 Good day, fellow investors! First, let me thank you all that have joined my research platform. I'm amazed by the number of enrollments and I am really, really thankful. This gives me great feedback that what I do really gives value to you and you expect more. So what can I do? I can just dig into it. I'm so motivated to really over deliver on whatever I have promised and therefore you will see a lot of sectors, a lot of stocks and a lot of risk reward analysis so that we can pick the best risk reward for our portfolios. And one of the sectors that I'm keeping an eye on, it was in trouble. Now there is a little bit more trouble so more trouble means more opportunity for those who know what they are doing and one sector country that I'm keeping an eye on is Argentina. Last year, two years were very positive for Argentina, the new president came in and emerging markets frontier funds like T-Row, like Morgan Stanley, they invested about 17% of their portfolios in Argentina. When things are good ETFs keep piling money there where things go well because their market cap waited. I do the opposite, I wait for things to be very bad so that everything is on the chip that those ETFs are forced to sell those markets, which makes them even more, even cheaper because such emerging frontier markets are really shallow and when there is a lot of capital outflows value, it's really, really on the chip. And the good thing is that by looking at those frontier emerging markets here and there, each time there are some very, very cheap markets. I come from a frontier market, I know that whatever happens in the world, financial world, life goes on there because we are used to fluctuations and all the shit that can go on. So life goes on there, the businesses go on there, the value remains there and if you can put yourself there, the best thing is to go to see a frontier market, see how people live in Argentina and then you will decide whether it is okay to make an investment or not. People in Argentina have the internet, watch television, do all the things that we do in other countries, so just to put things into perspective. Further, iShares even launched an Argentinian ETF just recently and all seemed so good, but interest rates in the US started rising, which made people think more about the risks of frontier and emerging markets and that spiked a selloff in Argentina. The Argentinian stock market, this is in the peso, so has to be adjusted to the dollar, but performed very well even when adjusted and then you can see from 2018 the increased risk and the big selloff that's really spiked in the last weeks. However, just to adjust everything from the depreciation of the Argentinian currency, which was huge, it was one dollar was five pesos, now it is 25. Now there are a few things to think about when looking at such situations. The impact of past speculation, a year or two years ago people were greedy and chasing the Argentinian higher yields despite the inflation, we have to look at the value of real assets, we have to understand our exposure risk reward as always and always always look for great businesses that have value. My logic is this, producing assets in Argentina that will continue to produce, I don't know, electrical energy, the best real estate in Argentina will always have value, no matter what happens, similarly in other frontier and emerging markets and what we have to take advantage of is the volatility that's created by greed and panic and investors chasing greedy returns and then panicking and running back home as soon as something troubling happens. Inflation in Argentina reached even 40% at the beginning of 2016 and has been constantly above 20% since. However the Argentinian government kept issuing notes in pesos with yields significantly above the inflation rate and the peso depreciation which attracted a lot of speculators, which is why what is with people and charts that show price increases will always beat me. Nevertheless the situation changed and usually when that happens panic creeps in and all those that chased returns try to get out as fast as possible. Just an example is Mercado Libre, the largest position of the MSCI Argentinian index which dropped 25% and that shows how prescient Benjamin Graham was when he said that we should expect all of our holdings to increase at least 50% from their lows and drop 33% from their highs in a five-year period. So my key point is we really have to differentiate between market fluctuations and value. When you get value for something wherever it is it is value and market fluctuations are there to be taken advantage of. I just did a video on chapter 8 of Graham, Mr. Market. Mr. Market is someone that when it's in panic offers you a very low price tries to sell everything to you at whatever price and when it's greedy, enthusiastic, exuberant tries to buy everything from you at whatever price. That happens all over the world and we are here to take advantage of that. Now the key is how to take advantage of that. First Argentina is a frontier market and as I said it is a very shallow market so capital inflows outflows have a big impact on the prices, price levels, big volatility so you have to take advantage by first not risking too much. You never know what can happen and you always have to be ready to buy more if it is even worse than what it is now and first you have to okay see what's the intrinsic value. That's number one what's the debt, what's the risk of the security you're investing in. When you find something that you like then you see okay what can still go wrong and then you create exposure. So here we are really talking a few percentages of one's portfolio. Not more because when you are well diversified across the globe, cross sectors, across countries then you can take advantage of these volatility runs. Let's say you have own 3% of Argentina it drops 50% you increase it to 3% and then it goes up 50% and you lower it back to 3% then you have earned 1-2 percentage points on your portfolio and what this makes you when you put everything into the 20 sectors countries that you follow when you put that all along it adds a few percentage points constantly year over year and that's where the difference is made on a well balanced long-term portfolio. On a more specific level the key is to look for great businesses no matter what no matter where. So to conclude I come from an emerging market I have had several times returns above 500% from investing in emerging market taking advantage of the panic and then the exuberance that comes in a shallow market so I'll be keeping an eye on Argentina I'm a little bit waiting for even worse times even worse things to come unfortunately for the Argentinian people and my friends from Argentina that are watching sorry but I'm waiting a little bit to see if I will open a portfolio position in Argentina and I still have to see go through all the stocks that I like to see which one is the best at this moment under valuation and not under the risk of the peso and other similar risks that are affecting Argentina. Here are a few ideas from you this is the iShares Argentinian ETF top holdings Mercado Libre another interesting play is a real estate company called Cresud which if you like you might want to dig deeper. Thank you for watching looking forward to a comments any ideas where there is value in Argentina I can't wait to hear what you think about this thank you for watching see you in the next video