As the nation confronts several crises at once, including a deepening political divide and even more contagious strains of the coronavirus, stocks to continue to dance.
It’s easy to see why. Trillions in money-printing from the Fed is one reason.
According to Safe Money Report editor Mike Larson, “The money flood environment is going to be dominating Wall Street. It’s going to be dominating Washington for the foreseeable future. You’re going to be paying the piper down the road.”
In this special three-minute video segment, Mike details how crucial it is to keep a long-term view of both the market and economic landscape. Although there are profits to be made in the here-and-now, safe money strategies will save investors from being burned later on.
Mike explains:
As valuations rise, as cheap money raises PE (private equity) money in the stock market, raises the value of all kinds of assets from commercial buildings to residential real estate to artwork ... as those values go up, so do your risks as an investor.
Basically, the market is going to benefit in the here-and-now from all this fiscal and monetary largesse, but it’s the longer-term problems that are going to come back to haunt us.
You have to be prudent. You have to be smart. A safe-money investing strategy focuses on companies with high Weiss ratings — companies that have nice dividend yields, that have cushions built into their businesses.
In this insightful video, Mike discusses:
- Which stocks he’s added to the Safe Money Report portfolio because of the current risk of asset-inflation.
- The sector where “speculative mania” is running rampant.
- Niche sectors that will benefit from the Biden Administration and its approach to regulation.
And more!
The information in this short segment couldn’t be timelier. I suggest you watch it now.
Happy investing!
Jessica Borg
Financial Anchor
Safe Money Report