Market Overview
James from the Xie Yuxu Investment Financial Channel assures listeners that there is nothing to worry about regarding the market. International situations and financial downturns "don't matter" and "have nothing to do with us." The channel expresses optimism for future financial prosperity.
Channel Disclaimer
The CRUC investment and financial channel is a voluntary teaching resource, not a for-profit venture. YouTube ads are not placed by the channel. The information shared is individual and not professional investment or tax advice. Listeners are responsible for their investment decisions.
Investment Risks and Asset Allocation
The market experiences significant drops over long investment periods (30-40 years). A 50% drop is possible, with larger drops reaching 70%. Therefore, proper asset allocation is crucial. The Clubhouse message board and YouTube message board contain relevant lectures and links (specifically videos 00451 and 00398). New viewers should start with video 00398. These videos date back to 2018, so consider the market conditions at the time of the recording.
Investment Recommendations
The channel exclusively recommends the Nasdaq 100 index fund, alongside cash and short-term treasury bonds. Resources about the Nasdaq 100 index fund are available on the channel. Viewers should adapt investment strategies based on current market conditions and ask questions if needed.
Investment Mindset
Investors should maintain an optimistic outlook, anticipating market rises and new highs. Investment requires patience, and wealth is worth waiting for. Viewers are encouraged to subscribe, like, and comment on the channel across platforms. The market will always continue to rise, so ignore the fluctuations of the market. All assets will fluctuate.
Recommended YouTube Videos
Two YouTube videos that touched the speaker this week are recommended:
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"I may be wrong": About a European man in his twenties who spent 14-16 years as a forest monk in Thailand and the monastic practice and its process. It offers insights into life principles. The principle of "I may be wrong" should be applied before arguing or disagreeing with someone.
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Book Worth It: About a 90-year-old Japanese psychologist who talks about obsession. The author talks about her cases and cases.
Asset Configuration Strategy
A typical asset configuration involves:
- 30% in cash or short-term bonds: This allocation can cover approximately 15 years of living expenses if retired and spending 2% of assets annually.
Addressing Worries and Disasters
Having sufficient cash (15 years' worth of living expenses) makes many concerns irrelevant. Those still working should save and invest. Reflecting on one's last day on Earth can help put financial worries into perspective. Don't worry about things beyond your control. Face what you can control with courage, and forget about the rest.
Investment Philosophy
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Boring is best: The highest level of investment is characterized by being boring. Excitement indicates speculation.
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Accompany the investment: Success requires dedication and being present. The speaker commits to being available to viewers for support and guidance.
Awakening Movement
The channel aims to awaken a capitalist movement and empower viewers to change the world and achieve financial freedom while helping others.
Asset Allocation Guidelines (Revised)
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Initial Asset Allocation: Should lean conservative, such as 432 or 424. Beta should not exceed 1.0.
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Cash: Should exceed 30% initially.
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Leverage Funds: Should not exceed original funds or cash. It's acceptable to avoid leverage funds altogether (e.g., 70% QQQ, 30% cash).
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Focus: Ensure the configuration can withstand a 10-year market downturn.
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Middleman: the market is rising, and the middleman is balancing every year.
Preparing for the Worst
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Acknowledge and prepare for the worst-case scenario in life.
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If a solution exists, worry subsides. If not, let it go.
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Focus on risks within your control (e.g., cash reserves).
Long-Term Investor Mindset
Long-term investors fear growing too fast and not buying enough, not falling markets. Practice buying on dips. Never sell QQQ or 0066 during a downturn.
Key Reminders
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Ensure asset allocation includes over 30% cash (or 40%) and that leverage funds don't exceed original funds or cash. Beta should be under 1.0. These points are repeated due to common errors.
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Review investment lectures in videos 00451.
Discussions with Callers
The session proceeds with caller questions and answers on various investment topics, including index funds, balancing strategies, and individual circumstances. The smart balance is the year of growth.
Smart Balance Strategies
In the year of growth, 30% of the value of the Gangan Fund was transferred to cash. Not 2%, but 30%. In the year of the summer, you turn that 2%, it is also equivalent to the so-called living expenses, right?
Key point for retired friends
At least from the beginning of the fall to 15 years later, your cash should be enough to use for 15 years.
Playlists Recommendations
You can find the playlists in the channel.
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The weekly playlist has 39 articles.
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The short film playlist has 595 articles.
Thoughts on investment concept
You have to keep the concept that investment is to invest in a company.
Other Topics
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The difference between Taiwan and USA's index funds and regulations
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Taiwan currency devaluation
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US assets and liabilities
Breathing and Meditation
The professor recommends breathing and meditation to calm yourself.
Breathing Guideline
You need to know that you are breathing. If you only know that you are breathing, this is closed breathing. Inhale, exhale. If you are in a state of closed breathing, you are in a state of relaxation.
You can reprogram the code in the hypnosis state.
Scam Awareness
The professor alerts people to be aware of emails and other social engineering that are suddenly in a hurry to let you solve it. Remember to check with CheckGPT.