In today’s Exponential Investor:

  • The Minsky Moment
  • How to protect your backside
  • A key indicator for the end of days

Fatigue sets in. The pain of paper losses builds. Will it get better? Or have the good times past? Is it losses and pain from here?

There’s a sense of desperation and investor fatigue setting in. The wild moves in the markets over the last couple of weeks around the “Reddit stocks” seem to be settling down.

For every mega squeeze up, there’s a fast, rapid fall back down. The uninitiated get hurt. The “paper hands”, as they’re called, exit and burn their fingers, likely to remember forever and never trade the same again.

But that can be a mistake.

Reverting to the “norm” and remembering how it ends can be as damaging as the boom and bust itself.

What actually happens is that in times of a bust, you can clean up with the great players of the next cycle.

The whole market doesn’t need to bust to find these opportunities. In fact, we regularly see booms and busts across different sectors all the time.

Too often investors dismiss these busts and only remember how they ended. They rarely consider the development and innovation that continues and leads the next cycle.

In today’s podcast we discuss these cycles. We look at a few industries and sectors that have been overlooked after boom and bust periods. In particular two industries that have fallen out of favour with investors, but could hold huge potential.