Maybe I should have split more wood or sold more lemonade and tried to make enough money to buy a share because I missed out on an opportunity.
Regarding Bitcoin, Vice Chairman Charlie Munger expressed, “I don’t welcome a currency that’s so useful to kidnappers and extortionists.” Warren Buffet, CEO of the company, took a swing at the trading platform Robinhood.
Here is a transcript of the meeting for you to dig deeper into all of those pearls of wisdom.
Buffet, the world’s best investor, says the best way to invest is in index mutual funds.
He said if we were asked in 1989 how many of those companies would still be the biggest today, very few, if any, of us would say zero.
I consider a large-cap blend index, whether tied to the S&P 500 or the Dow Jones Industrial Average , my home base.
I think it’s a mistake to hold something just because the textbooks say you should.
On November 13, 2014, I sent our trading rationale to clients explaining why we shifted our allocation from the MSCI EAFE Index .
On April 4, 2021, I shared with readers that “I shifted some large-cap growth broadly and technology stocks specifically into large-cap value stocks.” I am in no hurry, but I expect that I’ll rotate more of my holdings from growth into value over time.
The most elevated valuations exist within the growth sectors of the market, which could limit returns and leave equity prices vulnerable to more significant pullbacks.
According to Dalbar’s 2020 QAIB Report , trying to time the market was a primary culprit as to why the average equity fund investor returned nearly one-third less than the S&P 500 index over 3, 5, 10, and 20 years.
During the last month, I have become more confident that rotating from Growth stocks may make sense.
I can let others take the risk of being early, and if it ends up being a long-term trend, then I can benefit from the duration of that trend.
If you think cyclical stocks will perform well, that means both value stocks could do well.
The Atlanta Fed GDPNow tool is currently tracking Gross Domestic Product growth for this quarter to be twice that of last quarter.
Starting in late March of 2020, the market saw its biggest gains from the “stay-at-home” stocks.
I don’t have a significant concern that the Growth stocks which led in the second half of 2020 will blow up in the second half of 2021.
Unless specifically identified as original research or data-gathering, some or all of the data cited is attributable to third-party sources.