Friedrich August von Hayek / Your Feedback / Updated Website

Dear Ladies and Gentlemen

«Money is one of the greatest instruments of freedom ever invented by man.»

Friedrich August von Hayek

Friedrich August von Hayek was an Austrian (-British) economist and philosopher who shared the 1974 Nobel Prize in Economic Sciences with Karl Gunnar Myrdal.

Money as an Instrument

«Money is one of the greatest instruments of freedom ever invented by man.» With this quote Friedrich August von Hayek claimed that money in our existing society opens an astounding range of choices to the poor man, a range more significant than that not many generations ago was open only to the wealthy.

I could not agree more, however, depending on where and in what social context one was born, obtaining a minimum amount of money may still represent a significant challenge that should not be underestimated. One question I would have for Mister Hayek is if more money means more freedom to him? Although we live in a world of monetary expansion, I do not feel «freedom» expands at the same magnitude, if at all. Now, I know it is a question of definition. The question is, what does freedom mean to the individual?

Your Feedback

Ladies and Gentlemen, thank you very much for your positive feedback to my last weekly mail, «No Stopping for the Prophets of Doom». I would like to share the following feedback with you because the statements coincide with my thoughts:

«I never saw volatility as a risk (if you do not sell when prices are low, you cannot crystalise the loss). In my view, the biggest risk for investors (which by definition I take to mean long-term capital allocators with a desire to build multi-generational wealth) is politics: changes in regimes. For example, far more dangerous is a shift in legal systems from a set of values that respects private property to one that does not – this, in my opinion, is a greater risk than fluctuations of prices because it has the genuine chance of forever destroying wealth for some people.»

And:
«As long as the risks that these doom prophets are trumpeting about are market vicissitudes, there should be a little worry. After all, if money moves out of stocks and their prices go down, they will go into other asset classes until the panic passes and then back into equities, as they usually do.»

Updated Website

I would also like to take the opportunity to share two links to our updated website with you:

Wealth Management – Incrementum

Home – Incrementum

The first one leads directly to our Wealth Management site and the second link brings you to the Incrementum AG landing page.

We have not changed it massively, but we took some stuff out and slightly adjusted the structure. My partners and I hope you will like it.

Ladies and Gentlemen

As always, please share your opinion with me, but please do not forget (instead of hitting the reply button) to send your messages to: smk@incrementum.li

Many thanks, indeed!

I wish you an excellent start to the day, a wonderful weekend, and above all, good health!

Yours truly,

Stefan M. Kremeth