- Many retail investors have a lot of money in their 401k and IRA rollovers
- In investment vehicles where you can’t see what they’re doing in portfolios
- The market is over valued relative to what?
- Trillions of dollars are just sitting on the sidelines
- 18.7x current earnings- historical average is 16
- Volatility is mandatory and it will continue
- Volatility is not risk, it is opportunity
- Everyone is buying index funds and derivatives and the cycle continues
- Appropriate asset allocation allows you to buy stronger companies during corrections
- A variety of asset classes is important
- Myopic lossiversion
- In our mind, the likelihood of something happening recently is much lower than its probability
- We are not in the business of guessing, we are unemotional in the process
- Secular bull markets
- Inflation adjusted basis you have a flat market (2000-2009)
February 6, 2018