I agree, 20 years ago I was 20 and investing was a conversation spoke in passing amongst our friends, but not something we actually did because we didn’t make enough money (fractional shares wasn’t a thing back then) and those that did simply didn’t understand how the market works. In addition many of thought it was a scam or only for the rich and primarily for those of white skin. TH-cam was around but not used how it is today. Everything money recommended your name and I thought well if Paul is pretty solid in process and likes Sven then Sven must be legit. At first I brought into the hype and tickers and just hoped the price went up and prayed for rain and hoped for growth. After your two channels I understand fundamentals much better. Nowhere near either of your levels but I know much better what I’m doing and what to look for and now those same friends that’s older are starting to look back towards investing
WARNING: As the channel grows (thank you all for that), there are more and more scammers impersonating me. The only thing I am selling is my Research Platform and Book sven-carlin-research-platform.teachable.com/p/stock-market-research-platform All that I do, the real links to my content are in the description of the video, I don't give out my Whatsapp number and I don't sell any Cryptocurrency related things! BE CAREFUL OUT THERE!
Hey Sven, yesterday I heard your video with the Italian channel "Vivere di dividendi". I was expecting the dialogue taking place in English, but I was amazed to find out you actually speak an excellent Italian!
In another comment Sven spoke Dutch. That's already three languages. I'm guessing he also speaks Croatian, and I suspect some German as well. I bet he speaks 5+ languages! Amazing.
hello Sven. I am a big fan of your style and investing approach, or shall I say approach to life. Just watched the video where you came from, Croatian backround and investing in yourself. Invest in oneself must be the best ROI anyway always:) In last time, I am moving a little bit more into learning about hedging - taking advantages of the healthy downswings in market and benefitting from them to eventually come stronger out of them. For example, right now DAX is stuck at 13600 and I am smelling a little downturn coming. Either way, if we will see some dips, like we will see always in future, I'd like to benefit from them and little bit also protect myself. Did you ever consider hedging or do you know more of the topic of benefitting from downturns?
@@Value-Investing I found Vonovia to be a good inflation protection and will benefit from ageing population. Currently expending geographicaly. Just an idea for analysis here in the channel
Sven I understand your arguments, comparing the S&P to stocks is kind of wrong. S&P 500 is just one possible large cap USA index fund. That means you get 0 exposure to small caps (they outperformed the S&P), 0 exposure to other markets, ... I think a fairer comparison should be a either a FTSE/MSCI world index funds or maybe an index fund strategy that captures some known risk factors such as size, value, profitability, ... Also the issue with picking stocks is the skewness of stock returns. In essence, only a couple of high return stocks drive the returns of the entire market. This means an investor is quite unlikely to choose the correct stocks that would make him outperform the market and would instead be much better if he just invested in a well-diversified international portfolio with factor exposure. And I get the value investing thing. But it is interesting that the returns of genius value investors like Warren Buffet have been mostly explained (95ish %) by simple small value risk factor exposure and other Fama-French risk factors. All of this is to say that one might try and try to outperform the market by doing his DD, but it will most likely not help very much in beating the market. It would be much more prudent to simply invest into well-diversified risk factors and let that drive your returns. I know you have outperformed the market, but I am sure a lot of your returns were also driven by Fama-French risk factors. Feel free to prove me otherwise. P.S. It would be very interesting if you would do a "debate" on this with Ben Felix.
@@Value-Investing You could also argue that S&P 500 is active. Why? Because those 500 are picked on some criteria by the S&P "panel". There really is no such thing as pasive investing. Even for a World index someone has to chose what is in there.
Thanks Sven, this is great advice. There's clearly no substitute for an accurate understanding of a companies intrinsic value, management performance and business strategy.
Sven you are my personal mentor without even meeting you in person. I really appreciate you taking the time and educating us about investing in such a balanced way. Hope to do well in the long run with you at our side! Thanks again!
Sven, as you have spoken about crashes, probably you have this point under a better attention. I have a certain feeling that it could be in next weeks, probably 1-2 months, what do you think, do we have time or should we buy already gold and close positions?
