The Long Term Investor

Well the nice thing about having been investing for 50+ years now......and only having 10 stocks, many of which I have been familiar with for many decades now......and.....with all the data and info that is easily available with no effort on the internet.....and....the fact that I make extremely quick judgements based on having been in business for a few decades where decisions had to be made decisively every day........IS....I dont spend much time on investing research at all.

How do you like that sentence above.....four lines long.

 

Now the art research.....I do that in spurts. When I was researching that one painting I read about 400 digitized newspapers over the course of about four weeks. At least they allow you to search the archive by years and subject matter. So I was able to search for any reference in the news archive for the name of my artist between 1927 and about 1936. That turned up about 400 hits.

The next step was to click on EVERY one of those 400 hits one by one, pull up the newspaper page, zoom in on the highlighted article and read the WHOLE article. I found out very early that you had to read the entire article since often there would be some little tid-bit way down in the article. You could not just go by the headline.

The most recent archive that I found produced about 350 different newspaper "hits" for the artist name I was searching. Once again, I pulled up and zoomed in on every your and read them all. I think that I did about 400 or more hours of research on that painting. I put in a lot of time emailing and phoning experts, dealers, museums, libraries, etc, etc, etc. I could not get into most places due to Covid. But I did visit two university's that had research archives.

 

As to time doing investing. I really keep it to a minimum. My style of investing requires MINIMAL time and effort. All I basically care about is long term results by my portfolio as a whole. I am satisfied if:

I am averaging 10% for the long term.

and

If I am beating the SP500 long term.

I know that NO ONE can do either of the above every year.......and.....there is no need.......since I am talking about average, long term, total return.

For example since I started this thread 4 years ago.....

I SOLD all shares of 3M, J&J, Boeing, and Chevron.......as noted in this thread

I BOUGHT shares of Tesla and Microsoft.......as noted in this thread. I was already very familiar with MSFT from owning them from about 1990 till 2002.

I also cashed out of one mutual fund....Dodge & Cox Stock Fund.....as noted in this thread.

I did a few momentum/split trades along the way to try to take advantage of some short term situations......as noted in this thread BUT....basically the above purchases and sales are ALL I have done in the past 4 years.

EVERY sale that I did above......I considered a LATERAL MOVE since I immediately reinvested the proceeds in one of my funds or into one or more of my individual stocks.

When I started this thread I had 12 stocks.....NOW I have 10. I would like to stick at 10 as a minimum. Since I dont do Technical analysis or Market timing.....there is very little day to day research to do. The fact that I stay fully invested ALL the time....also significantly reduces the need for short term research.

SO.....not a lot of time involved.

 

This is not a bad little article if you want to get both sides of a good number of economic and investing issues that are currently on people's minds.

Nine unsettling market observations that miss the point

https://finance.yahoo.com/news/nine...servations-that-miss-the-point-134116927.html

Some I agree with and some I dont. Many are simply "economic" issues that are not directly relevant to stock investing in specific businesses.

 

Here is the coming week.....what there is. Since we are done with the FED, earnings (mostly), and the inflation data.....we are down to the dregs.

Retail sales, Fed minutes, and a summer market rally: What to know this week

https://finance.yahoo.com/news/stock-market-week-ahead-retail-preview-august-14-140730811.html

(BOLD is my opinion OR what I consider important content)

"News out of the retail sector could be the latest data to drive markets higher in the week ahead.

After a series of better-than-expected economic prints helped stoke renewed optimism on Wall Street, investors will get key earnings reports from retailers and the July retail sales report from the Commerce Department this week.

Walmart (WMT), Target (TGT), and the Home Depot (HD) are all set to release quarterly results, and July's retail sales report is set for release Wednesday morning.

Also on Wednesday, investors will comb through the minutes from the Federal Reserve’s policy-setting meeting last month.

On Friday, U.S. stocks capped their longest winning weekly streak since November 2021. The S&P 500 closed higher for a fourth straight week, officially retracing 50% of losses since plunging from its all-time January high.

The Nasdaq gained 3.8% from Monday to Friday to close above 13,000 for the first time since April 25, and the Dow Jones Industrial Average advanced 2.9% for the week.

Nearly 90% of stocks in the S&P 500 are now above their 50-day moving average, Carson Group’s Ryan Detrick pointed out in an interview with Yahoo Finance Live.

