Key Takeaways
- Korea raised rates by 25 bps to 2.75% and signaled more hikes—key Asia monetary tightening signal.
- 2025 investors who only bought US stocks missed 7 country ETFs that doubled; diversification beat home bias.
- Booking CEO Glenn Fogel argues that moats are ephemeral—today’s advantage may vanish tomorrow.
1. Central Bank Policy and Diversification
- Bank of Korea raised its base rate by 25 basis points to 2.75%, the first hike since 2023, and hinted at further tightening. This marks a hawkish pivot in Asia that could affect global capital flows and FX markets. — via 1
- Diversification outperformed concentration in 2025: while many investors only wanted US stocks, 7 country ETFs delivered >100% returns versus the S&P 500’s 31%. The takeaway: hold a broad portfolio and avoid predicting winners. — via 1
2. Business Strategy and Competitive Advantages
- Booking Holdings CEO Glenn Fogel rejects the traditional “moat” concept, arguing that any competitive advantage can erode overnight. This challenges a core investing tenet and suggests companies must continuously reinvent to stay relevant. — via 1
3. Cultural Nuances in Business
- In China, when a business dispute occurs, the common retort is “why did you let them get away with it?” — shifting blame back to the victim. This cultural insight highlights the importance of accountability and self-reliance in Chinese commercial relationships. — via 1
