If one is looking to invest, the regular considerations might include Amazon, Google, Apple—even penny stocks (as one philosophy suggests, where is there to go but up?). Yet recent research indicates the most lucrative investment might not be in gold.
He is an imposing figure, this walking man: fully six feet tall, naked, his stick-thin limbs disproportionately long, his metallic skin clearly showing the rough handiwork of his creator.
Even the name sounds sketchy: “shadow bank”. An apt moniker for a business that lends like a bank, earns interest like a bank, has a pleasant and confidence-inspiring name like a bank, yet isn’t exactly a bank—particularly when it comes to regulations, transparency, and risk control.
How to get rich quick: (a) find a cache of pirate booty buried underneath the shed, (b) discover a long-lost Picasso behind the camping gear in the attic, or (c) get in on the ground floor of the next social networking IPO.
Ahhh, those were the days. In 2008, the world economy was swooning. Stock markets on all five continents were in freefall. The titans of Wall Street were drowning in an ocean of red ink—as were several European countries. There, amidst the financial apocalypse stood Canada.
It was all Jim O’Neill’s fault. In November 2001, the chair of Goldman Sachs’ asset management division started talking about how the BRIC countries—Brazil, Russia, India, China—would soon outstrip the developed nations and come to rule the economic world.
That street vendor hawking Japanese-style hot dogs in front of your office tower. That place on Main Street that’s been selling carpet since forever. That multi-billion-dollar conglomerate that’s into everything from automotive retailing to radio broadcasting to apple juice. They all have something in common: they’re all privately owned. And they’re all making money hand over fist.
Death, taxes, and the lengths to which we will go to avoid either: three things of which we can be reasonably certain in this increasingly uncertain world. Such wisdom accounts for the ongoing popularity of, among other things, organized religion and offshore tax havens. It also goes a long way to explaining why health care may be the best investment idea of all time.
People invest for many reasons, but at the foundation of them all is the expectation of your investment appreciating over time; to get more money out of the effort than you put in. Someone has apparently forgotten to pass the memo on to bond investors.