(Thread) Recently someone posted a question regarding how to "hedge for #inflation" on one of the most popular #investment subreddits (r/stocks) and the response to this question totalled well over 400 comments. Of these, only 5 mentioned precious metals and 4 mentioned energy ⤵️
The most intriguing part? Only 1 of these comments gained any sort of traction (regarding $XOM) and it was met with the plenty of skepticism. Which is very odd, considering that the energy spectrum has historically been one of the very best asset classes to hedge for inflation ⤵️
The same goes for PM's, with both #Gold and #Silver right now not getting any sort of attention from the broad retail investment crowd. Reddit is a great way to get an idea of what the proverbial 'flavor of the day/month' is and right now, PM's and energy are not on the menu 🍽⤵️
This includes #uranium, which was mentioned a whopping 1 time. The omission of precious metals and energy related equities from the aforementioned 'menu' is, in my opinion, a clear sign that the bull market in both of these asset classes is still in its early stages ⤵️
This is something we see time and again when it comes to investing, where a combination of recency bias and the dismissal of cyclicality clouds decision making. Investor psychology does not change and going against the prevailing trend can be a recipe for strong outperformance ⤵️
Those who invest in these underappreciated cyclical assets before the broad equities market and the majority of retail investors take note, will be the ones to benefit the most from what I believe will be a great bull market in the years ahead. Be early, be right and sit tight ✅
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