Forget bonds and market uncertainty; like Buffett, I’m buying stocks!

first_img I would like to receive emails from you about product information and offers from The Fool and its business partners. Each of these emails will provide a link to unsubscribe from future emails. More information about how The Fool collects, stores, and handles personal data is available in its Privacy Statement. Renowned stock-picker Mark Rogers and his analyst team at The Motley Fool UK have named 6 shares that they believe UK investors should consider buying NOW.So if you’re looking for more stock ideas to try and best position your portfolio today, then it might be a good day for you. Because we’re offering a full 33% off your first year of membership to our flagship share-tipping service, backed by our ‘no quibbles’ 30-day subscription fee refund guarantee. “This Stock Could Be Like Buying Amazon in 1997” The FTSE 100 has taken a plunge into the red. The index, at the time of writing, has experienced its largest one-day fall in four years due to fears about restrictions on trade and travel from China’s coronavirus epidemic. Many investors are in panic mode, dumping stocks and buying so-called safe-haven assets like bonds and gold. However, the FTSE 100 had been climbing beautifully since 2016. Comprised of many quality companies, over time the index performed as expected. However, even good companies can be expensive and stock prices, like profits, cannot rise indefinitely.5G is here – and shares of this ‘sleeping giant’ could be a great way for you to potentially profit!According to one leading industry firm, the 5G boom could create a global industry worth US$12.3 TRILLION out of thin air…And if you click here we’ll show you something that could be key to unlocking 5G’s full potential…Warren Buffett maintains stocks will outperform bondsThis reality reminds me of a recent comment by legendary investor Warren Buffett in his annual letter to Berkshire Hathaway’s shareholders this year. Buffett maintains that stocks are likely to outperform bonds in the long run, especially if corporate tax and interest rates remain low.Fortunately, the UK Government has stated an intent to leave corporation tax rates as they are – at 19%. This is true at least for the short term. As for interest rates, the global savings glut shows no sign of abating, likely keeping long-term UK interest rates depressed.Warren Buffett is known as the Sage of Omaha for a good reason. He’s proven himself to be an oracle when it comes to investing. In the very same letter he promoted stocks, he also warned that anything can happen to stock prices, including major drops in the market. Whether he was thinking about coronavirus, I don’t know, but his point illustrates that his title is well deserved.You can’t forecast the future by extrapolating the pastBuffett says that you can’t forecast the future by extrapolating the past, and he would know. Therefore, a historic positive trend in the FTSE 100 is no evidence of a future one. As importantly, recent demand for FTSE 100 stocks inflated their prices – but were the intrinsic values of the constituent firms growing to match? Or were these great companies simply becoming expensive?Even great companies at inflated prices can become riskier investments. It’s likely that the high prices exhibited on the FTSE 100 recently became too much to bear for some investors once the market experienced the coronavirus shock. But a great company can survive short-term shocks, and a fair price can indicate a good buy.A great company could be a steal at a lower price    The value of an investment is related to the price you pay. The lower the price, the greater the potential gain. Now could be a good time to go shopping on the FTSE – there’s a sale on! Rachael FitzGerald-Finch does not own shares in any company mentioned. The Motley Fool UK has no position in any of the shares mentioned. Views expressed on the companies mentioned in this article are those of the writer and therefore may differ from the official recommendations we make in our subscription services such as Share Advisor, Hidden Winners and Pro. Here at The Motley Fool we believe that considering a diverse range of insights makes us better investors. Our 6 ‘Best Buys Now’ Shares Click here to claim your copy now — and we’ll tell you the name of this Top US Share… free of charge! Enter Your Email Addresscenter_img Image source: The Motley Fool I’m sure you’ll agree that’s quite the statement from Motley Fool Co-Founder Tom Gardner.But since our US analyst team first recommended shares in this unique tech stock back in 2016, the value has soared.What’s more, we firmly believe there’s still plenty of upside in its future. In fact, even throughout the current coronavirus crisis, its performance has been beating Wall St expectations.And right now, we’re giving you a chance to discover exactly what has got our analysts all fired up about this niche industry phenomenon, in our FREE special report, A Top US Share From The Motley Fool. Simply click below to discover how you can take advantage of this. Forget bonds and market uncertainty; like Buffett, I’m buying stocks! Rachael FitzGerald-Finch | Wednesday, 26th February, 2020 See all posts by Rachael FitzGerald-Finchlast_img read more

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