Thank heavens we finally got a correction in growth stocks during the first quarter. As painful as this sell-off has been for some positions, we badly needed to get some of the euphoric excess out of this market. The catalysts that have sparked the selloff are being attributed to a sharp
“Every age has its peculiar folly: some scheme, project or fantasy into which it plunges, spurred on by the love gain, the necessity of excitement, or the mere force of imitation.” - Charles Mackay, Extraordinary Popular Delusions and the Madness of Crowds, 1841. According to LPL, if the AFC wins the
“The only thing new in the world is the history you do not know.” – Harry S. Truman 2020. If nothing else, I believe 2020 has firmly reinforced the principles that I am constantly communicating with clients: ignore current events, economic forecasts and inane predictions while staying laser-focused on reaching the
“While the Optimist and the Pessimist were arguing over whether the glass was half full or half empty, the Opportunist drank it.” – Origin unknown The current investment climate is the most difficult period I have ever seen. Much of the massive uncertainty of a few weeks ago is resolving, so
It’s very difficult to watch the value of your portfolio decline. We’re all feeling that pain right now. But please don’t overlook a potential opportunity – imagine a substantially lower tax bill in the future. Have you thought about moving funds from your traditional IRA to a Roth IRA? Nobody likes
One of the main problems with markets right now is the massive uncertainty. Market participants and business leaders loathe uncertainty. They would rather hear the bad news any day over uncertainty. At least they can plan when they know how bad it is. We should start getting meaningful news – good
At times, it’s easy to move between optimism and pessimism on this quickly evolving virus story. The economic impact for the next few months is going to be dramatic. A modern-day economy cannot be on lock down and “social distancing” for long without destroying wealth. But there are reasons for hope
As fear works its way through financial markets, it might be helpful to review a brief history on pandemics to help keep things in perspective. Spanish Flu of 1918-19 The world was a different place in 1918. Europe was ravaged by World War I, and antibiotics had not yet been discovered.