by Robert Holman | The Defensive Advisor |
MARKET BULLISH … My rating opinion remains 8 (0 - 4 is bearish, 5 is neutral, 6 - 10 is bullish). The market remains bullish, but overbought. You can expect Mr. Market to continue moving sideways and sideways-up, with a lot of volatile, bold ups and downs.
IRS NEWS: If you missed it, the IRS has pushed the April 15 tax-filing deadline to May 15.
ECONOMY and MARKETS … The key concern in the markets continues to be inflation, interest rates and as always, employment. Add to that stock price levels compared to earnings (valuations). See my 2/28 eNewsletter for more info.
WARREN BUFFETT – I came across some WB investment returns for Berkshire Hathaway from 1980 to 2019, a 40-year period. His compound return was 17.8%/year over that period. The S&P 500 40-year return was 8.8%/year. Warren had two years of decline, and two years of near 0% performance (actually, 0.4% and 0.5%). So, you don’t have to make incredible, out-of-this-world returns to reach your wealth goals. You just need to be consistent and remember Warren’s rules number 1 and 2 of investing. Source: GuruFocus.com
CONCLUSION. While I intend to make a few changes in my client portfolios sometime this month, several of the prime sale candidates are either moving higher or setting new 52-week highs every week. So, patience is called for. For balance, we have two stocks that were profitable that are now small losers (disappointing quarters in some respects) but now appear to be on their way back up.
Please call me at 972-702-6032 to discuss your portfolio, and I will give you a few points on how you can improve your portfolio to achieve better results. Or, you may want to compare what I am doing for my clients with what you are doing in your portfolio.
FOR PROSPECTIVE CLIENTS – HWM manages risk in your portfolio by taking defensive action in times of difficulty, seeking to not give profits back to the market. Please phone 972-702-6032, and I will explain what I can do for you. You can also email me from my website.
FOR EXISTING CLIENTS - thank you for your trust. We had a great 2020 and are all looking forward to another great year in 2021.
For more information on my investment and planning services, or to view prior letters, please visit my website http://www.defensiveadvisor.com/blog
Opinions voiced in this post are for general information only and are not intended to provide specific advice or recommendations for any individual, without complete knowledge of that individual’s total financial profile. No strategy assures success or protects against loss. Past performance does not guarantee future results.