Hi Sven, Great video! What do you think about "Value Index Funds"? Are these ETFs a good second best alternative for people who lack the skills to do real value investing (i.e., picking value stocks)? I am asking because these ETFs seem less oversold than the S&P500 and other total market ETFs
What about what Graham says on his book... being a defensive investor by buying stocks that are defensive, recession proof, have stable dividends, just checking certain criterias that do not take too much time..... and then maybe buying some indexes too? I know you are a value investor, and I love your videos. But as a person that has less time due to work, business, etc. would you go with the defensive approach? I know Graham did not live the boom of index funds, but maybe that defensive stock plus some indexes might be almost the same approach that he describes as the "defensive strategy"
Thanks for a nice video! Just had a question: what about small cap value index funds? Your analysis of the S&P 500 and it's expected return was largely based on the P/E ratio; other index funds such as IJS, VBR, SLYV, ZPRV or ex-USA equivalents.. they all have P/E ratios lower or comparable to the one you repored for Kroger, with the advantage of being more diversified and hence less exposed to idiosyncratic risks. Would love to know your opinion on that:) Thanks!
How can you find great businesses? Value you each company in the world? Do you use a stockscreeners first and after that value the businesses that come out of the screener?
Great videos as always phd SVEN! Btw has your radar got into Keurig Dr Pepper stock ? Is the 2018 sudden decline a market irrationality? i would love to see a video analysis about this huge drop in 2018 ! Great work as usual :) favorite insesting channel
@@Value-Investing so is it under valued at the moment? I saw a huge spike in numbers in shares mil , also the dividends dropped from 2 to 0.60. This is dilution right?
I think stock picking definentally works. I was all over index funds before but it just seems overvalued at this point. I think there are still pockets of values out there and you identify them by stock picking. It worked out for me this way (300% return in portfolio). I believe it was Warren Buffett who said: "Concentration builds wealth, diversification protects it." A young person shouldn't diversify excessively.
Sven ..Great video !! I wanted to get your opinion on LMT stock ..I invested heavily in it recently but stock has not been performing despite strong fundamentals. May be some fodder for your next video to analyze defence stock .Seems to be an undervalued sector right now .
Great video Sven. Question. I own some Berkshire Hathaway stock, looking at the companies within BRK-B, should I consider it the same as an index fund?
imo BRK is a value proxy ETF. No dividends are paid. Hoards $ for opportunity to buy equity on the cheap . The question is what is the catalyst for the market to reward value
Hi Sven! Curious on your thoughts on volatility as a risk factor/risk premium. I've been reading Burry letters to investors and he states that risk has a direct with value, and volatility should be seen as opportunities, not risk. What do you think of this?
Sven: Such a great video. I have index funds and trying to transition to value stocks for long term. Do you have a list of key indicators that would indicate an index fund meltdown is imminent (even before official fed announcement of rate hikes or reinstitution of mandatory reserve minimums)
Thanks for your wonderful videos. I didnt understand why you added inflation numbers to the PE for computing overall return? For example you added 3% inflation to 6.5% PE for overall return.
If you own a car company and inflation drives up prices for everything including cars, then this company will earn more money. This is no "real value added but the stock price will go up because of it and you kinda balance out your personal loss that you get with inflation anyway. Same principle goes for every other company
Great video Sven. Copper & has done really well last 12 months. Will precious & industrial metals have a good 2021? Is there a metals-focused ETF that has copper, gold, silver, palladium and platinum in them? I can't find one.
Would be great to see a complimentary episode on the personal preferences side to consider ESG considerations. Ie with an index you have to take the whole basket typically vs avoiding specific stocks when including ESG factors in your analysis.
Since you want to analyze german stocks and have been pushing copper for several reasons I think the "Aurubis AG" would be an interesting Company to look at.
Do you still hold Gazprom in your portfolio? I want to invest a larger sum because of the great outlook and the really cheap valuation. DO you think it is still a smart idea to invest now? Thank you so much for all of your videos, Sven, I really learn so much from them!
@@Value-Investing oh really? Wow! Lol! You had a video on BRK.B being a good stock to invest in. No dividend yield but high future potential? It's seems it's also overvalued at this time? I will need to rewatch the video to remember the points you made.
Sven, thank you as always for the wonderful videos. What are your thoughts on ETF's like Wisdom tree Quality dividend growth and IWVL (iShares world value factor). I love value investing but I am not sure how much time I can dedicate to following up on companies
Hello Sven. My question is not related to this video actually 😅. I know you are a graphic analyst but do you work with stop loss in some of your investments? If yes, any strategiy on that? Best regards
Hi Sven, but if I have to build my capital can ETFs be useful or you would still say that it is better to choose 20 stocks to keep for the next 15 years? I was thinking about that in ETFs (e.g. the MSCI World) the firms inside them change continuously over time, so you always own the best stocks of that moment, is it right? Thanks for the useful video. Bye!
