Over the last several years capital markets have been unusually friendly. They have dropped double digits briefly only a couple of times, and with an emphasis on “Briefly”
We have been spoiled !
Since the beginning of the year, markets are returning to more normal moves (even more jumpy than normal in some cases) or should we say moods ! 2007-2009, 1999-2002 still ring clearly in our ears (and eyes) and is for sure in part why we are more conservative.
Capital Markets don’t go down forever, but is sure seems like it, as it slows down when they do (the pain is greater than the pleasure.) Of course we do not enjoy it either…
With never going “all in” or “all out” we are very happy with our allocations and will take advantage of the opportunities as they present themselves.
How long will this last ?
The average bear markets lasts about 18 months, but for various internal reasons, we think this may not be a BEAR, but just a long awaited, take the froth out correction! No matter, we like our allocations !
In five years, we doubt this movement will displace the afore mentioned historical dramatic times.
Just a return to more normal movements !
To all of our friends in front of the storm coming this weekend, we wish you a safe time …summers we get tornadoes, winters you get storms … exchanging well wishes here !
Have a Great Weekend!
John A. Kvale CFA, CFP
8222 Douglas Ave # 590
Dallas, TX 75225
Market Follow Up Comments From Early in Week … Friday of Long Weekend
On Monday, here during our August review, we warned that the markets had finally gotten too far ahead of themselves as investor became overzealous and somewhat dismissive of risk.
From the Post …
Gone Too Far
It is very unlikely that the Markets just turn and fall like a knife, we are more concerned for the next three to six months or so … not three days later …
That being said, it does show that there is significant risks as those who were in “Fear” earlier in the year are now in “Fear of Missing Out” (FOMO)
Time will tell and this is not an exact science – but we are building some great content for our coming Newsletter as we type this … carefully building content as the fast paced markets have trashed several of our big Newsletter writings and made them old news as what we said “Could Happen” occurred before we could let you know…. All good!
Ahhhhh …. but today is a Friday heading into a much Welcomed long weekend…
Happy Labor Day!
Enjoy and be sure to spend time with those special… if you can safely!
John A. Kvale CFA, CFP
Founder of J.K. Financial, Inc.
A Dallas Texas based fee only
Financial Planning Total Wealth
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Posted in Investing/Financial Planning, Market Comments
Tagged Labor Day, Market Comments