AYA Analytica financial health memo June 2017
As of June 2017, this regular podcast is available on our Andy Yeh Alpha fintech network platform.
CNBC reports the Top 5 features of Apple's iPhone X.
CNBC reports the Top 5 features of Apple's iPhone X. This new product release can be the rising tide that lifts all boats in Apple's upstream value chain such as Foxconn, TSMC, and Pegatron with a major iPhone-driven bottom-line boost:
iPhone X features edge-to-edge AMOLED display with more than 2 million pixels. This primary feature translates into sharper text and more impressive video playback for iPhone X viewers.
A user can register his or her face with the iPhone X so that it automatically unlocks when the user looks at the screen. This facial recognition uses 3-D imagery that is more secure than the Samsung Galaxy S8 counterpart. This new tech also proves to be more secure than most fingerprint locks.
Apple has the technical power to bring wireless charging pads for its iPhone 8, iPhone 8 Plus, and iPhone X with patent-rich enhancements over time.
iPhone X has a 12-megapixel wide-angle lens and a second telephoto lens for zooming in and out to ensure more robust videos and better pictures.
iPhone X allows the user to leverage its new animoji feature to record video clips of his or her emotions. This animation not only provides greater human touch on iPhone X, but also gives the user the opportunity to customize his or her emotions in the now ubiquitous form of viral video clips.
President Donald Trump releases his plan to slash income taxes for U.S. citizens and corporations.
President Donald Trump has released his plan to slash income taxes for U.S. citizens and corporations. The corporate income tax rate will decline from 35% to 20%. The number of marginal income tax bands will be reduced to 3 at 12%, 25%, and 35%.
This tax overhaul represents a progressive pro-growth economic reform with better jobs, higher wages, and lower taxes for most American consumers, as well as lower risks, fewer financial constraints, and more investments in M&A, Capex, and R&D for many U.S. corporations. Tech stocks such as FAMGA (aka Facebook, Apple, Microsoft, Google, and Amazon) are likely to benefit most from this tax reform by repatriating offshore cash stockpiles to invest in U.S. job creation, robotic manufacturing automation, and more patent-intensive tech-savvy development in artificial intelligence, cloud software development, virtual reality, and network platform orchestration.
The ripple effect manifests in the subsequent Fed interest rate hike, greenback appreciation, and positive stock investor sentiment. All of these probable macro ramifications contribute to an upward GDP growth trajectory toward the Trump administration's 2.7%-3.3% target range.
The Trump administration initiates a new investigation into China's abuse of American intellectual property.
The Trump administration has initiated a new investigation into China's abuse of American intellectual property under Section 301 of the Trade Act of 1974. This strategic move boils down to the fact that the U.S. has just fired the first shot in an open trade war with China. While tax cuts trump trade, this Section 301 investigation can be the first tangible economic sanction against China.
However, Chinese retaliation may manifest in the generic form of large-scale U.S. Treasury bond sales, much less usage and consumption of U.S. soybeans, oats, semiconductors, mobile electronic devices, and other key imports, or both. These economic repercussions reverberate up and down the corporate value chain to induce an adverse impact on U.S. manufacturers, upstream suppliers, and downstream distributors nationwide.
Despite this clear and present trade war with China, the Trump stock market rally continues to benefit the typical institutional or retail stock investor under Section 301 legal protection of U.S. intellectual property. The main beneficiaries are the R&D-intensive firms with numerous patents such as pharmaceutical companies such as Pfizer, Merck, and Johnson & Johnson, tech-savvy platform orchestrators such as Apple, Google, Microsoft, Facebook, and IBM, as well as ecommerce giants such as Amazon and Alibaba.
A potential threat may be the new opportunity. Every cloud has a silver lining!!
U.S. Treasury's proposal for financial deregulation aims to remove key aspects of the Dodd-Frank Act.
The U.S. Treasury's June 2017 grand proposal for financial deregulation aims to remove several aspects of the Dodd-Frank Act 2010 such as annual macro stress tests, supervisory bank capital reviews, proprietary trading restrictions, and so forth.
Fed Vice Chair Stanley Fischer warns that the current financial deregulation can be extremely dangerous and myopic.
