Happy New Year 2022!
Dear Family, Friends and Partners,
Since the Great Reset started in 2020, disruptions are aplenty and no end seemingly in sight. These are my key observations:
1. Coronavirus continues to mutate faster and infection rate gets higher with each wave. An early glimmer of hope is that the rate of hospitalization and fatality are dropping as the vaccination seems effective. But people are getting tired and yearning for a return to normalcy. The displacement has been huge but I am afraid the long term implications and costs are still being tallied. Healthcare crisis lingers on.
2. Climate change causing extreme weather events. These unprecedented events have destroyed homes and claim lives, ravaged worldwide communities. Last year was regarded by scientists and environmentalists as pivotal in the global effort to take action on climate change. Stark warnings and alarming forecasts were issued. It is obvious the frequency has quickened and the degree of damage is getting higher. It seems we have reached the point of no return and are very ill-prepared for the future.
3. Global geopolitics are on a collision path and intensifying. Political ideologies are also clashing. We are witnessing Liberalism vs Conservatism, Democracy vs Communism and Capitalism vs Socialism. Some countries are imposing their ideologies on others and using human rights as an excuse to interfere in other countries’ internal affairs. Cold wars are back and hot wars might follow.
4. Disruptions have been enormous and can only get bigger. Technologies have helped us to weather the crisis. Previously, we thought technologies have created more disruptions (ie unemployment and redundancy) than improvement in our lives. Going forward, the trend can only accelerate and be more dramatic. It is imperative that we are prepared because this is life changing.
5. Despite the doom and gloom, some stock markets are doing great, especially the developed markets. We have the fastest gain of all bull markets in history. This is the beauty of global investing. You can diversify and invest where the opportunities are. We have been educating people the importance of global diversification and we continue to emphasize this.
These are what keeping me up at night. I hope you are having better sleep than me. We had anticipated the past disruptions and we are prepared for the ones coming. In fact, we are ready to profit from them. We hope you will be part of us in this journey. If we can be of service to you, please let us know.
Happy Chinese New Year! May you profit bountifully from the coming disruptions and opportunities!
Best Regards,
Scott Lim
Founding Partner
4th February 2022
