Europe (and the uk) investments

[Sydneycraig]

As of today do you see Europe (and the uk) as a chance to buy in at a discount or is there (much) worse to come?!

I'm invested to around 30% but finding it hard to decide when to start moving cash into stocks/funds

Tips/thoughts/theories welcome

[fletchsmile]

Better value than they were a couple of weeks ago, given the pullbacks.

Still a good chance of worse to come though.

For UK, I will continue to hold but am not adding. For Europe I continue too hold as well and I'm more inclined to look for bargains and add selectively. Don't feel any need to rush into either though.

For US, I already sold off quite a few positions as the market is overvalued on any metric you care to choose. S&P P/E over 20 - frightening. Since then S&P has puled back from 2,000 to late 1,800's

In terms of economy, I think US is in a better place than UK which is in a better place than Europe. More of the least ugly winner of a beauty contest in truth though. But the markets generally look ahead. So ironically my preferences are Europe>UK>US for investments even though the opposite way when ranking the economies.

The long term story and even mid term for all 3 worry me. All 3 have so many risks, and aren't helped by debt and demographics. The US has the added risk factors of having further to fall, as it loses its dominant position, and slowly but surely USD currency becomes less important as does US as a country. On the plus side it's cheap oil may save it.

I introduced US to your thread, as I think there's a good chance of something going pear-shaped there which will tip the UK, Europe and the rest of the world as well. Same in reverse to an extent, but the US is obviously bigger and more dominant. If it goes, UK and Europe aren't in great shape to come thru unscathed.

Cheers

Fletch

Edited October 17, 2014 by fletchsmile

[SheungWan]

The best time to invest is when the future looks its most awful and the trend appears down, down, down. So the answer was Thursday.

Actually if you had your eye on a handful of stocks and the price looks beaten up, then that's an opportunity.

On the other hand I thought Rolls Royce was a stock worth bying at 950 and selling at 1050. Got that wrong.

[Sydneycraig]

Cheers. Whilst it's tempting to grab what look like bargains now, I'm going to hold off and see how things develop. From most of the things I have read it's not just fletch who thinks things may get worse before they get better.

[ldnguy]

I think you've missed the boat. 2008 was a great buying opportunity. There is plenty wrong with UK and Europe and anything could push it over the edge. It's impossible to tell. A few more Ebola cases and everyone will be in a panic, frighten to fly, shop, etc. Add something else into the mix and shares could drop 50% or more. On the other hand nothing much may go wrong. A crisis usually appears when no-one is expecting one. Italy, Spain or Greece could easily default on their debt. That would be super bad news for European shares. I prefer property. Made 10% per annum capital growth over 15 years and 5% rental income. That's a fantastic return. And every year since 15 years ago people told me how property is a bad investment. People are still saying it, but I've seen some real bargains in the UK. Lots is overpriced for sure, but the bargains will give great returns over next 10-20 years. Many estimate that the UK will have 1 million or more people over coming few years. That will put huge upward pressure on property prices.

[AnotherOneAmerican]

I think you've missed the boat. 2008 was a great buying opportunity. There is plenty wrong with UK and Europe and anything could push it over the edge. It's impossible to tell. A few more Ebola cases and everyone will be in a panic, frighten to fly, shop, etc. Add something else into the mix and shares could drop 50% or more. On the other hand nothing much may go wrong. A crisis usually appears when no-one is expecting one. Italy, Spain or Greece could easily default on their debt. That would be super bad news for European shares. I prefer property. Made 10% per annum capital growth over 15 years and 5% rental income. That's a fantastic return. And every year since 15 years ago people told me how property is a bad investment. People are still saying it, but I've seen some real bargains in the UK. Lots is overpriced for sure, but the bargains will give great returns over next 10-20 years. Many estimate that the UK will have 1 million or more people over coming few years. That will put huge upward pressure on property prices.

Property isn't so good an investment for a married guy.

Too hard to get the money out and hidden in an emergency.

Great if you're single though.

UK FTSE has fallen 10% in the last 4 weeks!