"It took almost 80 years after 1930 for America to experience another [global] financial crisis that could have been of that magnitude...now after 10 years everyone wants to return to a status quo before the [next financial downturn]."
As prior monetary policy turns out to be a rather ineffective solution for the post-crisis macro malaise, fiscal stimulus garners a lion's share of public attention toward lower income taxation and indefinite tax holiday for corporate offshore cash repatriation.
Regardless of whether the Dodd-Frank supervisory stress instruments should remain for a more stable U.S. banking system, the Fischer comment rings the alarm bell of fiscal quid pro quo for weak monetary stimulus.
This information exchange offers valuable food for thought to the typical stock market investor.
While the trend can be his or her friend, the investor needs to weigh the pros and cons of short-term stock price momentum vis-a-vis the close nexus between long-term economic fluctuations and stock market gyrations.
President Donald Trump criticizes Amazon over taxes and jobs.
In a recent tweet, President Donald Trump criticizes Amazon over taxes and jobs.
Without providing specific evidence, Trump accuses of the e-commerce retailer of hurting U.S. cities and states with job losses.
Amazon's stock price declines quite a bit after this tweet.
In his critique, Trump has targeted Amazon whose CEO Jeff Bezos owns the Washington Post, one of several major media outlets that have been swept up in the president's relentless fight with the press.
Now stock analysts and market observers wait for Treasury Secretary Steve Mnuchin to deliver on Trump's promise of a comprehensive fiscal overhaul with a particular emphasis on lower income taxation and special tax holiday for offshore corporate cash repatriation.
In addition to its recent acquisition of Whole Foods, Amazon can draw down its offshore cash reservoir throughout the prospective tax holiday to continue the current Trump stock market rally.
The same logic also applies to several other multinational corporations such as Apple, Google, Microsoft, Facebook, Exxon Mobil, Johnson & Johnson, and so forth.
Although the stock market valuation seems high with a long-term P/E ratio of 25x to 27x, the Trump stock market rally may move in tandem with the current interest rate hike as new economic data suggest robust labor market recovery and capital momentum.
Many eminent investors suggest that the time may be ripe for a major stock market correction.
Several investors and billionaires such as George Soros, Warren Buffett, Carl Icahn, and Howard Marks suggest that the time may be ripe for a major financial market correction.
The recent optimistic Trump rally has catapulted stock and bond prices by a 20% margin.
This stock and bond market overvaluation seems to be a natural result of President Trump's generous pro-growth fiscal stimulus trifecta of lower income taxation, financial deregulation, and new infrastructure with corporate offshore cash repatriation.
Whether the current Trump financial market rally can deliver tangible economic gains depends on the eventual GDP growth trajectory toward the target range of 2.7% to 3.3% per annum.
During the current interest rate hike, we expect most stock and bond prices to moderately react to monetary contraction and self-fulfilling prophecy in a soft downward path.
This new normal scenario does not necessarily correspond to secular stagnation in the precise words of Larry Summers and others.
However, it is reasonable to anticipate a reasonable financial market correction in light of the recent nuclear standoff between America and North Korea, U.S. monetary contraction, and Trump trade conservatism.
Overall, geopolitical risk remains the primary source of economic uncertainty as the Trump administration seeks to maintain a delicate balance between these undercurrents for better business growth and financial stability.
Top 4 U.S. richest people are self-made billionaires: Gates, Buffet, Bloomberg, and Zuckerberg.
In American states, all of the Top 4 richest people are self-made billionaires: Bill Gates in Washington, Warren Buffett in Nebraska, Michael Bloomberg in New York, and Mark Zuckerberg in California. Indeed, all of these billionaires are great fundamental investors too.
Through Berkshire Hathaway, Buffett invests in finance, energy, transportation, technology, retail service, and so forth.
Gates invests in Microsoft, software technology, cloud service provision, as well as philanthropy.
Zuckerberg invests in building Facebook as the world's largest social network with more than 2 billion active users.
Bloomberg invests in financial data delivery and media service with worldwide fame and ubiquity.
This infographic visualization does not include several other famous self-made billionaires, entrepreneurs, financiers, and investors such as Jeff Bezos, Tim Cook, Mark Cuban, and Larry Page.
