Latest news with #Maximum
Business Insider
19-05-2025
- Business
- Business Insider
Legendary investor Ron Baron shares the early contrarian lesson that's helped him return 1,843% over 22 years
It's hard to imagine Ron Baron, the billionaire founder of Baron Capital, knowing little about investing. Baron is one of the most successful investors of his time, amassing more than $41 billion in assets under management since 1982. His Baron Partners Fund (BPTRX) is up 1,843% since launching in May 2003, trouncing the S&P 500's 536% return and beating 99% of similar funds over the last 5-, 10-, and 15-year periods, according to Morningstar data. But like all of us, he was once a beginner, too. After studying chemistry and then attending law school, Baron finally decided he wanted to work in finance. With no job offer, he moved into a friend's basement in New Jersey until he could find work. His engineer parents weren't happy. But his uncle bought him a copy of Joseph E. Granville's " A Strategy Of Daily Stock Market Timing For Maximum Profit." Reading it, Baron learned his first major lesson about investing: taking a contrarian approach to prevailing market consensus can pay off. "What made sense in this book, which was not intuitive, was that when news was really bad, you're supposed to invest, you're supposed to buy things," Baron told the Economic Club of New York on May 13. "And when news was really good, you're supposed to sell things." Essentially, don't chase returns on the back end of rallies when all the good news is already priced in. It's time-tested advice that many investing legends espouse. Warren Buffett's famous mantra was to "be fearful when others are greedy, and greedy when others are fearful." Sir John Templeton wrote: "Bull markets are born on pessimism, grow on skepticism, mature on optimism, and die on euphoria. The time of maximum pessimism is the best time to buy, and the time of maximum optimism is the best time to sell." Investor sentiment has been all over the place in recent weeks. After President Donald Trump's "Liberation Day" tariffs announcement, investors became exceptionally bearish on stocks. A month ago, CNN's Fear and Greed Index was in "Extreme Fear" territory. But the outlook has improved as Trump has started to back off from his trade war. Right now, "Greed" is the dominant feeling among investors. Today, Baron is uber-bullish on Tesla, saying he believes its share price will grow 10x from current levels. The stock makes up 35% of his Baron Partners Fund. While Baron doesn't trade short-term macro developments, instead betting on companies he thinks will outperform over the long term, he still applies the lesson he learned early in his career by being ahead of the consensus on the stocks he buys and seeing future outcomes that no one else sees. "It's about being the opposite of what everyone else says," he said. And when things are going awry in markets and the economy, Baron stays cool and thinks about the big picture. "I just figure like John Lennon that in the long run, everything's going to work out. And if it doesn't work out, it's not the end yet," he said. "Sooner or later, everything works out. Man causes problems and then fixes the problems."
Yahoo
15-04-2025
- Climate
- Yahoo
The Aurora Borealis Might Be Visible in the Northern US Tonight
Skygazers in the northern region of the US and Canada might catch a glimpse of the Northern Lights as soon as tonight and into tomorrow. The NOAA Space Weather Prediction Center just issued a G3 (strong) geomagnetic storm watch for April 16, when plasma ejected from the sun is expected to reach Earth's magnetic field. Minor geomagnetic storm conditions are likely to carry on until April 17, the agency reported. The colorful lights splashed across the night sky are caused by geomagnetic storms in our atmosphere and the SWPC pays attention to when these might occur. Geomagnetic storms in the atmosphere can arise from a cosmic phenomena called coronal mass ejections (CME). These surging ejections of solar wind come from the corona, the sun's outermost layer. CMEs consist of plasma and magnetic field, and they can take hours or days to reach Earth. When CMEs arrive, they cause disturbances in our atmosphere by disrupting our planet's magnetic field. This creates geomagnetic storms. Coming sooner than expected, the first CME actually arrived earlier today, reports. As a result, a G1 (minor) geomagnetic storm is currently raging in our atmosphere. It's still too soon to tell if this is the first of two CMEs that erupted from the sun on Sunday, or if one CME "ate" the other one to make this a cannibal combination. Forecasters say the storm is strengthening into a G3-class. Most places in the US won't have an opportunity to see the aurora borealis, but people in US regions as far south as Iowa, Michigan, Oregon, Pennsylvania and Wyoming might get a chance to see the lights, according to Accuweather. However, clouds, rain and snow might make it hard to see. For the best chance of seeing it, you'll need to have an unobstructed view of the northern horizon and be using long-exposure photography to capture images of the phenomenon. The Northern Lights have certain times of year when they're more likely to be observed. You have the best chance of catching aurora borealis in March, April, September and October, as these are the months near the spring and autumn equinoxes, when the Earth's position to the sun is ideal for geomagnetic storms. "The equinoxes are the transition points between which hemisphere is tilted toward the sun," Shannon Schmoll, director of the Abrams Planetarium, told CNET last month. "At this point, the Earth's magnetic field is at a more favorable angle, closer to perpendicular, that allows easier interaction of the charged solar particles with the Earth's magnetic field and atmosphere." April is a good month for watching the Northern Lights because we're at Solar Maximum -- the period of the highest solar activity in the 11-year solar cycle. "During this time, we expect to see more sunspots, and therefore there's a higher chance of high-impact space weather occurring on any given day," Elsayed Talaat, director of the Office of Space Weather Observations at the National Oceanic and Atmospheric Administration, said last October. So, if you live in a place where the aurora borealis might be visible tonight, make sure to head away from city lights and check out the night sky to the north.
