COC* and BULL STORY

COC = Courage of Conviction

Back in 2005 I was teaching a course on global business and some students who were into investing asked me for some investing tips based on our course. After reading them the "I am not qualified to give investment advice and invest at your own risk" act, I gave them some predictions and the rationale behind them. At a time when the general sentiment was bullish and the stock markets were very "BULLISH" I offered these ideas.
1. A significant weakening of the U.S. dollar against a number of currencies
2. Big bust in housing and related activities
3. Significant rise in the price of gold and other precious metals (inflation play + India/China play)
4. Large increase in the price of oil and water. The water story is not watered down, but is yet to play out.
5. Bearish on equities.

The broader stock indices, despite recent beatings, are higher now than their 2005 levels. But this story is still developing. The other predictions have been on the money, and some of my students continue to thank me for making them money. They keep me updated on the latest developments in the oil and bullion markets. To have the courage of conviction and the intestinal fortitude to stand by tough calls - THAT is a high bar, especially for business professors.