Benjamin Graham, the well-known value investor, in The Intelligent Investor created Mr. Market as an analogy to describe how the stock market works. “Every day he tells you what he thinks your interest [in your business partnership with him] is worth and furthermore offers either to buy you out or to sell you an additional interest on that basis. Sometimes his idea of value appears plausible…
At a time when political issues are front and center, what is the best way to approach investing? Should you make changes to your portfolio to minimize political risk?
At the tail end of what had been a relatively quiet quarter, global stock markets suffered a sharp two-day sell-off following the surprise vote on June 23rd by the United Kingdom to exit the European Union. Despite the dire predictions made immediately after the vote, the decline was short-lived. The major global indices rebounded to pre-Brexit levels or higher by the end of the quarter. In fact, the second quarter ended on a positive note for most asset classes.
Asset class returns for the quarter and year-to-date were as follows: