What caught my eye this week.
Afternoon everyone, how are you finding the heatwave?
Portent of doom? Chance for a glass of vino in the garden at 8pm with your feet up pretending you’re in the Med?
Maybe a bit of both?
Actually, don’t answer. The usual suspects (or at least their social media bots) have moved on from blaming the EU and Covid denial to calling climate change a hoax. I’d rather they did so elsewhere.
At least shares have been recovering nicely.
The market seems to think it has sniffed out inflation rolling over, and in that environment future earnings become more valuable again.
I expected this – alas six months and one invasion ago – so I’m predisposed to agree. But when you look at the energy bills forecast for next year it’s going to take some believing. And another shock (or maybe yet a new variant in the pandemic) would surely set us back again.
Still as the graph below shows, it’s not unprecedented that a disinterested pound-cost averaging passive investor could get to December, do their annual check-in, and assume 2022 was a nothing happening year.
The rewards of passive investing stretch far further than saving a few quid on fees, right?
Have a balmy weekend.
Bear market recovery: how long does it really take? – Monevator
What happens to your credit score when you apply for a credit card – Monevator
From the archive-ator: wealth preservation strategies of the rich – Monevator
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Drought declared in several parts of England – Sky News
UK economy shrinks as stagflation looms… – Yahoo Finance
…so what would a recession mean for your money? – Which
House prices still rising despite falling demand, says RICS… – Sky News
…with London prime property near top of global league for future gains – ThisIsMoney
‘Crying CEO’ criticised for tearful LinkedIn layoffs doubles down – Independent
(Click to enlarge)
A [US] 60/40 was positive for the rest of the year after 9/10 worst first-halves – via Meb Faber
Energy bills mini-special
UK energy bills ‘set to cost two months wages’, ministers warned – Guardian
Bills will top £5,000 next year, says energy consultancy – Yahoo Finance
A quarter of UK hospitality outfits may close due to high energy bills – ThisIsMoney
What is Don’t Pay UK and will it work? – ThisIsMoney
Products and services
Free tool that guesstimates whether it’s worth paying up to remortgage early [Tool] – Nous
Delivery text scammers that go on to pose as your bank – Which
Open a SIPP with Interactive Investor and pay no SIPP fee for six months. Terms apply – Interactive Investor
Freetrade introduces new ‘trading breaks’ feature that prevents buying for 24 hours – Freetrade
Packet fresh US ETF meant to capture overnight anomaly already flunking – Advisor Perspectives
Homes for sale with price drops, in pictures – Guardian
Comment and opinion
What do investors believe they can do but can’t? – Behavioural Investment
Investors need some cosmic insignificance therapy – A Teachable Moment
Six key issues for expats returning to the UK [Search result] – FT
Should you die with zero? – Of Dollars and Data
Looking for light at the end of a very dark tunnel – David Smith
Inflation debates: YoY vs MoM – Pragmatic Capitalism
What’s the bull case? – The Irrelevant Investor
Five heavy-duty finance and investing books for your holiday reading – Humble Dollar
Debt denominator blindness – A Wealth of Common Sense
Treats and rewards – The Escape Artist
Chasing the fad – The Best Interest
Wade Pfau on the risks of retirement today [US but relevant, podcast] – Morningstar
Crypt o’ crypto
The economic limits of Bitcoin [PDF] – SSRN Paper [h/t Abnormal Returns]
Who buys cryptocurrency? [Trigger warning: it ain’t pretty] – TEBI
What NFTs can learn from art and luxury – Uncharted Territories
Naughty corner: Active antics
Selling Telecom Plus after recent share price gains – UK Dividend Stocks
How to own a fraction of a Warhol [Search result] – FT
Value spreads have gone back to tech bubble highs [Graph] – AQR
Kindle book bargains
The Ride of a Lifetime by [long-time Disney CEO] Bob Iger – £0.99 on Kindle
Anthro-Vision: How Anthropology Can Explain Business and Life by Gillian Tett – £0.99 on Kindle
Money: The True Story of a Made-Up Thing by Jacob Goldstein – £1.19 on Kindle
Simple Savings Hacks for a Happy Life by Holly Smith – £0.99 on Kindle
Britain’s notoriously wet and cold climate is changing, and you won’t like it – The Conversation
Rainwater globally now considered too toxic for consumption, study finds – Vice
You can’t reverse the ESG trend anymore – Joachim Klement
Off our beat
Rare skills – Morgan Housel
Siestas: the pleasurable secret to dealing with extreme heat – Slate
Quiet quitting: why doing the bare minimum has gone global – Guardian
Beach vacationers are doing it wrong – The Atlantic
Remote work and the rise of the side startup – Vox
What is Elon Musk? – New York Mag
Brexit stage left: British band tells of farcical barriers encountered on EU tour – Guardian
Stop ghosting and start saying no – HBR
Mentor – Indeedably
Humans have always been wrong about humans [A few weeks old] – Wired
“The big picture, on proper examination, is actually a vast mosaic of microscope scenarios, all intense and urgent for those lonely millions who struggle to inhabit them.”
– Frederick Taylor, The Downfall of Money: Germany’s Hyperinflation and the Destruction of the Middle Class