Global financial markets suffer as President Trump promises *fire and fury* in response North Korean nuclear ambitions.
Global financial markets suffer as President Trump promises *fire and fury* in response to the recent report that North Korea has successfully miniaturized nuclear warheads to place on intercontinental ballistic missiles (ICBMs) in the face of new economic sanctions.
Trump follows up with inaccurate tweets about the more powerful U.S. nuclear arsenal, whereas, State Secretary Rex Tillerson and Defense Secretary Jim Mattis both urge de-escalating the current situation and warn against North Korea's prospective nuclear threats and missile strikes near the U.S. military bases in Guam.
In the presence of the dictatorial regime's ICBMs and nuclear threats, the current standoff might eventually become the Nash equilibrium of mutually-assured destruction (MAD).
This deterrence doctrine helps prevent subsequent escalation and belligerence on both sides (U.S. and North Korea now and U.S. and Russia in the cold war and the Cuban missile crisis).
Due to this imminent political complexity, global stock markets experience a pervasive decline in market valuation.
This decline may be a temporary dip, and this transience can be a valuable stock investment opportunity for the typical contrarian investor.
Millennials can save to make a fortune with compound interest over 40 years.
NerdWallet's new simulation suggests that a 25-year-old millennial who earns an inflation-free base salary of $40,456 and saves 15% each year faces a 99%+ chance of maintaining at least his or her initial investment over 40 years.
This analysis shows that the adverse effects of even significant downturns can be smoothed out by a long-term fundamental investment strategy, if the investor is willing to stay the course.
Given the opportunity cost of avoiding the stock market altogether (which could be as much as $3 million over 40 years) and the monetary benefits of compound interest for 4 decades, the bigger real risk may be not investing in stocks at all.
Although past stock market performance cannot guarantee that the typical investor earns a hefty 10% average historical return in the future, the core value of investing in stocks with compound interest can be significant over a long time.
We share Warren Buffett's famous quotes on fundamental stock investment.
This brief article encapsulates the timeless wisdom of Warren Buffett's famous quotes on fundamental stock investment, fear and greed, patience, risk control, success, prediction, gold, and so on.
Buffett often spins and taints his words of wisdom with a healthy sense of humor.
As a contrarian value investor, Buffett buys shares when the stock price falls below its intrinsic value, and then (seldom) sells these shares when the stock price rises above its intrinsic value by a wide margin.
Recent empirical studies affirm this stock investment philosophy that a wise long-term investor should bet his or her money on small and profitable individual companies with low asset growth and high book-to-market equity.
Betting against high market beta or short-term price momentum is no longer the conventional wisdom within the broader conceptual framework of fundamental stock investment.
Foxconn invests $10 billion in a new manufacturing plant for LCD display panels in Wisconsin.
President Donald Trump has announced that a major Apple iPhone upstream supplier, Foxconn Technology Group (also known as Hon Hai Precision Group), will invest $10 billion in a new manufacturing plant for LCD display panels in Wisconsin.
The press conference takes place at the White House with Wisconsin Governor Scott Walker and Republican House Speaker Paul Ryan.
Walker suggests that this new plant is the largest economic development project in the state's history.
Foxconn Chairman Terry Guo points out that Wisconsin shines as the clear winner among at least 6 American states while Ohio is a close contender.
The new manufacturing plant will employ an initial intake of 3,000 workers while this intake can increase to 13,000 in the next 4 years.
Although Apple CEO Tim Cook has yet to comment on Foxconn's new plant in Wisconsin, this latest financial news echoes the Trump stock market rally with substantial fiscal stimulus that manifests in the form of lower income taxation and tax-efficient corporate cash repatriation.
Apple and its upstream suppliers together will invest their massive offshore cash in job creation, manufacturing automation, and digital technology innovation.
Foxconn's ambitious expansion represents the first attempt by an Apple upstream supplier to invest in America.
We will see more cascades of this positive progress in the foreseeable future.
Warren Buffett invests in American stocks across energy, transport, and finance etc.
Warren Buffett invests in American stocks across numerous industries such as energy, air transport, finance, technology, retail provision, and so forth.
The Oracle of Omaha has been outperforming most stock market benchmarks for several decades. Berkshire Hathaway's year-to-date stock performance is a hefty 25% excess return.
