Why housing bubbles can last such a long time and what to do if you really need or want to buy a house in a frothy market. In this episode you’ll learn: How big is the housing bubble in Australia and Canada.Why home prices can’t disengage from economic gravity in terms of household income and rent.What drives housing price bubbles.How algorithms have changed stock investing and increased risks. Show Notes Episode 81: When Booms Turn To Bust Australia Residential Property … [Read more...]
MNY114 Plus: Is Indexing Too Big, Currency Hedging and Bid/Ask Spreads
This week on Money For the Rest of Us Plus we look at the size of the indexing market and discuss whether there are too many indexers and not enough active managers. We also look at why hedging Canadian and Australian equity exposure actually increases volatility. I discuss what is a reasonable bid-ask spread when purchasing an ETF. And finally, we look at Canadian REITs and MLPs. The episode length is 26 minutes. … [Read more...]
81: When Booms Turn To Bust
What are the early warning signs a boom has turned to a bubble or the boom / bubble is about to burst. Case study: Australia. Daintree - by J.D. Stein In this episode you'll learn: How Australian economic growth and debt levels compare to the U.S.How to use purchasing manager indices as an economic warning signal.What are terms of trade.What can the government or central banks to defuse bubbles.What can individuals do when they see signs that a boom is weakening.What … [Read more...]