“It’s extremely rare to go right back down to make new lows when you have that much breadth,” Detrick said. “The messaging of the market has been very strong, and to see that much breadth is a really good thing, probably for a continuation of this summer rally.”

The Commerce Department is set to release its monthly retail sales report for July on Wednesday, with economists expecting headline sales rose 0.1%, a modest increase after climbing 1.0% in June. Sales excluding auto and gas likely rose 0.3%, according to Bloomberg estimates.

Bank of America projects core control sales, which net out autos, gas, building materials and restaurants, climbed by a “hefty” 0.9%.

“Combined with softer-than-expected inflation, this should imply solid gains in real consumer spending in July,” BofA economists said in a note. “If our forecast for July retail sales proves accurate, it would suggest that household spending is off to a fast start in Q3 and pose upside risk to our forecast for another modest decline in real GDP in the quarter.”

On the earnings front, retail heavyweights are set to report second-quarter results, beginning with Walmart on Tuesday. The megastore’s latest financials will come just weeks after the company slashed its forecast and announced plans for corporate layoffs and restructuring. Target, Home Depot, and a bevy of other retailers will follow suit later in the week.

Target also ignited worries about the retail sector in June with a after announcing plans to liquidate massive amounts of slow-moving inventory and take a more cautious view on near-term profits, preparing Wall Street for a worrisome earnings season for retailers.

Investors expect results may reflect continued pressure from inflation, rising interest rates, and supply chain disruptions. Warnings from Walmart and Target last quarter about a pullback in consumer spending sent shares tumbling and rattled the retail sector and markets at large.

"There is this pivot happening from discretionary and general merchandise into necessities," Jefferies Analyst Stephanie Wissink told Yahoo Finance Live last month. "The household is having to make discriminate decisions every single week about funding that inflation."

Walmart CEO Doug McMillon said in late July increasing levels of food and fuel inflation were pressuring consumer spending and apparel required more markdown dollars, but the company was “encouraged” by the start on spending for school supplies in its U.S. stores.

Back-to-school spending will be a closely watched metric as retails report, with internal data from Bank of America suggesting consumers started back-to-school shopping earlier this year, which could help boost retail earnings.

“Despite weakening demand for goods and worries around the resilience of consumer spending, back-to-school season kicked off on a strong footing,” economists at Bank of America said in a report last week. “An earlier back-to-school season could be positive for consumer spending in July though it put downward pressure to spending in August as spending may have been pulled forward.”

Elsewhere in the week ahead, minutes from the Fed’s July meeting out Wednesday may give investors a better picture of where policymakers see interest rates this fall and whether the U.S. central bank reached peak hawkishness when it hiked rates by 75 basis points for a second consecutive time last month.

Key data on the housing market is also due out Tuesday and Thursday, with the release of housing starts and existing home sales data."

"Economic Calendar
Monday: Empire Manufacturing, August (5.0 expected, 11.1 during prior month), NAHB Housing Market Index, August (55 expected, 55 during prior month), Net Long-Term TIC Outflows, June ($155.3 billion during prior month), Total Net TIC Outflows, June (182.5 billion during prior month)

Tuesday: Building permits, July (1.645 million expected, 1.685 million during prior month, upwardly revised to 1.696 million), Building permits, month-over-month, July (-3.0% expected, 0.6% during prior month, downwardly revised to 0.1%), Housing Starts, July (1.532 million expected, 1.559 during prior month), Housing Starts, month-over-month, July (-1.7% expected, -2.0% during prior month), Industrial Production, month-over-month, July (0.3% expected, -0.2% during prior month), Capacity Utilization, July (80.2% expected, 80% during prior month), Manufacturing (SIC) Production, July (0.2% expected, -0.5% during prior month)

Wednesday: MBA Mortgage Applications, week ended August 12 (0.2% during prior week), Retail Sales Advance, month-over-month, July (0.1% expected, 1.0% during prior month), Retail Sales excluding autos, month-over-month, July (-0.1% expected, 1.0% during prior month), Retail Sales excluding autos and gas, month-over-month, July (0.3% expected, 0.7% during prior month), Retail Sales Control Group, July (0.6% expected, 0.8% during prior month), Business Inventories, June (1.4% expected, 1.4% during prior month), FOMC Meeting Minutes

Thursday: Initial jobless claims, week ended August 13 (265,000 expected, 262,000 during prior week), Continuing claims, week ended August 6 (1.428 during prior week), Philadelphia Fed Business Outlook Index, August (-4.5 expected, -12.3 during prior month), Existing Home Sales, July (4.85 million expected, 5.12 million during prior month), Existing Home Sales, month-over-month, July (-5.3% expected, -5.4% during prior month), Leading Index, July (-0.5% expected, -0.8% in during prior month)

Friday: No notable reports scheduled for release."

