- Full Moon Stocks investing targets companies in entertainment and leisure sectors.
- This investment theme focuses on stocks that may benefit from emotional, sentiment-driven consumer spending.
- Key industries include casinos, cruise lines, and other experience-focused businesses.
- High volatility is a primary risk, as revenue depends on discretionary income.
Investing by the Light of the Moon? Not as Mad as It Sounds
Every now and then, an investment idea comes along that sounds like it was cooked up after one too many pints down the pub. The notion of basing your portfolio on the lunar cycle certainly falls into that category. I can just hear it now, “The moon is full, lads, time to pile into casino stocks”. It sounds utterly barmy. And yet, if you squint a bit and ignore the astrological window dressing, there’s a kernel of something interesting here.
The theory isn’t really about werewolves and tides influencing the stock market. To me, it’s a quirky label for a very human, and very predictable, pattern of behaviour. When we feel good, when we’re a bit flush, or just when we feel a bit reckless, we spend money on things we absolutely do not need. It’s the psychology of the splurge.