Hi Sven and the community, I'm having difficulty buying quality international stocks in Non-standard markets. Malaysia, Singapore and Thailand. The spreads are very high for large companies.... I was wondering if you think ETFs are ok or if there is a better way to buy great Asian companies? Only samples and examples. Dusit medical, Tempo Scan, etc.
Omg sven, I was trying to have this conversation with my friends recently and I was relying on your old videos for part of my entire argument on active investing vs. passive investing! Great timing on this one, appreciate the effort on both this and your research platform where I spent my day yesterday honing my fundamentals with your teachings!
Hi Sven, due to low interest rates low bonds yield and looming inflation many people r forced to investing, what about stock exchanges stocks maybe there is some value. Also happy for you that business is booming and you have an intern.
Have you made a video comparing real estate and stocks? It looks like you have a lot of experience as a long term investor in both and I think your perspective on valuations and interest rates would be great to hear.
Another interesting video - thank you, Sven. But why is it an "either-or"-decision, why not do both? Pick a relatively conservative index, buy it with Put-options over time and use the rest of the money to invest in selected stock - again with Put-otions. This helps you improve your timing when buying.
I'm confused.. Put options profit from these asset prices falling. If you're using them as insurance against dips and it's on a long uptend then the premiums will kill your long term returns. Am I missing something?
@@justinutube You do not buy but you sell put options on stock you would like to own. If the price of stock falls below the strike, you get the stock cheaper. If the price of stock stays above the strike, you earn the premium and repeat the procedure. This is how Warren Buffett bought his Coca Cola shares over time.
Hey Sven, great video! But why is it expected tgat the Europe MSCI will outperform the SP500 or the EM? Europe has underperformed them the last decades and there is no outperforming industries, compared to US or China, to lead this growth during the coming years.
Hey Sven! So I've read the Dhandho Investor (thanks for the the recommendation btw) and Pabrai recommends subscribing to multiple investing newsletters and such. Do you follow any of the newsletters/sites he recommends, if so, which ones have been your favorite? Where do you go to find investing ideas for your international research? Thanks in advance!
Just dumped 6 figures in vtsax @ $96 and it’s been going down ever since. With all this talk about 10-20% corrections and index fund bubbles and crashes of 40-80% would u recommend selling them and waiting for the dip ?
Since you've been analyzing a emerging market stocks lately could you please do another video on Qudian? Maybe Momo too as it seems quite interesting now :)? Thanks for the great content
It occurs to me that the advantage of choosing a portfolio of individual companies is that each of those companies will normally move independently of the overall index (though they'll still get caught up in crashes). Therefore as a group they're more likely to produce opportunities to buy, or sell, at an attractive price than an index fund.
I am not that worried. I doubt that the EU and ECB would allow a higher exchangerate than 1.4 for long. I think they would rather expand their printing madness than letting the dollar crash. Another question is, will the centralbanks and governments be able to save their currency and the exchangerate
nobody knows, but it is also about what it is in the ETF that you are buying - the currency doesn't matter, the businesses in it matter! Many stocks like Ahold are traded in Amsterdam and US too!
Hi Sven, sorry if this has been asked - are you not double counting the retained/reinvested earnings part inside your 8.77? You said that 3.77% earnings is what the market deliver To the investor, but really it's the 1.57% dividends that gets delivered explicitly. The remaining 2.2% of the earnings gets reinvested (or accrued, but that complicates the point) in the aim to grow revenue and earnings. As you have noted the real (organic) earnings growth has been around 2%, so that's the real result of the reinvested 2.2% of this year's earnings to make next year's principal 2% bigger. So an investment of $100 over a year would yield: $1.57 dividends +2% real earnings growth, so +$2 for the principal +3% inflation based earnings growth, +$3 pricipal To a total of $6.57 return with no further benefit from the $2.2 that the CEOs have have retained ("withheld")
Why are videos on index funds provide less return average than what I see on graphs? For example the Fidelity SP 500 version has return above 13% for a 10 year period, which is a great return if you ask me
Hello @Sven, Since you are also promothing Prof, Damodaran, I am sure you have seend the series about the "problems of value investing". It would be very nice to get your take on that!
No one breaks it down like Sven! Wish I had learned this 20 years ago. Best financial education channel on youtube!
Wow, thanks!
@@Value-Investing just speaking the truth. Thank you!
Totally agree!