"Earnings Calendar
Monday: Blend Labs (BLND), Compass (COMP), Fabrinet (FN), Tencent Music (TME), Weber (WEBR), World Wrestling (WWE), ZipRecruiter (ZIP)

Tuesday: Walmart (WMT), Home Depot (HD), Lumentum (LITE), Sea Limited (SE)

Wednesday: Lowe’s (LOW), Amcor (AMCR), Analog Devices (ADI), Bath & Body Works (BBWI), Cisco Systems (CSCO), Krispy Kreme (DNUT), Performance Food Group (PFGC), Synopsys (SNPS), Target (TGT), The Children's Place (PLCE), TJX Companies (TJX), Wolfspeed (WOLF)

Thursday: BJ's Wholesale Club Holdings (BJ), Applied Materials (AMAT), Bilibili (BILI), Estee Lauder (EL), Kohl's (KSS), Melco Resorts & Entertainment (MLCO), Nio (NIO), Ross Stores (ROST), Tapestry (TPR)

Friday: Buckle (BKE), Deere (DE), Foot Locker (FL)"

MY COMMENT

A fairly quiet week. I am waiting for HOME Depot to report on Tuesday. The retail earnings will be the big thing this week. A lot of good potential for another POSITIVE week. We need to string together as many positive months as possible. We have been definitely making a BIG DENT in the early losses that piled up early in the year.

 

Siting here reading and watching the markets turn.....mostly.....green from the red open. Round and round we go.....where we close nobody knows.

 

I guess some day.....soon..... we will be in the situation where the economic data out of China is more important than our own.

Stock market news live updates: Stocks slump as China's economy lags

https://finance.yahoo.com/news/stock-market-news-live-updates-august-15-2022-111110294.html

(BOLD is my opinion OR what I consider important content)

"U.S. stocks dipped in a downbeat start to the trading week after equity markets rallied towards their longest winning streak in 10 months on Friday.

The S&P 500 fell 0.5% after the benchmark index marked its fourth straight week of gains in the previous trading session, officially recouping half of its bear market losses this year. The Dow Jones Industrial Average shed 170 points, or roughly 0.5%, and the Nasdaq Composite was off by 0.3%.

A measure of New York state manufacturing activity posted its second largest drop since 2001, with declines in orders and shipments reflecting a dramatic downturn in demand.

Data out of China on Monday showed a slowdown in economic activity across the board last month. The world’s second largest economy saw retail sales, industrial output and investment all come in lower than economists expected in July.

China’s central bank also unexpectedly cut its key interest rate in an effort to turn lagging economic growth around as President Xi Jinping seeks re-election.

The Wall Street Journal reported that Chinese officials are arranging plans for a face-to-face meeting between Xi Jinping and President Biden in Southeast Asia this fall — a trip that would mark their first in-person meeting since Biden was inaugurated.

Oil futures tumbled over concerns about demand in China and the prospect for higher exports out of Iran. U.S. West Texas Intermediate and Brent crude oil each fell roughly 4.5% to $87.97 and $93.66 per gallon, respectively.

Back in the U.S., investors have cheered on the summer's rally after a series of better-than-expected economic releases renewed optimism on Wall Street. But some strategists remain skeptical of the market rebound as risks associated with inflation and monetary tightening persist.

“The macro, policy and earnings set-up is much less favorable for equities today,” Morgan Stanley’s Michael J. Wilson wrote in a note. “The risk/reward is unattractive and this bear market remains incomplete.”

Investors look ahead to a busy week for retail, with the Commerce Department set to release its key monthly report on retail sales Wednesday and earnings due out from Walmart (WMT), Target (TGT), the Home Depot (HD) and other consumer giants."

MY COMMENT

Why not....we are giving everything else away to China.......the worlds most brutal communist dictatorship. It makes sense......sounds like a good idea.....why not tie our economy and markets and policy to the CONTROLLED FAKE economy of a total dictatorship. Once this is complete.....are WE still a free market capitalist economy? Or at that point are we simply an extension of the FAKE Chinese economy?

