Hey guys, it's sasha, the stock market is panicking. Everyone is running around waving their hands above their head because their gross stocks have lost 60 percent of their value. Long-Term investors, who have never been through a market downturn before become paper-handed, weenie babies and sell everything. Weenie babies manipulate this market and a lot of people out there are telling you that it's going to get much worse, so you really should sell.

You should get out of the stock market, inflation is going up, interest rates are going to go up to try and catch inflation, energy prices are skyrocketing and apparently there is a war brewing. It is no surprise that in a time like this, there are a lot of very concerned investors. It is very easy to consume all of this noise and determine that you've lost the game of investing, so you might as well just take whatever remaining money you have on the table and leave you've already lost half of your money in grey stocks. So you might as well save the other half before that disappears as well, because remember how amazon lost 95 percent of its value during the dot-com crash and who says that tesla palance here amd fiverr and all the other growth stocks out.

There are not just the new pets.com, there is a lot of people out there telling you that all gross stocks are grossly massively overvalued and we are in a huge bubble. Elon musk is apparently a fraud. Tesla and other growth stocks are posting fraudulent accounts with made up numbers. The buffett indicator is telling you that we are about to have the biggest stock market crash ever if you are feeling concerned about the future or anxious about your investments, i am not surprised.

The amount of noise out there is mind-blowing literally over time. This noise that keeps on coming grinds you down. It makes you make irrational decisions that suddenly seem rational, because the noise has a habit of swapping those definitions, and here is the important message that i want. You to take away from this video - it is just noise that is all it is.

The stock market does get influenced by that noise. Don't get me wrong, yes, influenced by the noise, a lot! That's why we have corrections, market crashes, market booms, certain sectors going up and down. That's why we have a massive growth stock crash right now: company valuations, don't just gradually rise over time in a straight line and the moment that we see a downturn, the noise gets louder. You just have to look in the comments section of my videos to see a lot of that noise from the keyboard warriors but sasha.

You said that you think tesla is a good investment, but it's down 50. You need to go to prison dislike unsubscribe. I have reported you to the authorities. I literally get this sort of comment multiple times a day, replace tesla with any other company i've ever discussed on this channel.

I am guessing that you are seeing and hearing a lot of similar noise and when you hear noise that confirms the fear that you already have when you're seeing your investments drop in value, it can feel tough, it's difficult. I get it, but here is the thing: noise only affects the short term noise happens and then it just dissipates into the air, and it means absolutely nothing in 10 years time it's gone. The only thing that matters in the long term is numbers numbers, don't lie, numbers don't take size and numbers. Don't play pretend in this annual letter to berkshire hathaway shareholders.

In 2004, warren buffett wrote the now famous line of be fearful when others are greedy and greedy. Only when others are fearful, you've probably heard that line before, but it is something that is incredibly difficult to actually do in practice because being greedy when others are fearful means being greedy. When there is a lot of this negative noise. And the really interesting thing is that this quote is actually taken out of context, because there is a lot more to what warren buffett said in that letter.

Let me read you the three paragraphs that end with that quote: in one respect, 2004 was a remarkable year for the stock market, a fact buried in the maze of numbers on page 2.. If you examine the 35 years since the 1960s ended, you will find that an investor's return, including dividends from owning the s p, has averaged 11.2 percent annually well above what we expect future returns to be. But if you look for years with returns anywhere close to that eleven point, two percent say between eight percent and fourteen percent, you will find only one before 2004.. In other words, last year's normal return is anything, but over the 35 years american business has delivered terrific results.

It should therefore have been easy for investors to earn juicy returns. All they had to do was piggyback corporate america in a diversified, low expense way. An index fund that they never touched would have done the job. Instead, many investors have had experiences ranging from mediocre to disastrous.

There have been three primary causes: first, high costs, usually because investors traded excessively or spent far too much on investment management. Second portfolio, decisions based on tips and fads, rather than on thoughtful quantified, evaluation of businesses and third, a start and stop approach to the market marked by untimely entries after an advance, has been long underway and exits after periods of stagnation on decline. Investors should remember that excitement and expenses are their enemies and if they insist on trying to time the participation in equities, they should try to be fearful when others are greedy and greedy. Only when others are fearful, this quote could not be more appropriate.

At the moment. Investors are happy to invest in a bull market when everything is going up, but they don't invest in a bear market when the same stocks are selling for 50 less, it doesn't make logical sense. Investors chase ridiculous returns by investing in highly speculative assets, with investments not being based on any meaningful analysis. We see this all the time.

Instead, people say that they believe in the company or this sector will do well. Therefore, the company will do well - or i have this hunch or i believe in the ceo and the last bit of that quote is the most important. The main point is actually different to what people often think it says. Warren buffett is saying that it is critical to invest during the tough times just as much as investing during the good times trying to time the market is a bad idea, but if you do decide to try and time it, then you should remember that doing the Opposite of what the market sentiment is doing is the smart strategy, and he is right if you don't buy stocks when they are on discount and only buy when they are selling at full price.

Your investing returns on average over time are going to suffer. If you thought a stock, like fiverr, for example, was a good investment at 170. Why do you suddenly think it is a bad investment? Three months later at 69, sure every stock has risks and the macroeconomic environment can affect company performance. A downturn in the market can mean lower revenues, lower growth, etc, etc.

But, presumably you thought about those same risks at 170 as well. Right do rising interest rates change your thesis on the growth rate for fiverr in 2027.. Does inflation being not point eight percent higher, since that 170 dollar mark make you feel differently about fiverr's business model? Do you think the risk of russia invading ukraine means there will be less freelancers in pakistan doing work for american companies by all means? If you think the numbers have changed, you should update your model and your price target are knacked accordingly sell. If your view of the long term optics has changed, but if the fundamentals of the business you are investing in, have not changed, or at least not substantially.

If the fundamentals are showing a robust, strong, long-term outlook, in your opinion, why do you think a company is a bad investment when it's share price is down 60 percent? Let's say that you are investing in a company like tesla, and you have done your analysis. You believe that you have a reasonable estimate of three thousand dollars for the target price and you feel that the market is significantly underestimating tesla's, true value. Every quarterly result that you see seems to support your thesis, but the share price just isn't moving. Should you abandon ship and sell because some idiot on twitter said something or do you look at the numbers and feel even more confident, because the evaluation is being supported more and more by the new data that you are seeing and yet you can still buy shares At what you feel is a big discount if tesla was to go to three thousand dollars, would you feel bad about investing at one thousand two hundred dollars, because you could have also invested at 150? Retrospect is a very powerful tool, but presumably you are only investing in a company because you feel you have a reasonable expectation of that share price reaching that target price.

So you have a reasonable expectation that this retrospective analysis will be exactly the analysis. You will be looking at at some point in the future, so here is a top tip that doesn't need a disclaimer, because this is my advice: do not listen to noise, don't listen to the wind of sentiment and change your direction on investing philosophy. Every day. Do analysis and base your financial decisions on numbers risk assessments and on data numbers always win in the end, no matter how much noise people make in the meantime, if you found this video useful, please don't forget to smash the like button for the youtube algorithm.

Thank you so much for watching. I really really appreciate it and, as always i'll see you guys later, you.