Investment Dashboard 2018 (Part 1: Stocks vs. Bonds)
Believe it or not, we have now enjoyed a bull market running through the last decade. What information will help us to know if a bull or a bear is around the corner?
When I started my career nearly 30 years ago, the challenge was too little information. The Wall Street firm for whom I worked was just beginning to use Lotus Notes spreadsheets and WordPerfect word processing. Many older analysts continued to use notepads and fax machines.
You had to pick up the phone and read newsprint and microfiche to find worthwhile information. It took effort to find good information. That meant you were forced to focus only on finding the information truly relevant to making important decisions.
Today is quite different.
We are spoiled by huge advances in technology with the advent of smart phones and the Internet. We have a plethora of sources for news and research. Based on the glut of information we have today, we should be far better informed now than in the past.
Yet, all this information might not necessarily empower us to make better decisions. In fact, it is quite possible that more information brings more “noise” and “fake news” that might even paralyze us. (See Nicholas Carr’s article on “Is Google Making Us Stupid?” [source] in the July/August 2008 issue of The Atlantic magazine.)
We want to help you see the main issues that could influence the next leg in the markets. Your investments depend upon having the right information to guide how you should be positioned.
We present a series of simple charts (7 to be exact) to help you navigate through the noise and get to the real issues. Part One displays 7 charts critical to understanding the state of stocks and bonds. Part Two will present 7 more charts that focus on key issues in the economy, both US and overseas.
Please let us know of any questions.
Stuart P. Quint, CFA