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Become a Better Investor Newsletter – 21 February 2026

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Noteworthy this week

  • No central bank gold-buying frenzy
  • Bond yields are expected to go higher
  • Lower diversification benefits from bonds
  • China ramps up trade with Latin America
  • Sector performance depends on the business cycle

No central bank gold-buying frenzy: In recent years, global central banks have been net buyers of roughly 500 tons of gold per year — less than one-seventh of annual global gold mine production.

Bond yields are expected to go higher: Roughly 60% of global fund managers expect bond yields to go higher over the long-term, the most since February 2022.

Lower diversification benefits from bonds: Stocks and bonds increasingly sell off together, weakening a core hedge that investors relied on for decades.

China ramps up trade with Latin America: China now reflects 21% of Latin American and Caribbean exports, excluding Mexico, marking the 6th consecutive year with a weight above 20%. This surpasses the US at 16% and the EU at 12%.

Sector performance depends on the business cycle: Defensive sectors win in a recession and do well in a slowdown. Only in the expansion phase do the defensive sectors lag others quite a lot.

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Weekly market performance

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Chart of the week

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Podcasts we listened to this week

Investing in a Fourth Turning | Neil Howe and Ben Hunt on Inflation, Trust and What Comes Next

“In this episode of Excess Returns, we sit down with Neil Howe, author of The Fourth Turning Is Here and co-creator of the Fourth Turning generational framework, along with Ben Hunt of Epsilon Theory, to discuss where we are in the current cycle and what it means for markets, inflation, AI, capital flows, and America’s long-term economic outlook.”

Listen on Apple or Spotify.

Readings this week

Thailand and the Myth of the Middle-Income Trap

“Thailand is often described as a textbook case of the middle-income trap. After decades of rapid growth, industrialization, and export expansion, the country appears unable to make the leap into higher-value production. Productivity growth has slowed. Technological upgrading remains limited. Wages have risen without being matched by sustained increases in domestic innovation.

This diagnosis is widely accepted. It is also misleading.”

Read the article.

Book recommendation

The Status Game: On Human Life and How to Play It by Will Storr

“What drives our political and moral beliefs? What makes us like some things and dislike others? What shapes how we behave, and misbehave, in groups? What makes you, you?

For centuries, philosophers and scholars have described human behaviour in terms of sex, power and money. In The Status Game, bestselling author Will Storr radically turns this thinking on its head by arguing that it is our irrepressible craving for status that ultimately defines who we are.”

Get the book on Audible or Kindle.

Audible is great; have you tried it? If not, click here to get 2 books for free.

Memes of the week

Published on Become a Better Investor this week

In this episode, Bill Scherkenbach, one of W. Edwards Deming’s closest protégés, and host Andrew Stotz discuss why leadership decisions shape outcomes far more than frontline effort. Bill draws on decades of firsthand experience with Deming and with businesses across industries.

Listen to Where is Quality Really Made? An Insider’s View of Deming’s World

Roctec Global Public Company Limited (ROCTEC TB): Profitable Growth rank of 4 was same compared to the prior period’s 4th rank. This is above average performance compared to 270 small Comm. Serv. companies worldwide.

Read Roctec Global – World Class Benchmarking

Thai President Foods Public Company Limited (TFMAMA TB): Profitable Growth rank of 5 was down compared to the prior period’s 2nd rank. This is average performance compared to 570 large Cons. Staples companies worldwide.

Read Thai President Foods – World Class Benchmarking

DOD Biotech Public Company Limited (DOD TB): Profitable Growth rank of 5 was up compared to the prior period’s 9th rank. This is average performance compared to 300 small Cons. Staples companies worldwide.

Read DOD Biotech – World Class Benchmarking

Chuwit Farm (2019) Public Company Limited (CFARM TB): Profitable Growth rank of 6 was up compared to the prior period’s 7th rank. This is below average performance compared to 300 small Cons. Staples companies worldwide.

Read Chuwit Farm (2019) – World Class Benchmarking

DISCLAIMER: This content is for information purposes only. It is not intended to be investment advice. Readers should not consider statements made by the author(s) as formal recommendations and should consult their financial advisor before making any investment decisions. While the information provided is believed to be accurate, it may include errors or inaccuracies. The author(s) cannot be held liable for any actions taken as a result of reading this article.

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