Re: Hussman shows a risk of 50-66% [US stock]market losses
Posted: Sun Oct 31, 2021 7:06 am
Yeah, FTSE100 is another one that's highly unlikely to ever mean-revert and catch up with the US. Mainly to do with the index being full of old economy companies (basically big oil, miners, banks & pharma, plus some supermarkets and housebuilders) which were/are/are about to be disrupted and hence unlikely to mean-revert themselves. Really unfortunate that the home bias in the UK is so strong as investors are just loosing massively ever since GFC. Just looking at the top 10 companies in FTSE vs SP500, which one would any sane person rather own?
ASTRAZENECA
UNILEVER
HSBC
DIAGEO
GLAXOSMITHKLINE
ROYAL DUTCH SHELL PLC 'A'
BP
ROYAL DUTCH SHELL PLC 'B'
BRITISH AMERICAN TOBACCO
RIO TINTO
vs.
Microsoft Corporation
Apple Inc.
Amazon.com Inc.
Alphabet Inc. Class A
Tesla Inc
Alphabet Inc. Class C
Facebook Inc. Class A
NVIDIA Corporation
Berkshire Hathaway Inc. Class B
JPMorgan Chase & Co.
There's not a single tech company in FTSE100 top 10 and the only ones I'd want to own are boring compounders Unilever and Diageo, while on the other hand I'd want all but Berkshire and JPMorgan from SP500 top 10.
ASTRAZENECA
UNILEVER
HSBC
DIAGEO
GLAXOSMITHKLINE
ROYAL DUTCH SHELL PLC 'A'
BP
ROYAL DUTCH SHELL PLC 'B'
BRITISH AMERICAN TOBACCO
RIO TINTO
vs.
Microsoft Corporation
Apple Inc.
Amazon.com Inc.
Alphabet Inc. Class A
Tesla Inc
Alphabet Inc. Class C
Facebook Inc. Class A
NVIDIA Corporation
Berkshire Hathaway Inc. Class B
JPMorgan Chase & Co.
There's not a single tech company in FTSE100 top 10 and the only ones I'd want to own are boring compounders Unilever and Diageo, while on the other hand I'd want all but Berkshire and JPMorgan from SP500 top 10.