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Күн бұрын

There seem to be many differing opinions out there about investing in emerging markets, and unfortunately, many of these are inaccurate. This is mostly due to the fact that emerging markets and your involvement in them, perform in ways that are somewhat counterintuitive. In today's episode, we tackle this tricky subject from a number of angles and try to give all of our listeners a better understanding of the strengths and weaknesses of using emerging markets within your portfolio, without falling prey to some common traps. To kick off the episode we talk about some financial news and the interesting recent book Making Numbers Count, before diving into the main course of the show. Listeners can expect to come away with some new insight into the history of emerging markets theory, realistic emerging markets returns, the appropriate amount of caution to exercise when investing in them, and more. Towards the tail end of the show, we are joined by our friend Morgan Housel, author of the prominent new book, The Psychology of Money, and we briefly discuss reading habits and how implementing a few small practices for learning can have an extraordinary impact on ones' life. Don't miss out on this great show.
Timestamps:
0:00 Intro
8:29 Cameron's Recommendations
23:05 Emerging Markets
1:01:24 Discussion with Morgan Housel
Books From Today’s Episode:
The Psychology of Money - amzn.to/3npH7G6
Making Numbers Count: The Art and Science of Communicating Numbers - amzn.to/3H9wfWc
Links From Today’s Episode:
Rational Reminder on iTunes - itunes.apple.com/ca/podcast/t....
Rational Reminder Website - rationalreminder.ca/
Shop Merch - shop.rationalreminder.ca/
Join the Community - community.rationalreminder.ca/
Follow us on Twitter - / rationalremind
Follow us on Instagram - @rationalreminder
Benjamin on Twitter - / benjaminwfelix
Cameron on Twitter - / cameronpassmore
Morgan Housel - www.collaborativefund.com/blo...
22 in 22 Reading Challenge - Join the Rational Reminder’s 22 in 22 reading challenge!
Ben’s Reading Code (22 in 22 Challenge): 7XWESMK
Cameron’s Reading Code (22 in 22 Challenge): N62IPTX
'Is Old Music Killing New Music?' - www.theatlantic.com/ideas/arc...

Пікірлер: 30

@rationalreminder 2 жыл бұрын

Timestamps: 0:00 Intro 8:29 Cameron's Recommendations 23:05 Emerging Markets 1:01:24 Discussion with Morgan Housel

@ferg439 2 жыл бұрын

Thank you guys again for another extraordinarily good insight. Your level of professionalism is highly appreciated. Well done!

@ityker 2 жыл бұрын

Thank You Ben & Cameron for informational, intellectual and insightful podcast. Most of the time I am listening to you while walking. Your great guests, books reviews and education on investment changed my perspective on personal finance.

@darkshadows7570 2 жыл бұрын

I was waiting for this episode from morning 8am, Perth Western Australian time.

@davieb8216 2 жыл бұрын

I found it amazing that Australia had the least home country bias. I see why franking credits were introduced. I suppose it because slot of our assets are invested through Super. Might also because we have an undiversefied economy, so you need to go elsewhere for more exposure.

@davieb8216 2 жыл бұрын

I couldn't read the graph, too blurry, turns out it said Austria!

@holdened 2 жыл бұрын

That bit with Morgan house was great, gonna use some of those tips to cultivate my reading habit.

@asdfTheGreat 8 күн бұрын

I like the one where if you lined up baseballs from LA to New York, and you drove along and attempted to pick up the one winning baseball... Winning the Powerball is 3x as hard.

@gabrielalmeida6085 2 жыл бұрын

I thought you had abondened youtube, glad I found you again, Ben

@whatisheartscont2be645 Жыл бұрын

Very interesting take on Emerging Markets.

@Thomas-sb2fg 2 жыл бұрын

Amazing!

@brianwhite1189 2 жыл бұрын

Another excellent episode. You mentioned updating your model, so I guess my only question is, does your model still include XEC at 8% and XEF at 16%, or have these changed? Thanks.

@aninalabudda9423 2 жыл бұрын

I dont understand fully what your points mean about emerging markets. I get that there is a Diversifikation benefit BUT do we also have higher expected Returns?

@smachsimo 2 жыл бұрын

What would you update in your model portfolio? Would you replace XEC by an Avantis equivalent?

@lucasnoritomi-hartwig3928 6 ай бұрын

35:17 you say expected returns tend to be higher because the domestic investors cannot diversify, though foreign investors cannot invest. Does the former really outweigh the latter such that the expected return is increased? Must we not also consider the average wealth of countries with segregated markets?

@robinspanier7017 Жыл бұрын

i would love to invest in EM stocks but there is no low cost Value Weighted SM ETF out there i can access so i dont for now. Do you guys know a product like this for less then 0.5%?

@asdfTheGreat 7 күн бұрын

20:05 I thought you said Rob Riggle. I'm like there's no fucking way.

@george6977 7 ай бұрын

48:00 US value stocks underperformed US growth stocks.

@n1chr0me6 2 жыл бұрын

Was Japanese Nikkei an emerging market when it collapsed in the 90s?

@Martin-qb2mw 2 жыл бұрын

No it was one of the biggest (if not THE single biggest) stock markets in the world.

@vladragulin771 Жыл бұрын

I just heard your podcast (with some delay). As always an excellent speaker with a ton of useful advice. I wanted to add an observation to your comment about the Russian ETF losing 99% since the start of the Ukraine war, because it provides an interesting case study in favor of 'the home bias'. As you know, since the Ukraine war started in 2022, G-7 imposed sanctions on Russia. In retaliation, Russia prohibited investors from 'unfriendly countries' from trading Russian shares, and prohibited companies from paying them dividends or other distributions. Also, it looks like unless G-7 unfreezes Russia's sovereign assets, the G-7 shareholders will probably not get their money back. This explains the loss of 99% on the iShares Russia ETF. However, for the local investors and those from neutral countries (India, China, Middle-East, Brazil, Africa) there are no restrictions at all. The Russian stock market is open for trading and is only down 30% since the war in US dollars (a bit less in total return counting the 4% dividend yield). So an investor from, say, Dubai would be down 99% on the iShares Russia ETF, and only down 30% if he bought the same shares directly.

@I..cast..fireball 2 жыл бұрын

Third.

@russiachinanorthkoreastatetv 4 ай бұрын

Emerging Markets will lag as the world bank buys more gold & lenders tighten & banks fail… cash will be king & commodities will be cheap & so will real estate & so will stocks & a lot of money will be wiped out

@1990apoorv 2 жыл бұрын

it's not an NFT drop 😂 .

@dairysmoreta6108 2 жыл бұрын

Come back to the Ben Felix channel please. 😭

@tacocruiser4238 10 ай бұрын

The profit margins of U.S. companies are significantly higher than Chinese companies. People don't realize this. But overall income of Chinese companies is growing faster.

@safetyfirst2417 2 жыл бұрын

Language barrier might be a good explanation of home bias. Hardly 5% of Russian population speak English. You've got to speak English to be able to invest outside your local language market.

@safetyfirst2417 2 жыл бұрын

@@george6977 yeah, you obviously speak English but don't read it well: You have to speak English to invest internationally including Japan, my friend

@adriantrummer6126 2 жыл бұрын

@@safetyfirst2417 * emotional damage *