Market Commentary: Inaugural Year Lessons and What You Should Be Doing

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It’s once again time for our monthly Market Commentary and I am discussing three things that anyone with any money invested anywhere should be considering.

They are:

  • Lessons learned from the transition of Presidential power as it affects the markets;
  • The way to approach hitting the eighth year of a bull market; and
  • What to expect this year along with the “must dos” for any investor right now

I know there are all kinds of expectations for the market in the coming year. We hope you’ll approach this year as any: with deliberate, probability-based decision making that removes emotion and optimizes your potential.

What We’re Reading

Buffett Bought $12 Billion of Stock From Election Through Friday. We LOVE this story. It’s the perfect example of not letting politics get in the way of sound investing. We discuss this more in the market commentary video. What a great example for us all!

Howard Marks – The One Thing You Need To Be A Superior Investor. Howard Marks is another one of those investors that we respect more than most. We put him in the same category as Warren Buffett and Charlie Munger. In this article he explains what you need to be a “superior investor.” That superior quality is the reason why most people fail on their own.

Berkshire Hathaway has made around $358 million on Apple. The reason we love this story is because of the time when Berkshire made this investment. Apple was thrown out as a has-been. Carl Icahn just dumped it and the media was overwhelmingly negative surrounding the company. This is when we, like Berskhire, like to buy assets as well. Our clients will know exactly what we’re talking about as they have seen us do this. (Please note that this is not a recommendation to buy Apple. This is for educational purposes only. For full disclosure, we do own Apple in some of our clients’ portfolios.)

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Categories: Market Commentary, Markets, and Strategy.