I agree, 20 years ago I was 20 and investing was a conversation spoke in passing amongst our friends, but not something we actually did because we didn’t make enough money (fractional shares wasn’t a thing back then) and those that did simply didn’t understand how the market works. In addition many of thought it was a scam or only for the rich and primarily for those of white skin. TH-cam was around but not used how it is today. Everything money recommended your name and I thought well if Paul is pretty solid in process and likes Sven then Sven must be legit. At first I brought into the hype and tickers and just hoped the price went up and prayed for rain and hoped for growth. After your two channels I understand fundamentals much better. Nowhere near either of your levels but I know much better what I’m doing and what to look for and now those same friends that’s older are starting to look back towards investing
Sven’s talk is my calming Zen tea for investing. Every time I get lost or tensed by all the noises Sven brings me back to where I should be!
:-)))
This is the best investing channel on youtube, NO DOUBT!
thanks!
I am liking this before I watch it since I know the content will be great as always. Thanks Sven!
Same, as always 🙏
You're the best!
WARNING: As the channel grows (thank you all for that), there are more and more scammers impersonating me. The only thing I am selling is my Research Platform and Book sven-carlin-research-platform.teachable.com/p/stock-market-research-platform
All that I do, the real links to my content are in the description of the video, I don't give out my Whatsapp number and I don't sell any Cryptocurrency related things! BE CAREFUL OUT THERE!
Hey Sven, yesterday I heard your video with the Italian channel "Vivere di dividendi". I was expecting the dialogue taking place in English, but I was amazed to find out you actually speak an excellent Italian!
hai visto :-)))
In another comment Sven spoke Dutch. That's already three languages. I'm guessing he also speaks Croatian, and I suspect some German as well. I bet he speaks 5+ languages! Amazing.
I just want to chime in with a small clarification, stocks go up _and_ down, *STONKS* only go up. 🚀
this is the way
ahahahaha
what about stoinks?
Thank you again for your channel. Ashwat and Sven are amazing teachers.
that is a compliment, me in the same sentence with Damodaran :-))) thanks!
I am looking forward to the German market overview! :)
i will give you that overview DON T buy anything in the EUSSR they will steal your money as they did in cyprus
hahahaha!
You are by far one of the most brilliant investing channels on TH-cam!!!
Wow, thank you!
Helping TH-cam algorithm :D
Great video as always! Greetings Sven!
You're the best!
To index, or not to index, that is the question .
Not at ATH
I know my answer :-)
If you have the skills, don't index now.
.
Quality world index, perhaps. Id go that way since I dont have the knowledge. Btw amazing video doc.
whether it is better to correlate ones returns or strike out on ones own
Thank you for bringing sense to the current madness
thanks!
I lost it at "index fund investing with Sven Carlin". LOL your videos rock Sven. Thanks for being the greatest teacher I never met.
thanks!
"Amazing Tesla, of course>" LOL ice cold, Sven!
hahahaha!
First like and comment again 3 seconds after posting . Thanks Sven!
Thanks! That is best for the algo!
hello Sven. I am a big fan of your style and investing approach, or shall I say approach to life. Just watched the video where you came from, Croatian backround and investing in yourself. Invest in oneself must be the best ROI anyway always:)
In last time, I am moving a little bit more into learning about hedging - taking advantages of the healthy downswings in market and benefitting from them to eventually come stronger out of them. For example, right now DAX is stuck at 13600 and I am smelling a little downturn coming. Either way, if we will see some dips, like we will see always in future, I'd like to benefit from them and little bit also protect myself.
Did you ever consider hedging or do you know more of the topic of benefitting from downturns?
thanks, no options for me, I have a stock that works like a hedge and that is it. I prefer long term positive sum investing to options.
@@Value-Investing what do you mean you have a stock that works like a hedge? Would love to hear more
Looking forward to coverage of German stocks!
great!
@@Value-Investing I found Vonovia to be a good inflation protection and will benefit from ageing population. Currently expending geographicaly. Just an idea for analysis here in the channel
Sven I understand your arguments, comparing the S&P to stocks is kind of wrong. S&P 500 is just one possible large cap USA index fund. That means you get 0 exposure to small caps (they outperformed the S&P), 0 exposure to other markets, ... I think a fairer comparison should be a either a FTSE/MSCI world index funds or maybe an index fund strategy that captures some known risk factors such as size, value, profitability, ...
