In this episode, Mark talks about how cyclical stocks are going to be more volatile and whenever you make an investment decision, you must look at risk adjusted return. Owning energy stocks right now is not worth the risk for the reward. There is strategy behind asset allocation and investing in insurance companies. Are we on the cusp of a correction? How "bad” is September is for investing? S&P is down just 1% - if you’re a long term investor why put yourself into anxiety over it? Strategically invest in businesses over time, don’t put all your money to work right now. Longterm bull markets do not end when sentiment is this negative. Bonds are considered to be a flight to safety by many. People are taking their money out of more volatile investments. Own bonds to reduce volatility in your portfolio. Bonds can become very detrimental if you invest in the wrong ones with a spike of interest rates going higher- look at yield to maturity.

September 5, 2017