🥂 A Year full of Volatility & Inflation.
Good afternoon friends and investors.
First of all, Happy New Year’s eve! This will be the last post of 2022, and what a year it has been.
We went from 0 → 300 subscribers on Money Matters, and I cannot thank all of you enough.
Big things are coming in 2023.
For the last letter of the year, we’re gonna do things a little bit differently.
Highlights:
Year in Review
Who Lost the most??
Bold Predictions
S&P 500
It’s not surprising, but the tech-heavy Nasdaq has had its worst year in performance since 2008.
Amazon, Meta, and Tesla have each lost over half their value.
But Why?
Well, if you have read my past letters, you already know that tech stocks, particularly, are the most affected by changes in interest rates.
Businesses look to cut costs, employees want more money due to inflation, and the flywheel continues.
On the bright side, Health care and especially the energy sector have made quite the moves in 2022. (which pays off if you are diversified)
One thing I am thinking about heading into the new year is oil consumption. If there really is going to be a global recession, then many of these oil-focused companies could have a long way to fall.
Which Billionaire lost the most?
Total losses in 2022:
Elon Musk: $132B
Jeff Bezos: $84.1B
Mark Zuckerberg: $80.7B
Bill Gates: $28.7B
Notice how Warren Buffet isn’t on that list?
People laughed at him in 2020 & 2021 when these growth companies exploded.
But look, whos laughing now.
It pays to be diversified.
2023 Predictions:
Regulation for the crypto industry will be hot and heavy but will spark another bull market in Q3 of the new year.
Travel will return back into full swing, and airfare costs will go down by at least 35%
The real estate market will find its equilibrium at the end of Q3 into Q4. Meaning prices will bottom, and mortgage rates will top and decline.
Inflation in Q4 of 2023 will hit 4.5%
TikTok gets banned across the entire United States.
I know that some of these are bold and unlikely predictions.
But, as Coinbase said in their super bowl ad. Fortune favors the bold.
These, of course, are only my opinions, and you shouldn’t take them as investment advice. I am only one person, and I don’t know everything.
That’s all I got for everyone in the last post of 2022!
I wanted to thank everyone again for reading and subscribing; it means the world to me.
And to prove it, I have some exciting products I will be releasing soon and giving all of you for free :)