investing

One of the hardest parts of investing is intelligently evaluating how things are going. This is especially true for publicly traded companies (stocks) or strategies (like mutual funds) that invest in them. The problem is financial assets tend to fluctuate wildly from year to year.

In mid-February, we hosted our annual “State of the Markets” breakfast. Once again the weather was crummy. In fact, the snow was bad enough that schools closed locally. That’s the second time in four years we’ve held our event on a day that school was canceled!

It’s official, we’re currently amidst the longest bull market in US history (as measured by the S&P500 at least).  According to data from JP Morgan, the average S&P500 bull market since the 1920s has lasted about 55 months. The current rally is now in its 113^th month and just passed the previous record which ran from October 1990 to March of 2000.

I recently spent several days in Los Angeles visiting an asset manager that I hold in high regard, First Pacific Advisors (FPA). The event was a biannual opportunity to hear from each of the firm’s portfolio strategists, ask questions and meet their respective teams.

The 2017 Berkshire Hathaway annual report is out. It is always highly anticipated as it contains Warren Buffett’s annual letter to shareholders which usually is packed with nuggets of investing wisdom.

I read an excellent autobiography this summer by Edward Thorp which I also mentioned in our most recent newsletter.  Mr. Thorp’s name is much less known in contrast to his accomplishments.  He is a mathematician by training, obtaining his Ph.D. from UCLA.  He’s popularly known for a number of feats.

On Saturday, February 27th, Warren Buffett released his 51st annual letter to Berkshire Hathaway shareholders.  Every year, the letter is highly anticipated by investors around the world looking to gain insights and wisdom from the 85 year old Oracle of Omaha.  This year, in his 31 pages of remarks, Mr.

As human beings, I think we’re naturally more inclined to be active than inactive.  Our minds are constantly turning with thoughts and ideas.  If you’ve never tried meditation, I would encourage it just to experience how difficult it is to keep your mind from drifting.

With US stocks off over 10% (as measured by the S&P500[1]) from their all-time highs reached in May, perhaps you’re wondering how the big-dogs are doing.  You may be surprised.   

After a remarkable run, the stock market has finally experienced some negative volatility. The last time we experienced anything like the past few weeks was in 2011. As you may recall, late that summer, one of the big ratings agencies downgraded the credit of the United States as politicians in Washington wrangled over raising the nation’s borrowing limit.