For long-term investors this mistake often manifests itself by getting caught up in day-to-day news stories and losing perspective on key structural factors.

One such key factor is the global monetary system. Part 1 of "Dollars and nonsense" provided the basics of how the system works and what has changed. Part 2 takes those ideas further to show how understanding the monetary system is essential for successfully navigating the current investment landscape.

One of the striking features of the economy since the Global Financial Crisis (GFC) is the tendency to have a near-death experience every two or three years. Then, just as soon as things get serious, troubles quickly recede as if a magic wand had been waved over them. Indeed, the one lesson that has been learned best is to look past "risks" in the markets and to "buy the dip" (BTD).