There is no doubt that everyone who is currently invested in the equity markets is seeing their balances drop and some by as much as 25%.
We fully understand how painful this feels. As I write this, Tesla has dropped by 40% in the last five weeks and PayPal has dropped by 71% in the last eight months. Google has dropped by 25% and Amazon by 43% in the last twelve months. Plus, if you haven’t viewed enough bad news on the TV, Internet, or in journals, we just experienced the first six-week drop in the DOW Index for the first time since 1932.
Where is the good news here?
Equity prices and stock valuations now present great buying opportunities in many situations, especially in the Growth and Technology Sectors. We have some of the best opportunities in front of us since the recession of 2008-2009.
Therefore, I remain optimistic, albeit cautious, with the headwinds of rising interest rates, massive inflation, a potential recession, and the war in Ukraine blowing. However, again to the upside, it appears that calmer and more centric voices in Washington are gaining traction.
What’s my plan of action?
I am buying into this Bear Market.
This means I have many clients taking advantage of today’s opportunity. I urge you, if assets are available, to do this as well. We are allocating portfolios to take advantage of a potential year-end rally that includes sectors for today, including the Energy Sector which is up 20% this year.
As I said earlier, we feel your pain and take it very seriously. Every day we are researching opportunities for you.
Please feel welcome to call me anytime on my cell at 510-206-1103 or email me at [email protected].