Being an intelligent consumer of financial news is harder than it sounds. The day-to-day market is a barometer of investor sentiment more than anything else; it would be wrong to assume that a poor start to the year reflects the current economic trend. Staying calm during market declines can be difficult, but reacting emotionally is
Last week we presented the views of three commentators and summed it up by saying “It’s Time to Play Defense.” That generated more responses than usual, so this week, we drill a little deeper by asking “How do you play defense in the current market environment?” More from Howard Marks. “It seems most people in
As football season is upon us it is appropriate to borrow a sports metaphor and suggest it is time to play defense. At least that is what several thoughtful commentators suggest. Risk Revisited. “Memos from the Chairman”—penned by Howard Marks of Oaktree Capital—never fail to deliver thoughtful commentary. His latest memo cautions that investor behavior
In an uncertain world, does any timeless investment wisdom exist that can guide one forward? Conversations with clients this week triggered consideration of a few pearls picked up over the years that are well-worth re-consideration. Wisdom from Peter Bernstein. The late Peter Bernstein was a financial historian, prolific author, and the head of his own
Are we in a bubble? A few clients have asked this recently—a natural one with the major indexes reaching new highs. The short answer: we’re probably not in a bubble, but cautious investors should consider reducing their equity bets. The stock market is high because corporate profits are high, and stock prices ultimately are driven