For many years, De Goey says, retail traders have been enabled by a long-drawn-out bull market. That was supercharged over the past three quarters of 2020 and all of 2021, when ultra-low rates of interest warped markets and raised folks’s expectations of returns.
The record-high inflation and aggressive fee hikes of 2022 have thrown that pattern into reverse. Whereas the simultaneous decline in shares and bonds has already battered numerous portfolios, De Goey is anxious about these traders whose recency bias is maintaining them mentally caught within the heady post-Covid restoration interval.
“We have by no means actually skilled a very lengthy, deep bear market, at the least not in North America. And we predict we’re prepared,” he says. “However for a lot of traders right now, the worst downturn they’ve needed to endure was the five-week interval after Covid hit in 2020. … They suppose they’ve gone via dangerous issues, when in reality they’ve simply had minor setbacks.”
Bullshift has been in shops for simply over three weeks, and it’s already garnered consideration from throughout the monetary companies business. However after 20 years of expertise within the ebook enterprise, De Goey has realized that most individuals don’t even have or take the time to learn, so he’s launched a podcast to amplify his message.
“I’m hoping the podcast format will make the message extra accessible,” he says. “As a substitute of simply listening to me, folks can hearken to different consultants discuss in regards to the themes of the ebook, and listeners can decide and select which audio system are probably the most fascinating to them.”