On September 2 of this year, we sent out the post you see below. Since that time, the market has fallen further. The material is worth reviewing.
Considering that the money that you will need in the next few years does not belong in the market, if you have not bought into this bargain territory, think about doing so now.
The S&P 500 is down over 17% year-to-date. Bargain territory! If you have not re-balanced your core portfolio to take advantage of the bargain, consider doing so.
The Muppets are running for the doors. The same people who look for bargains when buying their groceries or clothes for the children or airplane tickets or looking for parking spots are ignoring this bargain.
Muppets (stupid and ineffectual people)? The second largest investment bank, Goldman Sachs, uses the term to describe its clients.
From Greg Smith’s Why I Am Leaving Goldman Sachs: “I attend derivatives sales meetings where not one single minute is spent asking questions about how we can help clients. It’s purely about how we can make the most possible money off of them.”
Investment banks are not our friends. We need to be aware of that even though we do need them to execute our buy/sell orders.
Don’t be fooled by the fact that year-to-date, the Toronto Stock exchange has declined less than the S&P 500. Intelligent investors think long-term. Note the 10-year chart below.
With the habits of the Monday Morning Program, luck hardly matters. Good luck!