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Investing at All-Time Highs
The Idea Farm
March 10, 2024
Together With
“When you feel like bragging, it's probably time to sell.”
Research
Kai Wu explains why factor investing offers a useful tool to navigate the altcoin ecosystem and build more diversified crypto portfolios. He also gets into the evidence of a return premium in the four factors highlighted below.
This makes the case for mid cap stocks based on their higher quality and liquidity than small caps, along with greater growth potential and lesser concentration of returns than large caps.
Source: Mawer Investment Management Ltd. and FactSet. As of September 30, 2023. Small cap by the Russell 2000 Index, mid cap by the Russell Midcap Index, and large cap by the S&P 500 Index.
Bonus Content
Is it a good time to invest when stocks are at all-time highs? No. It’s a great time. Link
Tech analyst Benedict Evan’s publishes a presentation exploring macro and strategic trends in the tech industry every year. For 2024, it’s titled ‘AI, and everything else’. Link
Drew Dickson wrote about the relationship between share prices and business fundamentals. Link
Cowboy Ventures’ Aileen Lee coined the term “unicorn” over a decade ago. This piece analyzes the 532 companies in the 2023 Unicorn Club. Link
Is it true that when the U.S. sneezes the rest of the world catches a cold? Link
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Idea Farm readers can join 10 East with complimentary access here.
Podcasts
 2/17/2024 - 90 minutes | David Weisburd, Mark Suster, Samir Kaji & Jason Calacanis discuss the 2024 venture market, selling secondaries, IPOs in 2024, & more. |
 2/23/2024 - 52 minutes | Morgan Stanley’s Mike Wilson talks about Nvidia & AI, finding relative value, similarities to the late 1990s and more. |
 2/17/24 - 115 minutes | Fairholme Fund’s Bruce Berkowitz talks about how he changed his investment strategy during his career, why he thinks of cash as “financial valium” & why 80% of his fund is in one stock. |
What Else Is Happening
Did you miss last week’s email?
Meb Faber spoke with Tim Ranzetta about his mission to ensure every high school student in the U.S. takes a personal finance class by 2030.
Deal of the Week
YCharts just launched their latest resource outlet: The Advisor Pulse. This LinkedIn Newsletter is your direct line to staying ahead of the curve on crucial market and economic trends, complete with actionable insights to share with your clients.