Theory of Financial Relativity

Do you find yourself wondering why financial market bubbles occur and how to protect your investments from the next crisis? What caused the dot.com bubble in the 90s, the mortgage market meltdown in 2007-08? What role did Fed easy money, high government spending and trade deficits with the Middle East and China play in historical market collapses? Can knowledgeable investors spot the next crisis before it is triggered? These are compelling issues in today's elevated financial market. To develop insight on these questions, Daniel Moore researched the U.S. financial market from WWII through 2013. He compiled the market history, with emphasis on 14 major market corrections in the period. The research led to the discovery of a consistent explanation of why the stock market historically rises to new highs, only to suddenly reverse course. The revelation provides a theoretical framework that can better equip investors to weather the inevitable next crisis. The Theory of Financial Relativity is a system of ideas explaining why the U.S. financial market persistently rises to unsustainable levels and then falls sharply. The fine points of the Theory are encapsulated in 8 Guiding Principles derived from the correlated effects that dominant forces have on stock market value. The principles provide the basis for developing warning signals of impending market downturns and indicators of when the coast is clear for investing. The Theory sheds light on why asset bubbles are created and persist far longer than rationally expected. The research provides essential knowledge that can make you a better investor by giving you insights on why the market moves. Learn from history how the U.S. National Debt has reduced both economic growth and inflation, how policy actions of the Federal Reserve trigger stock market actions, how the oil and gold market are integrally related and how the combination of these market forces drive interest rates patterns that signal whether stocks will go up or down. The book contains full-color graphics throughout to make even the most complex concepts and historical information easy to understand. Whether you are an investment professional or novice, the book contains information that will make you a better investor.
About the Author: Daniel Moore is the creator of FinancialRelativity.com, a web portal created for the purpose of tracking the status of financial markets and providing investment analysis and portfolio management insights to investors. Based on the systematic investment research, he writes about the market and publishes his views through internet market publications. A graduate of Duke University's Fuqua School of Business in 1988, Dan has broad experience in company finance and investment portfolio management. Uniquely Daniel began his investment analysis work by building a Monte Carlo simulation computer model to assess fair market value of a business using publicly available financial data. The program was used in the MBA classroom from 1989-1991. He manages a blog, publishing market viewpoints under the pen name Financial Market Vigilante. He currently resides in Durham, NC.