Edited October 18, 2014 by AnotherOneAmerican

[ldnguy]

I think you've missed the boat. 2008 was a great buying opportunity. There is plenty wrong with UK and Europe and anything could push it over the edge. It's impossible to tell. A few more Ebola cases and everyone will be in a panic, frighten to fly, shop, etc. Add something else into the mix and shares could drop 50% or more. On the other hand nothing much may go wrong. A crisis usually appears when no-one is expecting one. Italy, Spain or Greece could easily default on their debt. That would be super bad news for European shares. I prefer property. Made 10% per annum capital growth over 15 years and 5% rental income. That's a fantastic return. And every year since 15 years ago people told me how property is a bad investment. People are still saying it, but I've seen some real bargains in the UK. Lots is overpriced for sure, but the bargains will give great returns over next 10-20 years. Many estimate that the UK will have 1 million or more people over coming few years. That will put huge upward pressure on property prices.

Property isn't so good an investment for a married guy.

Too hard to get the money out and hidden in an emergency.

Great if you're single though.

UK FTSE has fallen 10% in the last 4 weeks!

I'm not sure what you mean. Why do you need to hide your money and what emergency?

[AnotherOneAmerican]

I think you've missed the boat. 2008 was a great buying opportunity. There is plenty wrong with UK and Europe and anything could push it over the edge. It's impossible to tell. A few more Ebola cases and everyone will be in a panic, frighten to fly, shop, etc. Add something else into the mix and shares could drop 50% or more. On the other hand nothing much may go wrong. A crisis usually appears when no-one is expecting one. Italy, Spain or Greece could easily default on their debt. That would be super bad news for European shares. I prefer property. Made 10% per annum capital growth over 15 years and 5% rental income. That's a fantastic return. And every year since 15 years ago people told me how property is a bad investment. People are still saying it, but I've seen some real bargains in the UK. Lots is overpriced for sure, but the bargains will give great returns over next 10-20 years. Many estimate that the UK will have 1 million or more people over coming few years. That will put huge upward pressure on property prices.

Property isn't so good an investment for a married guy.

Too hard to get the money out and hidden in an emergency.

Great if you're single though.

UK FTSE has fallen 10% in the last 4 weeks!

I'm not sure what you mean. Why do you need to hide your money and what emergency?

Divorce, the single biggest risk to any guys assets.

[mesquite]

I think you've missed the boat. 2008 was a great buying opportunity. There is plenty wrong with UK and Europe and anything could push it over the edge. It's impossible to tell. A few more Ebola cases and everyone will be in a panic, frighten to fly, shop, etc. Add something else into the mix and shares could drop 50% or more. On the other hand nothing much may go wrong. A crisis usually appears when no-one is expecting one. Italy, Spain or Greece could easily default on their debt. That would be super bad news for European shares. I prefer property. Made 10% per annum capital growth over 15 years and 5% rental income. That's a fantastic return. And every year since 15 years ago people told me how property is a bad investment. People are still saying it, but I've seen some real bargains in the UK. Lots is overpriced for sure, but the bargains will give great returns over next 10-20 years. Many estimate that the UK will have 1 million or more people over coming few years. That will put huge upward pressure on property prices.

Property isn't so good an investment for a married guy.

Too hard to get the money out and hidden in an emergency.

Great if you're single though.

UK FTSE has fallen 10% in the last 4 weeks!

I'm not sure what you mean. Why do you need to hide your money and what emergency?

Divorce, the single biggest risk to any guys assets.

Very true. One of the asset protection experts wrote that his new male medical doctor clients are always worried about a malpractice suit wiping them out. He instructs them to go to their older colleagues and find out how many have been wiped out by a malpractice claim and and how many by a divorce. Divorce wins hands down. An adequate amount of malpractice insurance handles the first problem and a prenup the second.

[ldnguy]

If marriage is so bad then stay single. I wouldn't avoid a great investment just because I was married. Or have get pre-nup before getting married..

Edited October 18, 2014 by ldnguy