Market Dynamics: Retail vs Institutional Investors

This chapter examines the contrasting behaviors of retail and institutional investors in today's market, emphasizing the risks associated with retail FOMO amidst institutional selling. It explores the implications of interest rate changes, high tariffs, and the influence of major treasury holders on U.S. markets, while critiquing the long-held belief that deficits are inconsequential. The discussion also highlights the declining effectiveness of passive investing, urging investors to adapt their strategies in a rapidly evolving financial landscape.