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Market Comment - September '18

September 2018

Investing in shares may lose you all or some of your money. Past performance is no indication of future performance. Some of the shares recommended here may be small company shares, which can be relatively illiquid and hard to trade and this makes such shares more risky than other investments.

In 1978, Charles Kindleberger published his classic Manias, Panics, and Crashes. He believed that markets work well on the whole but occasionally get overwhelmed and need help, in particular to prevent severe damage to the wider economy. At such times, central banks and governments have a role to intervene, was his thesis. Hardly controversial today, yet at the time this was regarded as a provocative challenge.In 1987 the Kindleberger view began to take hold when a young Alan Greenspan arrived to head up the US Federal Reserve just 3 months before The Crash. After the markets closed on Black Monday he publicly announced that the Fed was ready to pump money into the economy to stop the Wall Street rout. He was publicly minded to sav ...

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With small companies there is an above average degree of risk compared to buying blue chips. Please be aware that we have not assessed the suitability of any of these investments for you. The newsletter simply states a personal view and diarises the editor’s investment decisions. Please speak to your stockbroker or other qualified individual to ascertain whether any of these companies mentioned would form useful additions to your own portfolios. Past performance is no indication of future success.

All material on this website is protected by copyright. You may use Information retrieved from the www.scsw.co.uk website for your own personal non-commercial use which means that you may not sell or copy this information to any third party without prior written consent. ISSN 1358-183X

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