The Smart Way to Speculate
No matter what's going on in the world, my advice typically remains the same...
Hold plenty of cash. Own quality businesses. Own some gold as a chaos hedge. Be conservative with your money, but stay in the game.
Now, let's talk about speculations... And by speculations, I mean buying stocks or assets that are unproven. They have a lot of risk, but they also offer the potential for massive returns. Many readers have been wondering about my stance on taking risk.
Even in this confusing market, I think it's OK to speculate... as long as you are allocating correctly. Speculations should only be used with what I like to call "play money."
But how much play money should you have?
You'll often see investors use their end-of-year bonuses to buy something speculative like cryptos. It's money that you were not expecting, so you might as well have some fun with it and gamble, right?
We also mentally label money based on its intended use. For instance, you've probably said this once or twice in your life: "It's only my play money."
When investors put "play money" into the markets, they often throw out all their normal investment rules – investing without protective stop losses, sensible position sizing, etc...
Your money is your money. While it's fine to set aside part of your wealth for speculations, that doesn't mean you benefit from throwing it away carelessly.
Every dollar in your possession has the same value regardless of its origin or how you intend to spend it. Losing $1,000 in the stock market is the same as spending $1,000 to fix your car's transmission or losing a $1,000 wad of cash on the street.
To overcome the mental-accounting bias, a great strategy is to follow an asset allocation... something we'd recommend to help you keep your investment goals on track (for more reasons than this bias). It's a framework for how to invest the money you have – however you got it.
You don't have to use this specific one, but I created an ideal asset allocation for my Retirement Millionaire subscribers. This is for a conservative, risk-averse investor. It's the allocation I'd tell my own family to have...
If you're not sure how much money you should play with, this can be a guide to help you figure out what's most comfortable for you.
Like me, Stansberry Research's in-house cryptocurrency expert Eric Wade believes in smart speculation. And his Crypto Capital service does all the work you need to speculate intelligently in the crypto world.
Every month, Eric simply hands you the names of his best crypto recommendations, along with his in-depth analysis, based on intense due diligence nobody else is doing at this level.
Eric recently attended a financial summit in Nevada, of all places... attended by the Trump family, JD Vance, and multiple billionaire investors. It was here that the biggest change to our financial markets since 1971 (when we came off the gold standard) was discussed.
What's more, for a small window of time, it represents what Eric says could be the single greatest "asymmetric" opportunity he has ever seen.
Click here to get the full story.
Now, let's get to this week's Q&A... And as always, keep sending your comments, questions, and topic suggestions to feedback@healthandwealthbulletin.com. My team and I read every e-mail.
The Dangers of Pain Meds
Q: Doc, what's wrong with taking a couple Advil for a headache? – A.S.
A: Ibuprofen (e.g., Advil and Motrin) has been around for more than 60 years. It's a type of nonsteroidal anti-inflammatory drug ("NSAID") that relieves pain and swelling by blocking the production of inflammation-causing chemicals in your body.
Plenty of people think it's harmless and pop tons of the pills. In a 2018 survey of 1,300 people who take NSAIDs, 15% reported taking more than the maximum daily dose.
These folks are endangering their hearts...
A 2017 study published in the BMJ reviewed health data from nearly 450,000 adults to examine the relationship between NSAID use and heart attacks. The researchers found that folks currently taking any dose of ibuprofen or other NSAIDs for a week or more had a 20% to 50% increased risk of having a heart attack compared with people not taking NSAIDs.
The American Geriatrics Society even ramped up its NSAIDs warning in the 2019 update to its list of harmful medications (called the Beers Criteria). The group strongly recommends that seniors with symptomatic heart failure should steer clear of NSAIDs, while even those with their heart failure under control should take them with caution.
Acetaminophen (brand name: Tylenol) has its own dangers. It might not put you at risk of serious cardiovascular problems like heart attack or stroke or lead to gastrointestinal problems like stomach ulcers the way NSAIDs do. But overdoing acetaminophen can overtax the organ that processes this drug: your liver. Worse, you could end up with serious liver damage if you take more than 4,000 milligrams in a day.
Obviously, taking a pain med once in a while to alleviate a headache or reduce a fever is fine. But if you find yourself slurping them down almost daily to ease chronic pain or inflammation, I'd urge you to stop.
If you have chronic headaches, try the tips we laid out in this recent issue. And if you have general aches and pains, do what I do... The best course of action to manage your pain and inflammation and reduce your risk of cardiovascular disease is through things like taking regular walks (20 minutes or more a day)... removing sugary, processed foods from your diet... and managing your mental health through meditation.
What We're Reading...
- Did you miss it? The power of activist investment.
- Something different: Why Denmark is ending letter delivery.
Here's to our health, wealth, and a great retirement,
Dr. David Eifrig and the Health & Wealth Bulletin Research Team
September 5, 2025