Buffett's annual letters to shareholders illuminate the key aspects of his contrarian value investment philosophy.
The fundamental value investor focuses on a given stock's intrinsic value from which the market price may deviate from time to time; and the contrarian investor buys shares when market sentiment puts transient downward pressure on the stock price below the intrinsic fair value, while the contrarian investor unloads shares when market sentiment temporarily boosts momentum in the stock price above the intrinsic fair value.
A successful contrarian value investor buys stocks when fear permeates the stock market, and this contrarian investor sells stocks when greed percolates the stock market.
Andy Yeh Alpha (AYA) AYA Analytica financial health memo (FHM)
AYA Analytica is our online regular podcast and newsletter about key financial news, market insights, economic issues, and stock investment strategies on our Andy Yeh Alpha (AYA) fintech network platform. With both American focus and international reach, our primary and ultimate corporate mission aims to help enhance financial literacy, inclusion, and freedom of the open and diverse global general public. We apply our unique dynamic conditional alpha investment model as the first aid for every investor with profitable asset investment signals and portfolio strategies. In fact, our AYA freemium fintech network platform curates, orchestrates, and provides proprietary software technology and algorithmic cloud service to most members who can interact with one another on our AYA fintech network platform. Multiple blogs, posts, ebooks, analytical reports, stock alpha signals, and asset omega estimates offer proprietary solutions and substantive benefits to empower each financial market investor through technology, education, and social integration. Please feel free to sign up or login to enjoy our new and unique cloud software services on AYA fintech network platform now!!
Please feel free to follow our AYA Analytica financial health memo (FHM) podcast channel on YouTube: https://www.youtube.com/channel/UCvntmnacYyCmVyQ-c_qjyyQ
Please feel free to follow our Brass Ring Facebook to learn more about the latest financial news and stock investment ideas: https://www.facebook.com/brassring2013
Free signup for stock signals: https://ayafintech.network
Mission on profitable signals: https://ayafintech.network/mission.php
Model technical descriptions: https://ayafintech.network/model.php
Blog on stock alpha signals: https://ayafintech.network/blog.php
Freemium base pricing plans: https://ayafintech.network/freemium.php
Signup for periodic updates: https://ayafintech.network/signup.php
Login for freemium benefits: https://ayafintech.network/login.php
We create each free finbuzz (or free financial buzz) as a blog post on the latest financial news and asset investment ideas. Our finbuzz collection demonstrates our unique American focus with global reach. Each free finbuzz provides deep insights into numerous topical issues in global finance, stock market investment, portfolio optimization, and dynamic asset management. We strive to help enrich the economic lives of most investors who would otherwise engage in financial data analysis with inordinate time commitment.
Please feel free to forward our finbuzz to family and friends, peers, colleagues, classmates, and others who might be keen and abuzz to learn more about asset investment strategies and modern policy reforms with macroeconomic insights.
Do you find it difficult to beat the long-term average 11% stock market return?
It took us 20+ years to design a new profitable algorithmic asset investment model and its attendant proprietary software technology with fintech patent protection in 2+ years. AYA fintech network platform serves as everyone’s first aid for his or her personal stock investment portfolio. Our proprietary software technology allows each investor to leverage fintech intelligence and information without exorbitant time commitment. Our dynamic conditional alpha analysis boosts the typical win rate from 70% to 90%+.
Our new alpha model empowers members to be a wiser stock market investor with profitable alpha signals!! This proprietary quantitative analysis applies the collective wisdom of Warren Buffett, George Soros, Carl Icahn, Mark Cuban, Tony Robbins, and Nobel Laureates in finance such as Robert Engle, Eugene Fama, Lars Hansen, Robert Lucas, Robert Merton, Edward Prescott, Thomas Sargent, William Sharpe, Robert Shiller, and Christopher Sims.
Andy Yeh Alpha (AYA) fintech network platform serves as each investor's social toolkit for profitable investment management. AYA fintech network platform helps promote better financial literacy, inclusion, and freedom of the global general public. We empower investors through technology, education, and social integration.
Andy Yeh
AYA fintech network platform founder
Brass Ring International Density Enterprise (BRIDE)
CNBC reports the Top 5 features of Apple's iPhone X.
