I don't think you should have shares in the industry if you work in the industry yourself, except for employee shares
If the industry is doing badly, you'll be hit twice (your job may be at risk and the shares will do badly)
If the industry is doing badly, you'll be hit twice (your job may be at risk and the shares will do badly)
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@GoldenShield A good point in itself!
However, the world doesn't work without insurance, especially not without reinsurance.
Reinsurers have again spent billions of euros on the forest fires, and losses were also made in Corona, but everything has recovered.
In addition, as insurance brokers, we take service fees from our customers, so we don't live on commissions, which means we don't care about market fluctuations in the insurance industry.
However, the world doesn't work without insurance, especially not without reinsurance.
Reinsurers have again spent billions of euros on the forest fires, and losses were also made in Corona, but everything has recovered.
In addition, as insurance brokers, we take service fees from our customers, so we don't live on commissions, which means we don't care about market fluctuations in the insurance industry.
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4Mes
@GoldenShield But then you can't own German shares, for example, if you have a property in Germany. Because if things go badly for us as a country, not only will the DAX fall, but also the value of your home, and you might even be made redundant.
So in itself, the idea is not entirely wrong and is also understandable. But regional problems are just as likely as problems in an industry. However, the risk may be offset by the knowledge advantage.
Users like @Dividenden_Monteur, for example, know the industry inside out. So why shouldn't he also invest in industrial stocks?
So in itself, the idea is not entirely wrong and is also understandable. But regional problems are just as likely as problems in an industry. However, the risk may be offset by the knowledge advantage.
Users like @Dividenden_Monteur, for example, know the industry inside out. So why shouldn't he also invest in industrial stocks?
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•@Soprano I understand your point, but what do you care about the value of your property if you live in it yourself? Besides, the German economy is so diversified. A large part of the turnover of DAX companies is not generated in Germany or how can you explain the DAX's constant new ATHs even though the economy here has been stagnating for 2-3 years
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4Mes
@Soprano I think Peter Lynch once described it in a similar way to you 👍.
Knowledge advantage through own experience and work. A specialist in oil production should not invest in pharmaceutical stocks, where he will probably never understand the business, and vice versa.
Of course, you can't finally spin it, otherwise some people wouldn't be able to invest anywhere 😅 but the idea is basically sound.
Knowledge advantage through own experience and work. A specialist in oil production should not invest in pharmaceutical stocks, where he will probably never understand the business, and vice versa.
Of course, you can't finally spin it, otherwise some people wouldn't be able to invest anywhere 😅 but the idea is basically sound.
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•@MarSido I'm completely with you!
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4Mes
@MarSido At best, you're an expert in a subject you don't work in. For example, I work for the state, but I'm the specialist for gaming stocks here :D
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•4Mes
@Soprano I hope you think of us all when you identify the next high-flying stock in the gaming sector 😄
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@GoldenShield because the German economy is hardly stagnating in real terms.
What is stagnating are our car manufacturers and all the rattles behind them, resulting in growth of just 0.4%, yet Germany accounts for ¼ of the GDP of the entire EU
SMEs are booming and mechanical engineering companies in particular have their books full to bursting...
What is stagnating are our car manufacturers and all the rattles behind them, resulting in growth of just 0.4%, yet Germany accounts for ¼ of the GDP of the entire EU
SMEs are booming and mechanical engineering companies in particular have their books full to bursting...
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•4Mes
@Dividenden_Monteur However, various economists would disagree with you on the last sentence, as full books are not an indicator of a booming industry. You can have as full a book as you like if you are in doubt about the materials, energy or skilled workers you need to process the orders.
Then you can end up going under even with the highest demand.
Then you can end up going under even with the highest demand.
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