MELBOURNE, Australia, Aug. 15, 2022 /PRNewswire/ — Fat Tail Investment Research, the independent Melbourne financial publisher, has released a valuable whitepaper from its flagship newsletter Fat Tail Investment Advisory, called ‘Your Bear Market Survival Guide,’ which aims to help investors not only survive but thrive in the uncertainty of the current bear market conditions, providing guidance on long-term investment strategy and building a more robust portfolio. The ‘Your Bear Market Survival Guide’ is available to users as resource when they take out a 30 day subscription for just $1 to the Fat Tail Investment Advisory.
Since 2021, the stock markets across significant economies worldwide, including Australia, have undergone revolutionary developments that were both mesmerizing and challenging to even the most seasoned investors. After the Australian ASX 200 peaked around the end of 2021, the stock market fell into a bear market with many stocks crashing, catching many investors who failed to prepare mentally for the downtime off guard. At that time, with their insight, some at Fat Tail Investment Research had already warned subscribers of the imminent bear market.
"Right now, the reality is that ultra-cheap money is still flowing into growth and momentum stocks while leaving the "boring" value-oriented stocks behind. As an investor, the most important thing is to remember that returns are about the price you pay and the cash flows a company produces. In times of heightened speculation, the market will forget this lesson. So it’s important to remain disciplined and remember that there is a difference between investing and speculation", advised Greg Canavan, Editorial Director at Fat Tail Investment Research.
Greg believes that the bear market will inevitably wane, giving way to the bullish market. Investors can monitor changes in the macroenvironment, such as the United States Federal Reserve’s interest rate, commodity prices, bond yields, etc., to identify signs of the bottom. Greg points out that although the bear market with the short-term stock plunge and uncertainties drives investors to act conservatively to keep their capital intact, it also presents a very compelling long-term opportunity for investors to prepare for the success of their portfolio in the next few years.
"Prices of many high-quality stocks have been down 45 – 65% from their peak. Of course, it’s stupid to follow the mainstream blindly. But equally, it’s also stupid to be contrarian for the sake of it. When the perceived risk is low…actual risk is high. And when perceived risk is high…actual risk is low," added Greg.
To help investors to make the most out of the bear market and head for the inevitable return of the bull market, they can subscribe to Fat Tail Investment Research’s publications at https://fattail.com.au/series/your-bear-market-survival-guide/.
About Fat Tail Investment Advisory
Fat Tail Investment Advisory is one of the largest independent investment research companies in Australia, with about 100,000 daily readers of its e-letters and around 30,000 paying subscribers. Its vision is to research for ideas to empower investors to make intelligent investment decisions and protect their wealth in unconventional ways.