7 Fundamental Truths to Digest
- People are going to Live Longer.
- Lifestyle Inflation will be High. This is not the normal inflation we read about but the lifestyle inflation that impacts us.
- Interest Rates are likely to remain Low.
- Thus to beat Lifestyle Inflation, Asset Allocation to Equity will need to be higher than before.
- The world will continue to surprise everyone. In short, it is not a Small world, it’s a VUCA (Volatile, Uncertain, Complex and Ambiguous) world.
- Indian Equity Indices will always be expensive (except during sharp temporary declines) because a lot of money is chasing the same set of stocks. A lot of companies are choosing to stay private thus supply of high-quality companies in the market seems to be limited.
- Finally, Expect the number of Bullshitters and their strategies (sorry stories) to go up. Protecting yourself from their stories and theories will be the key to investing success.