ASX Shares Short term COVID-19 opportunities in the stockmarket

I admire your enthusiasm but I think you need to switch off for awhile and just let the market do it's thing. A week ago you had a price target of $6.20 for STO, at a personal level that should serve as a warning. as Keynes once said, "markets can stay irrational longer than you can remain solvent".

Whether we like it or not, it's quite possible that this is the end of a near decade long equities bull run and not a COVID-19 blip. If you have access to the level of funds you refer to in this thread and the market really has turned a corner then you're going to have months not weeks to execute a measured accumulation strategy.

 

Mate im in no rush and i will be listening to a team, not going off my own instincts. Thats for sure.

 

Thomas Cook went under last year... maybe they had too many expenses in their business, but they were around since the 1800's and it's something to think about.

 

I'm also looking to accumulate more Santos at $1.20-1.40 but might put it in NDQ instead.

 

Are you concerned about their long-term prospects in a low oil price environment? Personally I wouldn't buy Santos. They are pretty much at break-even at the current oil price, if it falls any lower they will start bleeding. They also have about 3 1/2 billion dollars worth of debt to service. There's a good reason their share price got so hammered today.

The other thing is the risk of them becoming a discount takeover target. If the share price keeps falling and especially if they get into any sort of trouble with financing, you can just see some of the big players like Woodside, BHP etc trying to mount a takeover offer on them, you may be forced to sell your shares at a price you're not happy with.

Not trying to be negative, could just as likely be a great buy, just playing devils advocate

 

Would take a very brave soul to be jumping into 'any' markets currently... Given the uncertainty around the depth of contagion, it is unlikely that equities will pare back their losses in a hurry - they would want to see the peak of contagion and significant evidence of it receding before we see any sustained recovery..

btw I like the quote bookending this article on FT.com on the opening of UK & European markets..

Subscribe to read | Financial Times

“..If you ever wondered what would happen if someone lobbed a hand grenade into a bloodbath, now you know. It’s not pretty,” said Gavekal Research analyst Tom Holland."

FTSE 100 also on track for its worst day since GFC

 

Different topic, you know where I would love to be a fly on the wall - Berkshire Hathaway boardroom. I reckon Warren Buffet would love to get away one more big buyout with his massive cash pile before he retires. No doubt they have been sizing up companies in the good times and would have their shortlist ready to go.

 

Tbh, I wont be picking any companies. I will be giving the final OK to a list of companies presented to me, and the reasons why etc. Then i'll do my own research on them. But I wont be just picking a company willy nilly. I know enough to know I am not a stock person picker when it comes to large sums of money. In the past i've done relatively fine with stocks I've picked (pure luck) and a much smaller amount of capital invested.

I will be following a very similar approach I have with real estate and business in general.

1. Assemble (engage) a team with a proven track record which come well recommended by family.
2. Discuss strategies for the goals I have in mind with my personal risk tolerance, overall portfolio make up and market exposure (in this case sector exposure)
3. Evaluate options put forward and risk mitigation strategies presented.
4. Execute the best path for my risk profile and goals.

 

I reckon Warren will make a handsome sum from this virus.

 

So will many!

Perspective is always a good thing.. this is panic selling right now, and there will be panic comments all over the place that this is the end of all humanity and the economy for decades, etc, etc. Even articles in the mainstream media about how bad the economy will be start popping up, and will continue to feed it all.

If you truly believe that, money and most assets are all now worthless anyhow, instead stock up on guns, ammo and tinned foods! Ok, if that sounds a little crazy, then maybe the above seems just as silly.

Heard it all before right in the GFC and for a few years afterwards. The bears love this, it's feeding time! They get to say they are finally right, listen to me, there is worse to come, keep selling.. and they might be right.. for a little while, but they will continue to voice off even when things start to turn the other way, costing you opportunities on the rebound as well.

 

That's if the virus doesn't get him first.

 

Datto...was that you I saw at between the McDonalds and Swimming pool in Emerton.....selling toilet paper at $5 a roll from back of your Torana. Could not believe all the natives queueing....mate you are the Richard Branson of the Druie! You Legend youse!

 

Warren Buffett heads into Berkshire's big weekend with stock underperforming over long term

The investors getting agitated last year are probably thankful that Buffett kept to his long term philosophy of holding excess cash.

 

Listen to this^^

It is wayyy too early to be doing any long term investing, also "advisors" will say whatever they need to as you pay them commission but they are not liable for your money in any way.

I highly suggest you do more research into why the markets are crashing, its not because of fears of corona virus, the writing was on the wall months ago, corona is just a catalyst.

As a reference, look at how long the GFC it took to go from peak to the lows, it's approx 2 years.

Anyway, there will be plenty of opportunities around and fortunes will be made for the patient.

 

Any chance you can post up the selected company's from your advisors? Will be interested to see what they suggest, and let property chat pull it apart to make sure they have your best interest.

 

...and wealth will be lost by the impatient....and inexperienced...you knoz the ones who still believe that Brissie going to boom now.....

 

Do you feel this is a gfc type event? I understand it's currently the unknown, but I can't see this playing out longer than a year. Do you feel this market deserves a drop way more than 20%?

 

I'm happy to post the companies I eventually invest with.

 

It's lost 20% in the last 2 weeks lol, markets are definitely going down further.
There will be months of bad news to come still even if you bring out a vaccine today because so many industries already affected and it will trickle down.

Also, do some research into the US equities market, look at the FED repo rates from Sep 19, look at US Corporate profits from 2018, look at all of the major PMI's, there are hundreds of signs that this is the top.

 

Still early days


Dow Jones Crashes So Hard They Might Close the Stock Market

• U.S. stock futures were halted overnight after a 5% fall triggered a circuit breaker.
• If the brutal selling continues, trading may be briefly halted again after a 7% drop and 13% drop.
• If the market falls 20%, all trading will be closed for the rest of the day.

Trading on U.S. stock futures was halted overnight as the Dow Jones Industrial Average (DJIA) futures plunged 5% or 1,255 points. The stock market now looks set for a disastrous open at the bell on Monday.

Dow Jones Crashes So Hard They Might Close the Stock Market