Human evaluations are difficult, because they are all opinions. Human evaluations are very difficult. Because they are all someone’s opinions. I found it. Human vertical and horizontal evaluations are all stood on someone’s opinions. So that there is no perfect evaluation. If some consultants bring to you perfect human resource evaluation, the consultants are liars.
2021/6/29. The RED FLAGs in Tokyo Stock Market I sold all my stocks in Tokyo Stock Market. There seems to be some red flags in Tokyo Stock Market. First of all, J-reit market’s average Net Asset Value(NAV) is high. Almost all J-reit stocks’ NAV are over 1. This means that J-reit stocks are more expensive than their real values. Secondly, J-reit market’s average yields is 3.3%, it’s near 3%. This is dangerous flag. Aging country, especially as Japan, has low interest rates, but there are risk premiums. Risk premium has to be higher than 3.5% in Japan. (This number is what I feel.) Interest rates in Japan is under 0%, and I think it is equal to 0%. So J-reit market’s average yields should be over 3.5%. Third red flag is existence of individual investors. They are end buyers, and they seem to bet their money in Tokyo Stock Market. I don’t know when this bull market ends, but I quit this game and take a rest in some months. Cash is king, and crash is near.