It’s Business As Usual for Energy

An excerpt from my latest article published at SeekingAlpha.com. Nobody likes energy stocks. They're boring, old oil conglomerates on-trend for a long-term decline. In 2020, US energy sector stocks were down some -37% as measured by the Select Sector SPDR Energy ETF (XLE) versus +16% for the S&P 500 (SPY). Figure 1: XLE vs SPY … Continue reading It’s Business As Usual for Energy

Long and Short of Value

THE DEATH OF VALUE The death knell for "value-investing" has rung many times over the years. And after a decade of lagging explosive growth stocks (like "FANGMAT") it rings louder than ever. The divergence between growth and value has reached historical levels and now looks even more stretched than during the 1990s dot-com boom. Is … Continue reading Long and Short of Value

Macro Value Update, Q3 2020

MACRO OVERVIEW Global equity markets notched a new all time high in early September only to pull back since. The rise in market volatility has some fearing another meltdown. To be clear, nobody knows what happens next, but it's worth noting how current economic and market conditions contrast with Q1. Figure 1: Global Equity Market … Continue reading Macro Value Update, Q3 2020

Stupid Acronyms

US equities bounced hard off their March lows. The disconnect with fundamental data has many intelligent investors trying to explain the rally with acronyms like FOMO and TINA. But the best explanation may come from the original Intelligent Investor Benjamin Graham who said, "in the short-run, the market is a voting machine, but in the … Continue reading Stupid Acronyms

When China Sneezes…

An excerpt from my article published at SeekingAlpha.com. Fear is in the air It used to be "when America sneezes, the world catches a cold," but recent market action shows China may be the new snotty-nosed kid on the block. I mean the now-notorious coronavirus. Since its outbreak, the news flow has been frantic and … Continue reading When China Sneezes…

The Big Short, Part Deux?

An excerpt from my recent article published at SeekingAlpha.com. Passive investing has enjoyed a tremendous rise in interest and popularity from investors over the past decade. Following that rise, the number of passive investment products, like index funds and ETFs, has also taken off. So much so that some fear passive investing is the next … Continue reading The Big Short, Part Deux?