CNBC reports the Top 5 features of Apple's iPhone X. This new product release can be the rising tide that lifts all boats in Apple's upstream value chain such as Foxconn, TSMC, and Pegatron with a major iPhone-driven bottom-line boost:
iPhone X features edge-to-edge AMOLED display with more than 2 million pixels. This primary feature translates into sharper text and more impressive video playback for iPhone X viewers.
A user can register his or her face with the iPhone X so that it automatically unlocks when the user looks at the screen. This facial recognition uses 3-D imagery that is more secure than the Samsung Galaxy S8 counterpart. This new tech also proves to be more secure than most fingerprint locks.
Apple has the technical power to bring wireless charging pads for its iPhone 8, iPhone 8 Plus, and iPhone X with patent-rich enhancements over time.
iPhone X has a 12-megapixel wide-angle lens and a second telephoto lens for zooming in and out to ensure more robust videos and better pictures.
iPhone X allows the user to leverage its new animoji feature to record video clips of his or her emotions. This animation not only provides greater human touch on iPhone X, but also gives the user the opportunity to customize his or her emotions in the now ubiquitous form of viral video clips.
President Donald Trump releases his plan to slash income taxes for U.S. citizens and corporations.
President Donald Trump has released his plan to slash income taxes for U.S. citizens and corporations. The corporate income tax rate will decline from 35% to 20%. The number of marginal income tax bands will be reduced to 3 at 12%, 25%, and 35%.
This tax overhaul represents a progressive pro-growth economic reform with better jobs, higher wages, and lower taxes for most American consumers, as well as lower risks, fewer financial constraints, and more investments in M&A, Capex, and R&D for many U.S. corporations. Tech stocks such as FAMGA (aka Facebook, Apple, Microsoft, Google, and Amazon) are likely to benefit most from this tax reform by repatriating offshore cash stockpiles to invest in U.S. job creation, robotic manufacturing automation, and more patent-intensive tech-savvy development in artificial intelligence, cloud software development, virtual reality, and network platform orchestration.
The ripple effect manifests in the subsequent Fed interest rate hike, greenback appreciation, and positive stock investor sentiment. All of these probable macro ramifications contribute to an upward GDP growth trajectory toward the Trump administration's 2.7%-3.3% target range.
The Trump administration initiates a new investigation into China's abuse of American intellectual property.
The Trump administration has initiated a new investigation into China's abuse of American intellectual property under Section 301 of the Trade Act of 1974. This strategic move boils down to the fact that the U.S. has just fired the first shot in an open trade war with China. While tax cuts trump trade, this Section 301 investigation can be the first tangible economic sanction against China.
However, Chinese retaliation may manifest in the generic form of large-scale U.S. Treasury bond sales, much less usage and consumption of U.S. soybeans, oats, semiconductors, mobile electronic devices, and other key imports, or both. These economic repercussions reverberate up and down the corporate value chain to induce an adverse impact on U.S. manufacturers, upstream suppliers, and downstream distributors nationwide.
Despite this clear and present trade war with China, the Trump stock market rally continues to benefit the typical institutional or retail stock investor under Section 301 legal protection of U.S. intellectual property. The main beneficiaries are the R&D-intensive firms with numerous patents such as pharmaceutical companies such as Pfizer, Merck, and Johnson & Johnson, tech-savvy platform orchestrators such as Apple, Google, Microsoft, Facebook, and IBM, as well as ecommerce giants such as Amazon and Alibaba.
A potential threat may be the new opportunity. Every cloud has a silver lining!!
U.S. Treasury's proposal for financial deregulation aims to remove key aspects of the Dodd-Frank Act.
The U.S. Treasury's June 2017 grand proposal for financial deregulation aims to remove several aspects of the Dodd-Frank Act 2010 such as annual macro stress tests, supervisory bank capital reviews, proprietary trading restrictions, and so forth.
Fed Vice Chair Stanley Fischer warns that the current financial deregulation can be extremely dangerous and myopic.
"It took almost 80 years after 1930 for America to experience another [global] financial crisis that could have been of that magnitude...now after 10 years everyone wants to return to a status quo before the [next financial downturn]."
