FNArena’s Weekly Insights – July 04 2022

In this week’s Weekly Insights:

-Are We There Yet?
-Minus 20%
-Conviction Calls
-Asset Classes Over The Decades
-FNArena Talks

By Rudi Filapek-Vandyck, Editor FNArena

Are We There Yet?

Bank of America Securities Chief Investment Strategist Michael Hartnett put it as follows when the June results of the global fund manager survey were released mid last month:

“…history is no guide to future performance but if it were, today’s bear market would end on Oct 19th 2022 with the S&P 500 at 3000”.

On Friday, the S&P500 closed at 3825.33 – 21.5% above the suggested bottom.

Of course, history is not a perfect guide and sometimes it is no useful guide at all. Besides, when it comes to humans, patience is not our biggest virtue, especially not when share prices already are down -35%, -50%, -75%, and more!

May was a pretty lousy month for Australian equities, but June was simply heart wrenching, making sure the average portfolio is now down compared with twelve months ago. So surely, markets must be approaching The Bottom, yes?

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