I wrote an article back in 2011, when the world was a much bleaker place. The article was written in April of that year, before the Standard & Poors downgraded the US for the first time in history.
It wasn’t a smooth ride from 2011 till now, but equity markets for the most part did well. Outside the US and China (till recently), prices have either remained stagnant, or come down. People are getting bearish on oil, on China, on Greece, on Europe, on Indonesia, on anything really.
We’ve seen this before. The pendulum swinging from extreme optimism, to unwarranted pessimism.
And yet, its when people are getting scared that I get most greedy. Sure, I like to invest when everything is nice and rosy. The problem is that you have to PAY for the premium of optimism.
I think the piece I wrote back in 2011 is as relevant ......