Fall is upon us and the theme this week is finding beauty in the simple things. Investors are a nervous group right now and I’m here to share my simple thoughts to try and keep your portfolios in line with your goals.
Simple Can Be Beautiful
Many of you have asked for specific investment recommendations to survive what you are assuming will be a bad 4th quarter. No broad statements like the following should ever be taken as specific investment advice. Your plan must be tailored to your specific needs so don’t you dare just run out and do this without consultation first.
Whew! With that said, here’s what I think:
If bubbles exist now, I think they are in the areas of U.S. Treasury bonds, high-yield bonds and inflation protected securities.
For all the worries about the U.S. dollar, it’s still the world’s favored currency.
Inflation can usually be beat by owning quality growth stocks and monitoring volatility.
Offsetting this risk with simple, beautiful cash reduces risk.
Take care this week and enjoy the cooler weather; it’s simply beautiful.
Until next week,
Susan R. Linkous
Government bonds and Treasury bills are guaranteed by the U.S. Government as to timely payment of principal and interest and, if held to maturity, offer a fixed rate of return and fixed principal value.
High yield/junk bonds (grade BB or below) are not investment grade securities.
They are subject to higher interest rate, credit and liquidity risks.