As prior monetary policy turns out to be a rather ineffective solution for the post-crisis macro malaise, fiscal stimulus garners a lion's share of public attention toward lower income taxation and indefinite tax holiday for corporate offshore cash repatriation.
Regardless of whether the Dodd-Frank supervisory stress instruments should remain for a more stable U.S. banking system, the Fischer comment rings the alarm bell of fiscal quid pro quo for weak monetary stimulus.
This information exchange offers valuable food for thought to the typical stock market investor.
While the trend can be his or her friend, the investor needs to weigh the pros and cons of short-term stock price momentum vis-a-vis the close nexus between long-term economic fluctuations and stock market gyrations.
President Donald Trump criticizes Amazon over taxes and jobs.
In a recent tweet, President Donald Trump criticizes Amazon over taxes and jobs.
Without providing specific evidence, Trump accuses of the e-commerce retailer of hurting U.S. cities and states with job losses.
Amazon's stock price declines quite a bit after this tweet.
In his critique, Trump has targeted Amazon whose CEO Jeff Bezos owns the Washington Post, one of several major media outlets that have been swept up in the president's relentless fight with the press.
Now stock analysts and market observers wait for Treasury Secretary Steve Mnuchin to deliver on Trump's promise of a comprehensive fiscal overhaul with a particular emphasis on lower income taxation and special tax holiday for offshore corporate cash repatriation.
In addition to its recent acquisition of Whole Foods, Amazon can draw down its offshore cash reservoir throughout the prospective tax holiday to continue the current Trump stock market rally.
The same logic also applies to several other multinational corporations such as Apple, Google, Microsoft, Facebook, Exxon Mobil, Johnson & Johnson, and so forth.
Although the stock market valuation seems high with a long-term P/E ratio of 25x to 27x, the Trump stock market rally may move in tandem with the current interest rate hike as new economic data suggest robust labor market recovery and capital momentum.
Many eminent investors suggest that the time may be ripe for a major stock market correction.
Several investors and billionaires such as George Soros, Warren Buffett, Carl Icahn, and Howard Marks suggest that the time may be ripe for a major financial market correction.
The recent optimistic Trump rally has catapulted stock and bond prices by a 20% margin.
This stock and bond market overvaluation seems to be a natural result of President Trump's generous pro-growth fiscal stimulus trifecta of lower income taxation, financial deregulation, and new infrastructure with corporate offshore cash repatriation.
Whether the current Trump financial market rally can deliver tangible economic gains depends on the eventual GDP growth trajectory toward the target range of 2.7% to 3.3% per annum.
During the current interest rate hike, we expect most stock and bond prices to moderately react to monetary contraction and self-fulfilling prophecy in a soft downward path.
This new normal scenario does not necessarily correspond to secular stagnation in the precise words of Larry Summers and others.
However, it is reasonable to anticipate a reasonable financial market correction in light of the recent nuclear standoff between America and North Korea, U.S. monetary contraction, and Trump trade conservatism.
Overall, geopolitical risk remains the primary source of economic uncertainty as the Trump administration seeks to maintain a delicate balance between these undercurrents for better business growth and financial stability.
Top 4 U.S. richest people are self-made billionaires: Gates, Buffet, Bloomberg, and Zuckerberg.
In American states, all of the Top 4 richest people are self-made billionaires: Bill Gates in Washington, Warren Buffett in Nebraska, Michael Bloomberg in New York, and Mark Zuckerberg in California. Indeed, all of these billionaires are great fundamental investors too.
Through Berkshire Hathaway, Buffett invests in finance, energy, transportation, technology, retail service, and so forth.
Gates invests in Microsoft, software technology, cloud service provision, as well as philanthropy.
Zuckerberg invests in building Facebook as the world's largest social network with more than 2 billion active users.
Bloomberg invests in financial data delivery and media service with worldwide fame and ubiquity.
This infographic visualization does not include several other famous self-made billionaires, entrepreneurs, financiers, and investors such as Jeff Bezos, Tim Cook, Mark Cuban, and Larry Page.
Global financial markets suffer as President Trump promises *fire and fury* in response North Korean nuclear ambitions.