Also the issue with picking stocks is the skewness of stock returns. In essence, only a couple of high return stocks drive the returns of the entire market. This means an investor is quite unlikely to choose the correct stocks that would make him outperform the market and would instead be much better if he just invested in a well-diversified international portfolio with factor exposure.
And I get the value investing thing. But it is interesting that the returns of genius value investors like Warren Buffet have been mostly explained (95ish %) by simple small value risk factor exposure and other Fama-French risk factors.
All of this is to say that one might try and try to outperform the market by doing his DD, but it will most likely not help very much in beating the market. It would be much more prudent to simply invest into well-diversified risk factors and let that drive your returns. I know you have outperformed the market, but I am sure a lot of your returns were also driven by Fama-French risk factors.
Feel free to prove me otherwise.
P.S. It would be very interesting if you would do a "debate" on this with Ben Felix.
Debate format would be awesome! A also like watching Ben and his well considered advice.
Now that would break the internet! Ben Felix and Sven battling it out over stock picking 😀
my message is to compare what you are owning - then buy small caps if those are better - but then you are already active, not passive. Have fun!
@@Value-Investing You could also argue that S&P 500 is active. Why? Because those 500 are picked on some criteria by the S&P "panel". There really is no such thing as pasive investing. Even for a World index someone has to chose what is in there.
Absolutely great video sir! 🙌
thanks!
Fabulous work Sven
thanks!
Thank you so much amazing content your and Mr. Damodaran. great insight and value.
Thanks for watching!
Thx, the last investing tip is great
thanks!
Your videos are never tl;dr. Excellent stuff and the website as well.
Glad you like them!
Thanks Sven, this is great advice.
There's clearly no substitute for an accurate understanding of a companies intrinsic value, management performance and business strategy.
Well said!
TYVM for all your great work and info!
My pleasure!
great analysis as always, Sven
Glad you think so!
Thank you for the great video Sven!
My pleasure!
Sven you are my personal mentor without even meeting you in person. I really appreciate you taking the time and educating us about investing in such a balanced way. Hope to do well in the long run with you at our side! Thanks again!
I appreciate that!
Sven, as you have spoken about crashes, probably you have this point under a better attention. I have a certain feeling that it could be in next weeks, probably 1-2 months, what do you think, do we have time or should we buy already gold and close positions?
Peter Lynch would say flip a coin. I have no idea what market will do and who say something else say bullshit.
I don't know when:-)
Hi Sven, Great video! What do you think about "Value Index Funds"? Are these ETFs a good second best alternative for people who lack the skills to do real value investing (i.e., picking value stocks)? I am asking because these ETFs seem less oversold than the S&P500 and other total market ETFs
I don't like the way they measure value :-) My view is not the same!
Thank you for being informative, inspiring and trustworthy!
So nice of you
What about what Graham says on his book... being a defensive investor by buying stocks that are defensive, recession proof, have stable dividends, just checking certain criterias that do not take too much time..... and then maybe buying some indexes too? I know you are a value investor, and I love your videos. But as a person that has less time due to work, business, etc. would you go with the defensive approach? I know Graham did not live the boom of index funds, but maybe that defensive stock plus some indexes might be almost the same approach that he describes as the "defensive strategy"
This is exactly why I do what I do, the perceived safety is extremely dangerous!
Thanks for a nice video! Just had a question: what about small cap value index funds? Your analysis of the S&P 500 and it's expected return was largely based on the P/E ratio; other index funds such as IJS, VBR, SLYV, ZPRV or ex-USA equivalents.. they all have P/E ratios lower or comparable to the one you repored for Kroger, with the advantage of being more diversified and hence less exposed to idiosyncratic risks. Would love to know your opinion on that:) Thanks!
I am bullish on the stock market because of global expansion and the new reaches that techology has. what do you think
Thanks for the video Sven, but what if theres a Japan like crash? Where we dont see the top for decades?
shit happens - you reinvest dividends at lows and make up over time!
what about a mixed strategy? Investing half in indices spread all over the world weight and size-adjusted and half on individual stocks?
I don't know, not my strategy
How can you find great businesses? Value you each company in the world? Do you use a stockscreeners first and after that value the businesses that come out of the screener?
Great learning content. Thanks Sven!
My pleasure!
Great videos as always phd SVEN! Btw has your radar got into Keurig Dr Pepper stock ? Is the 2018 sudden decline a market irrationality? i would love to see a video analysis about this huge drop in 2018 ! Great work as usual :) favorite insesting channel
hot stock turning not so hot, then everybody forgets and goes to the next.
