Financial Times perspective: The ‘Zuck shock’ is a cautionary tale for equities
Katie Martin's piece republished below offers some excellent insight into how big money is viewing current volatility in stock markets. Especially in shares whose ballooning prices made investment geniuses of anyone who has ridden on their very wide coat-tails. The FT's Markets editor, who was previously at our other global partner the Wall Street Journal, concludes when big elephants fall over, they make a mess. Small elephants, too. Like our share portfolio members Netflix and Spotify whose share prices dropped sharply last week – one because of a disappointing outlook; the other after "progressives" attacked its most popular podcasting host. Ms Martin's article re-iterates how important it is to remind ourselves why we decided to become a co-owner of the company in the first place. This provides a base from which to weight a short-term price influencer against one's own investment case. That's the best possible defence against being caught up by Mr Market's mood swings. – Alec Hogg
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