Last updated: November 16, 2024
You find here the part 4 of the Stock Series by JL Collins.
Notes from MP
Exit the stock market?
I would tone down lesson number 3 from JL.
It’s actually very hard to know if we’re facing a big ugly event like in 1929 with the Great Depression (what with the incessant chatter from social media and the news).
Therefore, unless you’ve just entered the stock market (and risk spending decades recovering from it), then I would recommend that you stay in the market for the long term.
Furthermore, if you’ve just started investing in the stock market, there’s a high chance that you’ve only got a few thousand CHF invested and not hundreds of thousands. So it’s worth staying invested whatever happens, in my opinion.
Hyperinflation in Switzerland?
JL piqued my interest with the subject of hyperinflation: have we ever had this in Switzerland?
I did a bit of research and, no, we’ve never had hyperinflation in Switzerland.
When I look at the list of cases, it’s clear that it’s closely linked to serious events like war, and that it’s rare (only 56 according to academic literature).
So, it’s interesting, and if we do experience it one day in Switzerland, well, we’ll adapt, as usual! But we’ll be ok, hey ;)
Photo credits: jlcollinsnh.com