 

You know me.....I am NOT a fan of work from home. It is NEGATIVE for American employees and it is NEGATIVE for business.

JPMorgan CEO Jamie Dimon rips remote work and Zoom as ‘management by Hollywood Squares’ and says returning to the office will aid diversity

https://finance.yahoo.com/news/jpmorgan-ceo-jamie-dimon-rips-062715020.html

(BOLD is my opinion OR what I consider important content)

"JPMorgan Chase CEO Jamie Dimon blasted working from home and Zoom as "management by Hollywood Squares," using the dated TV show reference on a call with the bank's wealthy clients last week to reiterate his long-held preference that workers return to the office, Yahoo Finance reports.

Dimon argued on the Tuesday call that remote work creates a working environment that’s less honest and more prone to procrastination. “A lot of people at home are texting each other, sometimes saying what a jerk that person is,” said Dimon. (His Hollywood Square comment referred to the decades-old game show—that's no longer in production—in which where celebrities sat in a three-by-three grid to answer questions from contestants.)

Dimon’s remarks come as the tussle between management and employees on the return to the office heats up and a possible economic slowdown threatens to erode employees' leverage to stay home.

In the past, Dimon has said that work-from-home is a poor fit for JPMorgan’s employees. Last year, he argued that remote work “doesn’t work for people who want to hustle, doesn’t work for culture, doesn’t work for idea generation."

In a shareholder letter released earlier this year, the bank said that it expected half its employees to return to the office full-time, with an additional 40% working in a hybrid system. JPMorgan is reportedly tracking ID card swipes in order to ensure compliance with the new policy and monitoring the time employees spend on Zoom and email in order to better measure productivity.

On Tuesday, Dimon rolled out a new argument in his battle against working from home: that it damages the U.S. drive for diversity.

Dimon called the office a “rainbow room” and said that workers who stayed home were denying themselves "opportunities to meet other people." The JPMorgan CEO argued that "if you live in certain parts of our country and go eat out there, it is all white," meaning remote workers may end up having a more uniform experience than if they traveled into work.

Studies report that minorities, especially Black and Hispanic workers, are teleworking at lower rates than White workers. One April study from the U.S. Centers for Disease Control and Prevention found that 19% of Black and 14% of Hispanic workers engaged in telework, compared to 24% of White workers and 38% of Asian workers. The CDC study argues that the difference stemmed from lower rates of college education among minority populations, as well as overrepresentation of Black and Hispanic workers in jobs that don't allow for remote work.

A survey from the Society for Human Resource Management last September reported that half of Black office workers wanted to work from home, compared to 39% of White workers and 29% of Hispanic workers.

CEOs, real estate developers, and even city mayors have called for workers to return to the office. Developer Stephen Ross predicted in June that a recession might make "people fear that they might not have a job [and] that will bring people back to the office.” But workers want to stay home. The Slack-funded Future Forum found in July that only one in five knowledge workers wanted to return to the office, a record low.

Nationally, office occupancy rates are hovering around 43%, according to Kastle Systems, a security company."

MY COMMENT

WHATEVER.....since I am retired and set....what do I care if they want to gamble the economy and future of the country on this sort of mass.........UNPROVEN..... social experiment. It is OBVIOUS who will be the LOSER in this little adventure......the American employee.

 

While I am doing some posting on business related CULTURAL items. Here is another one.

Half of Gen Z see no point in saving until life goes back to 'normal' — here's what they're doing with their money instead

https://finance.yahoo.com/news/half-gen-z-see-no-100000808.html

(BOLD is my opinion OR what I consider important content)

"For 18-year-old Anousha Ahmed, her first job meant freedom.

“My focus wasn't really saving. It was more like, now I have all this discretionary income. I can do whatever I want,” says Ahmed, who is based in Virginia.

She briefly worked at a swim school for children earlier this year, and explains that she was able to use her money on experiences such as concerts, traveling, eating at restaurants and going roller skating.

Ahmed isn’t the only one in her age bracket putting savings on the back burner. Fidelity Investments’ 2022 State of Retirement Planning report found that half of Gen Zers don’t see a point in saving money until things return to “normal”, while 56% put their retirement planning on hold during the pandemic.

These percentages were slightly lower for millennials, and significantly lower for the Gen X and boomer generations, who are much closer or are already in their retirement years.

