Market Report

Key points for the quarter include: America has faced nearly 250 years of geopolitics and technological advancements; equity markets remain concentrated; we have been finding more small- and mid-cap opportunities; fixed-income yields rose; oil rocketed higher; behavioral finance is a new series; cognitive and emotional biases are reviewed; and volatility may create opportunities.

Key points for the quarter include: Tariff policies were ever-changing; more than 91% of Buffett’s Berkshire value came after age 65…compounding can be magical; average equity valuations remain lofty and credit spreads tight; we discuss the purpose of dollars and expiring vs. long-term knowledge; and we strive to construct portfolios to mitigate potential curveballs.

Key points for the quarter include: The environment is aggressive and unpredictable; the Top 10 companies in the S&P 500 represent 40.4% of the cap-weighted index; yields declined and credit spreads tightened; beware of Denominator Blindness; and many aspects of the current environment feel like standing on shifting sands.

Key points for the quarter include: The S&P 500 declined 11.2% in the first six trading days, then rebounded; markets are pricey by many yardsticks; small- and mid-cap value companies are least expensive, on average; the bond market carries a big stick; and we discuss forecasting follies.