|Bid||0.00 x 1100|
|Ask||0.00 x 1100|
|Day's Range||39.46 - 39.61|
|52 Week Range||39.16 - 48.51|
|PE Ratio (TTM)||N/A|
|Expense Ratio (net)||0.95%|
The U.S. nine-year bull market was threatened by list of woes in recent months. After inflation fears, faster-than-expected rate hike concerns, and the tech rout, the rounds of sanctions in a tit-for-tat situation between the two largest economies, United States and China, are intensifying fears of a full-blown trade war.Source: Shutterstock
Lastly, all quarter long, I reiterated almost daily to you that while large-cap tech stocks remain a market growth segment, there was increasing risk of a correlated profit taking move. While we have yet to see a lower low to confirm these lower highs, risk is certainly higher if only marked by the higher volatility range we have seen so far in 2018.
The stock market is now the most overvalued it has been in history, save the period leading up to the 1929 market crash. Of course, that’s what happens when central banks around the world flood the markets with $14 trillion in liquidity, crushing bond yields and forcing everyone into riskier assets to chase yield. It’s called a market crash.
One of the central tenets of my stock advisory newsletter, The Liberty Portfolio, is to recognize that almost all portfolios – professionally and private managed – are broken, because they fail to adequately account for risk. A hedge can help you mitigate that risk. There is no number you can point to, in the same way you can point to an energy rating for an appliance, that indicates how much risk you are taking in your diversified portfolio.