Michael Jamison, Portfolio Manager
March 6, 2020
Given the recent news surrounding the coronavirus, we thought it was important to share the following chart from the front page of the New York Times’ business section from late last week. There is no better time than the present to remember how important it is to take a step back and look at the market’s performance over the long-term.
Markets hate uncertainty and it’s the collective “uncertainty” that is driving the current sell off. Though we do not know how long this pandemic will last or how much it will impact corporate earnings, we do know at some point that it will get resolved, the smoke will clear and we believe stock prices will lift.
At Griffin Asset Management, we have been investing and advising our clients on the stock market for decades. As always, having a long-term horizon and a proper asset allocation are important ingredients for weathering the current market uncertainty.
For 2020 we have no doubt that corporate earnings are going to be negatively affected and expectations need to be adjusted downward. However, the near-term uncertainty will also create opportunities for smart investors to find great companies selling at a discount and to upgrade the quality of the companies that we currently own.
Reach out to us if you’re concerned about the current market conditions and would like to discuss your portfolio’s current positioning.