TSX:AX.PR.E - Post by User
Comment by
BlueJay2020on Apr 12, 2024 12:01pm
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Post# 35985879
RE:RE:Macro vs. Micro Economics
RE:RE:Macro vs. Micro EconomicsThe way I see it is probably very simplistic. If you're a macro guy, you really have no business investing down at the individual stock level - you'd be much better off index investing and trying to time the market, or at the very least go for thematic ETFs. There are too many variables down at the stock level and in fact I'm struggling to work out when a pure macro guy would ever buy an individual stock.
If you're a micro guy, the opposite applies and there's little point in investing in ETFs (of course you can have a mix between the two, and you probably should).
Where I see the value, and why I invest, is when the macro and the micro are temporarily diverging. This is really quite easy to spot - the difficulty is investing when the divergence is at it's greatest (or close enough too). I didn't achieve that with office reits and was underwater for a while as a result. I'm now above breakeven in totality, and with good prospects to make $100 to 200k profit across them all - eventually.