Ahmed says the COVID-19 pandemic showed plenty of young people how quickly their “normal” can be stolen away — so it’s been important for her to compensate for those missed years with exciting experiences and good memories.

Young people are investing in themselves

Plenty of young people may be taking advantage of their post-lockdown time to travel and take part in activities they couldn’t do before. But others may also be making strategic decisions around their finances.

With all the economic uncertainty going on right now, many young folks may be seeking some sort of control, says Lauryn Williams, a certified financial planner and founder of Worth Winning, a company that helps young professionals organize their finances.

She points to rising inflation — the consumer price index rose to 9.1% in June — and stock market volatility. Americans are facing financial strain due to rising housing, grocery and gas costs. It's also difficult to put faith into the stock market, which has seen some significant ups and downs this year.

“‘I don't want to lose anything else, I feel like I'm losing money all the time,’ is what someone said to me recently,” Williams recalls. She says some people may decide to hold onto their cash or put their money into things they can control.

Williams said that young people may consider investing in themselves and their professional growth instead — such as starting their own businesses or furthering their education.

Ahmed — a first year student at University of Virginia intends to major in commerce with a concentration on information tech and management — has often considered starting her own business as well.

And she says it’s important for her to take college classes that would benefit her and pursue a degree that would give her a “high return on investment” at the end of it.

“It's like, you make yourself better so that you can make more money in the long run.”

When should young people start saving for retirement?

The sooner people start saving for retirement, the better, Williams advises. You may be able to benefit from compound growth — which means your savings will grow with interest over time.

Most experts recommend you save at least 15% of your pre-tax income for retirement each year, assuming you begin at age 25.

However, a report from Transamerica Center for Retirement Studies — a division of the nonprofit Transamerica Institute that focuses on saving and financial planning for retirement — found that Gen Z investors typically start saving for retirement at the age of 19.

But you need to be able to adapt and rejig your priorities based on what’s happening in your life, Williams adds.

Not putting money into a retirement fund isn’t necessarily a bad thing, she explains — your retirement plan might just look a little different if you’ve decided to focus on your professional growth instead.

“More young professionals are betting on themselves,” Williams explains. “They're looking at the investment in themselves as their retirement plan, like I can fill this thing. And that's going to be the payoff.”

“Right now, [they may be thinking] I don't want to put money into a retirement account, because that's taking away from the dollars that I have been able to invest in myself and what I'm trying to do to achieve my dreams and create an impact for the world.”

It’s important to find the right balance with your finances

“The biggest thing is always that planning piece of the puzzle,” Williams notes. Many people increased their savings during the pandemic, which meant they had more room for spending when lockdowns were lifted and restrictions eased.

You need to keep asking yourself questions, she says. You may find yourself in situations where you’ll have to choose between being able to securely spend $50,000 in your retirement or having a good time with your family and friends right now.

She tells her clients to find areas in their lives where they can make adjustments on their spending.

“Where can I clip back in some other areas so that I can do the things that are at the top of my priority list?”

Ahmed says her current goal is to become more cognizant of the value of money and how to save it.

“I spent a pretty good chunk of the amount of money that I made at my job already. I would just go through it. Like it was nothing,” she admits.

When she starts college in the fall, Ahmed plans on finding a job or paid internship to sustain herself — and she says she’s going to budget her expenses as well."

MY COMMENT

Kind of a light-weight article.....but.....it illustrates the age old issue. When and how much to save for retirement or your future. There will ALWAYS be some reason or some excuse NOT to save. Humans are so good at self delusion.

 

Meantime....back at the short term markets today....we continue to sit and tread water. Sometimes you just have to let the markets consolidate gains.

 

HERE is the event that will determine how the markets do this week....RETAIL EARNINGS reports.

Walmart, Home Depot earnings, retail sales, existing home sales top week ahead
Other earnings on docket include ZipRecruiter, Krispy Kreme, Lowe's, Target, TJX Companies, Kohl's

https://www.foxbusiness.com/markets...s-retail-sales-existing-home-sales-week-ahead

(BOLD is my opinion OR what I consider important content)

"The retail sector will be a major focus this week with investors digesting July's sales data on Wednesday and corporate earnings throughout the week from major players, including Walmart, Home Depot, Lowe's, Target, TJX Companies and Kohl's.

Investors will also get fresh updates from the Conference Board's index of economic leading indictors and existing home sales.

