Long-term investment in Japanese stocks?
Black Monday, the collapse of the IT bubble, the Lehman shock, and the recent coronavirus shock.
Historic crashes of over 30% have also occurred 8 times in the past 100 years in the US stock market.
However, there is a track record of US stocks (S&P 500) continuing to hit new highs since all of those crashes.
I think this is the reason why we should manage US stocks over a long period of time to form assets.
Currently, it is in the news that Japanese stocks have updated their high price after the bubble, but the high price of the bubble has not yet been updated.
After all, the situation where Japanese stocks have not yet been able to update their high at the end of 1989/12 for over 30 years has not changed.
Of course, the current rise in Japanese stocks will continue, and the highest price may be hit for the first time in 35 or 40 years.
Historic crashes of over 30% have also occurred 8 times in the past 100 years in the US stock market.
However, there is a track record of US stocks (S&P 500) continuing to hit new highs since all of those crashes.
I think this is the reason why we should manage US stocks over a long period of time to form assets.
Currently, it is in the news that Japanese stocks have updated their high price after the bubble, but the high price of the bubble has not yet been updated.
After all, the situation where Japanese stocks have not yet been able to update their high at the end of 1989/12 for over 30 years has not changed.
Of course, the current rise in Japanese stocks will continue, and the highest price may be hit for the first time in 35 or 40 years.
However, “this time is different” is a danger signal when it comes to investing.
If long-term investment is assumed, I would choose US stocks, which have already continued to update their highest prices since all crashes so far, rather than Japanese stocks, which have no track record of breaking the highest prices.
If long-term investment is assumed, I would choose US stocks, which have already continued to update their highest prices since all crashes so far, rather than Japanese stocks, which have no track record of breaking the highest prices.
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アイラ✚ : Thank you for your hard work.
くぼどん : If the current policy remains the same, I think long-term investment in Japanese stocks is risky considering the average age and population decline.