@@Value-Investing so is it under valued at the moment? I saw a huge spike in numbers in shares mil , also the dividends dropped from 2 to 0.60. This is dilution right?
Love you balanced take and personal preferences considerations, with the upside and downside risk analysis. Keep it up!
Thanks, will do!
I think stock picking definentally works. I was all over index funds before but it just seems overvalued at this point. I think there are still pockets of values out there and you identify them by stock picking. It worked out for me this way (300% return in portfolio). I believe it was Warren Buffett who said: "Concentration builds wealth, diversification protects it." A young person shouldn't diversify excessively.
that is it!
Beautiful analysis brother
Glad you think so!
Great video - thank you very much. This is exactly what I do - pick great dividend stocks, which grow them over the years (JNJ, PEP, GIS, KO etc.)
Thanks for sharing!
Sven ..Great video !! I wanted to get your opinion on LMT stock ..I invested heavily in it recently but stock has not been performing despite strong fundamentals. May be some fodder for your next video to analyze defence stock .Seems to be an undervalued sector right now .
not my kind of stock, so no analysis :-(
Dr. Sven, do you know if the Vanguard Whistleblower case has been settled or dismissed?
you should ask Vanguard :-) don't really care much about them.
Absolutely amazing video. Thanks
Great video Sven. Question.
I own some Berkshire Hathaway stock, looking at the companies within BRK-B, should I consider it the same as an index fund?
imo BRK is a value proxy ETF. No dividends are paid. Hoards $ for opportunity to buy equity on the cheap . The question is what is the catalyst for the market to reward value
BRK is well diversified!
@@CP-rm7rz thank you.
@@Value-Investing Thank you, Ill be buying more.
Hi Sven! Curious on your thoughts on volatility as a risk factor/risk premium. I've been reading Burry letters to investors and he states that risk has a direct with value, and volatility should be seen as opportunities, not risk. What do you think of this?
volatility is not risk - I have a PhD on that!
Sven: Such a great video. I have index funds and trying to transition to value stocks for long term. Do you have a list of key indicators that would indicate an index fund meltdown is imminent (even before official fed announcement of rate hikes or reinstitution of mandatory reserve minimums)
Unfortuantely I can't predict the future, it will depend on what people do:-) Markets are behavioural!
Haha but you are so good I thought you had magic 8 ball! :-)
Thanks for your wonderful videos. I didnt understand why you added inflation numbers to the PE for computing overall return? For example you added 3% inflation to 6.5% PE for overall return.
that should increase earnings all else equal
If you own a car company and inflation drives up prices for everything including cars, then this company will earn more money. This is no "real value added but the stock price will go up because of it and you kinda balance out your personal loss that you get with inflation anyway. Same principle goes for every other company
Great video Sven. Copper & has done really well last 12 months. Will precious & industrial metals have a good 2021? Is there a metals-focused ETF that has copper, gold, silver, palladium and platinum in them? I can't find one.
I don't know the future, I wish I knew!
Would be great to see a complimentary episode on the personal preferences side to consider ESG considerations. Ie with an index you have to take the whole basket typically vs avoiding specific stocks when including ESG factors in your analysis.
I think we should all better focus on what we do, that is how things change - where you invest has little impact.
What channel did Sven mention regarding a New York academic? Would like to check...
My guess is damodaran an nyu professor
@@joocypaleorc2149 thank you!
DAMODARAN NYU professor!
Since you want to analyze german stocks and have been pushing copper for several reasons I think the "Aurubis AG" would be an interesting Company to look at.
i will check it again, never made a deep dive but have been following.
Thanks for the very educational video🙏
My pleasure
Hey Sven, great video. Investing in an ETF of Sp 500 is the same than an index fund right?
yes
should be, but you can trade the ETF - which leads to you trying to outsmart the market and lose in the long term
Excellent video mate !
Thanks a lot!
Do you still hold Gazprom in your portfolio? I want to invest a larger sum because of the great outlook and the really cheap valuation. DO you think it is still a smart idea to invest now? Thank you so much for all of your videos, Sven, I really learn so much from them!
sorry, that is an information I only share on my research platform, sorry
Good video, just on time. Thank you, Sven!
Thanks!
Great video - buying cheap often takes years of waiting but gives better long term risk adjusted returns.
Very true!
Great video. We appreciate the effort and time you took to deliver A plus content.
I appreciate that!
Best Channel on TH-cam
thanks Chris!