Global financial markets suffer as President Trump promises *fire and fury* in response to the recent report that North Korea has successfully miniaturized nuclear warheads to place on intercontinental ballistic missiles (ICBMs) in the face of new economic sanctions.
Trump follows up with inaccurate tweets about the more powerful U.S. nuclear arsenal, whereas, State Secretary Rex Tillerson and Defense Secretary Jim Mattis both urge de-escalating the current situation and warn against North Korea's prospective nuclear threats and missile strikes near the U.S. military bases in Guam.
In the presence of the dictatorial regime's ICBMs and nuclear threats, the current standoff might eventually become the Nash equilibrium of mutually-assured destruction (MAD).
This deterrence doctrine helps prevent subsequent escalation and belligerence on both sides (U.S. and North Korea now and U.S. and Russia in the cold war and the Cuban missile crisis).
Due to this imminent political complexity, global stock markets experience a pervasive decline in market valuation.
This decline may be a temporary dip, and this transience can be a valuable stock investment opportunity for the typical contrarian investor.
Millennials can save to make a fortune with compound interest over 40 years.
NerdWallet's new simulation suggests that a 25-year-old millennial who earns an inflation-free base salary of $40,456 and saves 15% each year faces a 99%+ chance of maintaining at least his or her initial investment over 40 years.
This analysis shows that the adverse effects of even significant downturns can be smoothed out by a long-term fundamental investment strategy, if the investor is willing to stay the course.
Given the opportunity cost of avoiding the stock market altogether (which could be as much as $3 million over 40 years) and the monetary benefits of compound interest for 4 decades, the bigger real risk may be not investing in stocks at all.
Although past stock market performance cannot guarantee that the typical investor earns a hefty 10% average historical return in the future, the core value of investing in stocks with compound interest can be significant over a long time.
We share Warren Buffett's famous quotes on fundamental stock investment.
This brief article encapsulates the timeless wisdom of Warren Buffett's famous quotes on fundamental stock investment, fear and greed, patience, risk control, success, prediction, gold, and so on.
Buffett often spins and taints his words of wisdom with a healthy sense of humor.
As a contrarian value investor, Buffett buys shares when the stock price falls below its intrinsic value, and then (seldom) sells these shares when the stock price rises above its intrinsic value by a wide margin.
Recent empirical studies affirm this stock investment philosophy that a wise long-term investor should bet his or her money on small and profitable individual companies with low asset growth and high book-to-market equity.
Betting against high market beta or short-term price momentum is no longer the conventional wisdom within the broader conceptual framework of fundamental stock investment.
Foxconn invests $10 billion in a new manufacturing plant for LCD display panels in Wisconsin.
President Donald Trump has announced that a major Apple iPhone upstream supplier, Foxconn Technology Group (also known as Hon Hai Precision Group), will invest $10 billion in a new manufacturing plant for LCD display panels in Wisconsin.
The press conference takes place at the White House with Wisconsin Governor Scott Walker and Republican House Speaker Paul Ryan.
Walker suggests that this new plant is the largest economic development project in the state's history.
Foxconn Chairman Terry Guo points out that Wisconsin shines as the clear winner among at least 6 American states while Ohio is a close contender.
The new manufacturing plant will employ an initial intake of 3,000 workers while this intake can increase to 13,000 in the next 4 years.
Although Apple CEO Tim Cook has yet to comment on Foxconn's new plant in Wisconsin, this latest financial news echoes the Trump stock market rally with substantial fiscal stimulus that manifests in the form of lower income taxation and tax-efficient corporate cash repatriation.
Apple and its upstream suppliers together will invest their massive offshore cash in job creation, manufacturing automation, and digital technology innovation.
Foxconn's ambitious expansion represents the first attempt by an Apple upstream supplier to invest in America.
We will see more cascades of this positive progress in the foreseeable future.
Warren Buffett invests in American stocks across energy, transport, and finance etc.
Warren Buffett invests in American stocks across numerous industries such as energy, air transport, finance, technology, retail provision, and so forth.
The Oracle of Omaha has been outperforming most stock market benchmarks for several decades. Berkshire Hathaway's year-to-date stock performance is a hefty 25% excess return.
Buffett's annual letters to shareholders illuminate the key aspects of his contrarian value investment philosophy.
