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Comment by mmaunder | Hacker News Reader

2022 is going to be a rough year for many folks speculating on assets going up forever. It’s come-to-jesus time. Inflation is driving real wages down and stimulus is being withdrawn while we’re looking at 5 rate hikes this year. We’ll be very lucky if it’s just a flat year and even then some of these strategies will get killed by finance costs while trying to ride it out.

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assets will not go up every year, year over year, but I'm fairly comfortable in the fact that assets will go up over a 30 year period.

why do I think this? because the individuals and groups that control the financial market created it in such a way that they can make money from it. they make a lot more than me, but I can still hitch my cart to their engine and go along for the ride.

barring some huge financial collapse of global proportions, the likes that have never been seen except for maybe the bronze age collapse, or fall of the western Roman empire, I'm comfortable knowing that the assets I purchase today will be worth more in the far horizon (even adjusting for inflation) that they are today.

Would be interesting to hear your opinion on why you think certain assets will not keep going up.

Treasury bonds rates are low (especially once you consider shadow inflation), inflation is fairly high atm. Where can investors park their money for some return above inflation?

Bubbles pop. Pyramid schemes reach their conclusion. This is a natural cycle. Also starting to seem some bans on wasting electricity for useless number crunching.

But I guess the answer still stands, from investor(especially regular investor) point of view, where can you park your money that is likely to generate return on part/slightly higher than inflation, while not investing into too high risk assets? There are not many options available, ie t-bonds etc are not an option for many

Nft for moment. Something else soon. Land seems like the default dumping ground for excess money.

Lots of cities are having a high percentage of homes being owned by mega-corps.

Not sure if your suggestion of NFT is a sarcasm or you actually believe it. I haven't seen any studies on risk/potential return on NFT, but my bet would be that average person with some money that needs investing would lose, rather than make money.

NFT is the current scam. Of course I said that when bit coin was a few Dollars..

people said that in 2021, 2022, and for about decades prior...

There was a 30% drop in March 20202: it just happened to recover quickly once people stopped panicking about the lockdowns. There was no reason why people had to stop panicking though: it could have continued.

Also, in 2018Q4, the S&P 500 drew down by 20%.

Per Adams: DON"T PANIC.

Amazon lost 90% of its value once upon a time. If you can hold beyond a decade then you have nothing to fear.

And yet, here we are...

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