Thank you Sven! Love your videos. Would you do a video on your top 10 stocks to own in 2021?
top 10?? If I find one great a year, I am very happy!
@@Value-Investing oh really? Wow! Lol! You had a video on BRK.B being a good stock to invest in. No dividend yield but high future potential? It's seems it's also overvalued at this time? I will need to rewatch the video to remember the points you made.
Sven, thank you as always for the wonderful videos. What are your thoughts on ETF's like Wisdom tree Quality dividend growth and IWVL (iShares world value factor). I love value investing but I am not sure how much time I can dedicate to following up on companies
I would have to check what is inside the ETF to give an opinion.
@@Value-Investing thank you 😊
Hello Sven. My question is not related to this video actually 😅. I know you are a graphic analyst but do you work with stop loss in some of your investments? If yes, any strategiy on that? Best regards
no, stop losses are not for value investors. Using a stop loss is counter the notion that when something gets cheaper, you like it more.
@@Value-Investing thanks for the answer! I just realized my comment has typing error. "I know you are NOT a graphic analyst..." 😅
My intern.. He is learning from the best.
thanks!
Hi Sven, but if I have to build my capital can ETFs be useful or you would still say that it is better to choose 20 stocks to keep for the next 15 years?
I was thinking about that in ETFs (e.g. the MSCI World) the firms inside them change continuously over time, so you always own the best stocks of that moment, is it right?
Thanks for the useful video. Bye!
depends on what works for you, the time you have, the expected returns etc.
you also pay the highest price for those stocks.
@@Value-Investing Sure there are both pros and cons, difficult choice ahah :)
Hi Sven and the community,
I'm having difficulty buying quality international stocks in Non-standard markets.
Malaysia, Singapore and Thailand.
The spreads are very high for large companies....
I was wondering if you think ETFs are ok or if there is a better way to buy great Asian companies?
Only samples and examples.
Dusit medical, Tempo Scan, etc.
that is often the case with frontier markets
You made many very good points but the video -i think- was longer than it should :)
ok, whatever!
you sir deserve my like!
Appreciated!
Beautiful videos sven
Thank you very much!
Just a word for this video : Amazing !
thanks!
Omg sven, I was trying to have this conversation with my friends recently and I was relying on your old videos for part of my entire argument on active investing vs. passive investing!
Great timing on this one, appreciate the effort on both this and your research platform where I spent my day yesterday honing my fundamentals with your teachings!
Thanks!
Wow Swen said it " Amazing Tesla" at last lol 😁👍you did it. It wasn't so hard, right. Good man Swen. Respect.
Thanks 👍
Scamer your pans on fire. Swen doesn't understand crypto.
I see the REITS at 11,6% return between 1999 - 2019, so shouldn't we be looking into that as well? It seems they have outperformed the rest.
So, if I don’t now much about stockpicking it’s better to buy Berkshire or Markel rather than indexfunds
depends on you:-)
Thanks. Following Vanguard. German and Japan markets looked to me good last year. Watching your video today they looks like more appealing
Thanks for sharing
Hi Sven could you please do a video on Canadian top dividend stocks
ENB, BCE, many bank stocks and our index?
yes, give me 3 months to do a deep sector analysis and then I'll have a video!
Hi Sven, due to low interest rates low bonds yield and looming inflation many people r forced to investing, what about stock exchanges stocks maybe there is some value. Also happy for you that business is booming and you have an intern.
emerging markets look better!
Hope for a analysis of BASF and the chemical sector !:)
will come! Give it some time!
@@Value-Investing looking forward to every video you make !!
Have you made a video comparing real estate and stocks? It looks like you have a lot of experience as a long term investor in both and I think your perspective on valuations and interest rates would be great to hear.
Not yet!
My current 3 great investments FB, LMT and INTC!
thanks for sharing!
Another interesting video - thank you, Sven. But why is it an "either-or"-decision, why not do both? Pick a relatively conservative index, buy it with Put-options over time and use the rest of the money to invest in selected stock - again with Put-otions. This helps you improve your timing when buying.
depends also on the value offered by the option!
For people with lots of savings or an inheritance, DCA into index slowly over 10 years, and wait patiently for you big value stock pick.
I'm confused.. Put options profit from these asset prices falling. If you're using them as insurance against dips and it's on a long uptend then the premiums will kill your long term returns. Am I missing something?
@@justinutube You do not buy but you sell put options on stock you would like to own. If the price of stock falls below the strike, you get the stock cheaper. If the price of stock stays above the strike, you earn the premium and repeat the procedure. This is how Warren Buffett bought his Coca Cola shares over time.
