Posts Archive
Market Commentary
February 2019 Market Update
By Brian Johnson, Chief Investment Officer and Shareholder Summary: News has swung to the positive side, with many of the previous uncertainties having been resolved. This, coupled with the Fed’s policy shift towards patience in raising rates, has led to markets rallying and nearing former highs. We’ll likely use pullbacks or corrections as opportunities to…
Read More January 2019 Market Update
Written by Brian Johnson, Chief Investment Officer Summary: The fourth quarter of 2018 was a nasty one for stocks. Through it, we have maintained our defensive positioning. We expect U.S. stock returns over the next 10-15 years to be substantially worse than the last 10 years. However, bond, cash, and international stock returns are projected to improve.…
Read More December 2018 Market Update
Written by Brian Johnson, Chief Investment Officer Summary: The current market decline has yet to show signs that it is bottoming out. It is likely, therefore, that we’ve further to go on the downside before stocks begin moving meaningfully higher again. We’re glad that we reduced risk/stock exposure in our strategies twice this year –…
Read More November 2018 Market Update
Written by Brian Johnson, Chief Investment Officer Summary: It’s been hard to find positive returns in 2018. We’ve made a number of allocation updates within our models to respond to the evolving landscape. If market and economic indicators continue deteriorating in the weeks and months ahead, we may reduce risk even more. Logistically, getting in…
Read More October 2018 Market Update
Written by Brian Johnson, Chief Investment Officer Summary: Equity markets had a solid 3rd quarter, but they have become much more volatile recently. The bond market looks to have ended its 35+ year bull run (interest rates falling, bond prices rising). The recent volatility is a reminder of the importance of rebalancing portfolios. After a…
Read More September 2018 Market Update – A Few Thoughts
Written by Brian Johnson, Chief Investment Officer Summary: U.S. stocks (equities) remain in a secular (10-20 year) bull trend. International markets have not done as well recently, but they remain attractive for long-term investors. In lieu of an analysis of one aspect of the market, this month I’m sharing thoughts and interesting pictures on three…
Read More August 2018 Market Update -The Longest Bull Market Ever? Not So Fast…
Written by Brian Johnson, CIO Summary: This isn’t the longest bull market in history. In fact, it’s pretty average. If you’ve picked up a newspaper or turned on the TV in the last few weeks, you’ve likely heard someone quoting statistics suggesting that this is now the longest bull market in history. I’ve had more than…
Read More July 2018 Market Update
Written By Brian Johnson, CIO Summary: Our investment strategies have been “overweight” equities (stocks) for several years now. We’re currently in the process of reducing client portfolios exposure to a more “neutral” stance. The bull market is not necessarily over, but the risk of a substantial correction has increased enough to warrant a more neutral…
Read More June 2018 Market Update
Written by Brian Johnson, CIO Summary: We’re watching volatility levels carefully, as they are a key indicator that a correction may be afoot in equities markets. At present, volatility is elevated but not alarmingly so. The historically low volatility in equities markets that we experienced in 2017 has, as expected, returned to “normal” in 2018.…
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April 2019 Market Update
Written by Brian Johnson, Chief Investment Officer and Viridian Shareholder. Summary: Q1 was a great quarter. We will likely continue to use market pullbacks to increase equity allocations. When we first reduced our equity allocations in July of 2018—from “overweight” stocks (where we had been since April of 2016) to a “neutral” stance—we did so…
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