dips and currently sits at a $900b mc (btc), it could also be another 5 years it goes to $2t before it goes back down. So "the long run" point is vague and meritless.
Investing has certainly changed from 100 years ago when Intelligent Investor was written, though obviously many of the principals still apply, how do you adapt?
Submitted September 04, 2021 at 12:08PM by actmathsucksballs https://ift.tt/3h1crdc