Hey Sven, great video! But why is it expected tgat the Europe MSCI will outperform the SP500 or the EM? Europe has underperformed them the last decades and there is no outperforming industries, compared to US or China, to lead this growth during the coming years.
let us reasearch and we will see! Germany coming!
Hey Sven! So I've read the Dhandho Investor (thanks for the the recommendation btw) and Pabrai recommends subscribing to multiple investing newsletters and such. Do you follow any of the newsletters/sites he recommends, if so, which ones have been your favorite? Where do you go to find investing ideas for your international research? Thanks in advance!
I do follow as much as I can, I will not do marketing :-( I take too much responsibility then. :-(
@@Value-Investing totally understandable and thank you for the prompt reply!
Sven, please review midstream companies that pay high dividends, like MPLX, EPD, ET. Will they fit your "value" investment thesis?
I really don't like midstream - I sense a risk...
Europe nominal is 9.3?
Hard to comprehend with Europe’s current situation
Would love to see a video why Europe.
Thank you for another excellent video
we will discuss when we talk germany, also new video coming in the week! There is 5% yield, 2% growth and 3% inflation - that is 10%
Just dumped 6 figures in vtsax @ $96 and it’s been going down ever since. With all this talk about 10-20% corrections and index fund bubbles and crashes of 40-80% would u recommend selling them and waiting for the dip ?
I have no idea about the future :-( Nobody knows where will prices go in the short term, up or down.
Superb!
thanks!
Since you've been analyzing a emerging market stocks lately could you please do another video on Qudian?
Maybe Momo too as it seems quite interesting now :)?
Thanks for the great content
we will see if I'll do a video! MOMO too
It occurs to me that the advantage of choosing a portfolio of individual companies is that each of those companies will normally move independently of the overall index (though they'll still get caught up in crashes). Therefore as a group they're more likely to produce opportunities to buy, or sell, at an attractive price than an index fund.
ah, not that relevant - the key is that those increase earnings better than the index!
should I worry about fx risk when buying US ETFs? my base currency is the Euro
I am not that worried. I doubt that the EU and ECB would allow a higher exchangerate than 1.4 for long. I think they would rather expand their printing madness than letting the dollar crash.
Another question is, will the centralbanks and governments be able to save their currency and the exchangerate
nobody knows, but it is also about what it is in the ETF that you are buying - the currency doesn't matter, the businesses in it matter! Many stocks like Ahold are traded in Amsterdam and US too!
Hi Sven, sorry if this has been asked - are you not double counting the retained/reinvested earnings part inside your 8.77?
You said that 3.77% earnings is what the market deliver To the investor, but really it's the 1.57% dividends that gets delivered explicitly. The remaining 2.2% of the earnings gets reinvested (or accrued, but that complicates the point) in the aim to grow revenue and earnings. As you have noted the real (organic) earnings growth has been around 2%, so that's the real result of the reinvested 2.2% of this year's earnings to make next year's principal 2% bigger.
So an investment of $100 over a year would yield:
$1.57 dividends
+2% real earnings growth, so +$2 for the principal
+3% inflation based earnings growth, +$3 pricipal
To a total of $6.57 return with no further benefit from the $2.2 that the CEOs have have retained ("withheld")
good point! will depends on what the growht is!
Why are videos on index funds provide less return average than what I see on graphs? For example the Fidelity SP 500 version has return above 13% for a 10 year period, which is a great return if you ask me
great for you!
Absolutely amazing video for a young person like myself, thank you Sven.
Glad you enjoyed it!
If not, how are you able to invest in the index with your broker ?
you have ETFs, you can autmatically buy funds etc... Ask your broker!
Hello @Sven,
Since you are also promothing Prof, Damodaran, I am sure you have seend the series about the "problems of value investing".
It would be very nice to get your take on that!
good video too - but I feel it is most about definition!
Do you think if nasdaq or sp500 crash, China shanghai index and shenzen index will crash too?
like amazon, facebook, apple heavy crash will alibaba, tencent, xiaomi crash heavily too lol
in a crash, everything crashes :-)
@@Value-Investing man I bought index short etf I hope I get paid lol Grazie!
Hi Sven.. Can you do a video about terminal value? Thanks a lot
I did! th-cam.com/video/P5J-7AOXcnw/w-d-xo.html
@@Value-Investing Ops i think i overlooked it... I watched 90% of your videos... Thanks alot