The fundamental value investor focuses on a given stock's intrinsic value from which the market price may deviate from time to time; and the contrarian investor buys shares when market sentiment puts transient downward pressure on the stock price below the intrinsic fair value, while the contrarian investor unloads shares when market sentiment temporarily boosts momentum in the stock price above the intrinsic fair value.
A successful contrarian value investor buys stocks when fear permeates the stock market, and this contrarian investor sells stocks when greed percolates the stock market.
Andy Yeh Alpha (AYA) AYA Analytica financial health memo (FHM)
AYA Analytica is our online regular podcast and newsletter about key financial news, market insights, economic issues, and stock investment strategies on our Andy Yeh Alpha (AYA) fintech network platform. With both American focus and international reach, our primary and ultimate corporate mission aims to help enhance financial literacy, inclusion, and freedom of the open and diverse global general public. We apply our unique dynamic conditional alpha investment model as the first aid for every investor with profitable asset investment signals and portfolio strategies. In fact, our AYA freemium fintech network platform curates, orchestrates, and provides proprietary software technology and algorithmic cloud service to most members who can interact with one another on our AYA fintech network platform. Multiple blogs, posts, ebooks, analytical reports, stock alpha signals, and asset omega estimates offer proprietary solutions and substantive benefits to empower each financial market investor through technology, education, and social integration. Please feel free to sign up or login to enjoy our new and unique cloud software services on AYA fintech network platform now!!
Please feel free to follow our AYA Analytica financial health memo (FHM) podcast channel on YouTube: https://www.youtube.com/channel/UCvntmnacYyCmVyQ-c_qjyyQ
Please feel free to follow our Brass Ring Facebook to learn more about the latest financial news and stock investment ideas: https://www.facebook.com/brassring2013
Free signup for stock signals: https://ayafintech.network
Mission on profitable signals: https://ayafintech.network/mission.php
Model technical descriptions: https://ayafintech.network/model.php
Blog on stock alpha signals: https://ayafintech.network/blog.php
Freemium base pricing plans: https://ayafintech.network/freemium.php
Signup for periodic updates: https://ayafintech.network/signup.php
Login for freemium benefits: https://ayafintech.network/login.php
We create each free finbuzz (or free financial buzz) as a blog post on the latest financial news and asset investment ideas. Our finbuzz collection demonstrates our unique American focus with global reach. Each free finbuzz provides deep insights into numerous topical issues in global finance, stock market investment, portfolio optimization, and dynamic asset management. We strive to help enrich the economic lives of most investors who would otherwise engage in financial data analysis with inordinate time commitment.
Please feel free to forward our finbuzz to family and friends, peers, colleagues, classmates, and others who might be keen and abuzz to learn more about asset investment strategies and modern policy reforms with macroeconomic insights.
Do you find it difficult to beat the long-term average 11% stock market return?
It took us 20+ years to design a new profitable algorithmic asset investment model and its attendant proprietary software technology with fintech patent protection in 2+ years. AYA fintech network platform serves as everyone’s first aid for his or her personal stock investment portfolio. Our proprietary software technology allows each investor to leverage fintech intelligence and information without exorbitant time commitment. Our dynamic conditional alpha analysis boosts the typical win rate from 70% to 90%+.
Our new alpha model empowers members to be a wiser stock market investor with profitable alpha signals!! This proprietary quantitative analysis applies the collective wisdom of Warren Buffett, George Soros, Carl Icahn, Mark Cuban, Tony Robbins, and Nobel Laureates in finance such as Robert Engle, Eugene Fama, Lars Hansen, Robert Lucas, Robert Merton, Edward Prescott, Thomas Sargent, William Sharpe, Robert Shiller, and Christopher Sims.
Andy Yeh Alpha (AYA) fintech network platform serves as each investor's social toolkit for profitable investment management. AYA fintech network platform helps promote better financial literacy, inclusion, and freedom of the global general public. We empower investors through technology, education, and social integration.
Andy Yeh
AYA fintech network platform founder
Brass Ring International Density Enterprise (BRIDE)
We should not conform to this world, but we should allow the renewal of our minds to transform us, so that we can prove what is the good, acceptable, and perfect will of God.
Romans 12: 2
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