U.S. stocks staged a strong rally Friday with all three of the major averages posting gains of 1%+ as investors cheered a modest pullback in consumer and producer prices, while speculating the Federal Reserve may ease the size of future rate hikes.

The Nasdaq Composite began a fresh bull market, rising 3% for the week, the highest close since April. Meanwhile, the Dow and S&P reached the best levels since May, rising 2.8% and 3.2%, respectively.

FOX Business takes a look at upcoming events likely to move financial markets in the coming days.

Monday 8/15
Kicking off the week for earnings will be Weber before the market opens and Tencent Music Entertainment and ZipRecruiter after the bell.

As for economic data, investors will be watching the National Association of Homebuilders' housing market index and the New York Fed's Empire State manufacturing index. Federal Reserve Board Governor Christopher Waller will also deliver opening remarks before the central bank's 2022 Summer Workshop on Money, Banking, Payments, and Finance.

Monday also marks the deadline of Sen. Elizabeth Warren, D-Mass., for the Environmental Protection Agency and Department of Energy to answer questions about energy reporting requirements in cryptomining.

Tuesday 8/16

Home Depot and Walmart will take the spotlight for earnings before the market opens on Tuesday.

On the economic data front, investors will digest building permits, housing starts and industrial production.

Wednesday 8/17

Earnings will ramp up on Wednesday with Analog Devices, Krispy Kreme, Lowe’s, Performance Food Group, Target and TJX Companies before the market opens and Bath & Body Works, Cisco Systems and Keysight Technologies after the bell.

Economic data on the docket for Wednesday will include retail sales, business inventories, weekly mortgage applications and the Energy Information Administration's weekly crude stocks.

Thursday 8/18

Retail will dominate earnings on Thursday with BJ’s Wholesale Club, Estée Lauder, Kohl’s and Tapestry all set to deliver quarterly results. After the bell, investors will hear from Applied Materials and Ross Stores.

Economic data for the week will conclude on Thursday with existing home sales, the Conference Board's index of leading economic indicators, the Philadelphia Fed's manufacturing index, and the latest in initial and continuing jobless claims.

Minneapolis Fed president Neel Kashakari will also participate in a Q&A session at Young Presidents Organization's Gold Twin Cities Chapter luncheon.

Friday 8/19

Wrapping up the week will be earnings from Buckle, Deere & Co. and Foot Locker before the market opens.

Richmond Fed president Thomas Barkin will also participate in a panel entitled "Riding the Wave: Maryland's Economic Forecast in Stormy Seas" before the Maryland Association of Counties 2022 Summer Conference."

MY COMMENT

SO this week we will get a look at the retail earnings that REFLECT the REAL day to day economy. These numbers will reflect the ACTUAL behavior of American consumers. That actual behavior is directly connected to the psychology and thinking of the consumer.

 

An EXTREMELY minimal loss in my account at this moment. We are obviously seeing a very light very low volume day. At least that is what it looks like to me without checking the volume data. EVERYONE that is an investment professional on the East Coast is on vacation.

( posted late since I forgot to hit "post reply")

 

Now....ignore the above post.....I NOW have a nice medium level gain for the day. EVERY stock is up except for Amazon. Now all the markets have to do is hang on for the next 33 minutes and we will have yet another positive day in the can.

It is so nice to see this little change in the market direction that we have seen for the past 7 or so weeks. personally I think it is the REAL DEAL. I am sure there are many.....market timers......that are waiting to see before getting back in. As usual....by the time they get back in.....they will have lost out of 10% to 20% in gains.

If it turns out to be a bear market rally.....I dont care....I have made up enough of my losses over the past 3 months......I dont think it is possible to revisit the prior low......so I will still be ahead by staying fully invested.

 

Goldman sees a ‘feasible but difficult path’ for the Fed to defeat inflation without a recession

https://www.cnbc.com/2022/08/15/gol...-to-defeat-inflation-without-a-recession.html

YEAH.....looks real difficult......since we have already had two negative quarters and are ALREADY in a recession.

 

This is interesting.

One Investor Is The Largest Owner Of Two-Thirds Of U.S. Companies

https://www.investors.com/etfs-and-...er-of-two-thirds-of-u-s-companies/?src=A00220

(BOLD is my opinion OR what I consider important content)

"Want to know who owns Corporate America? It's not Bill Gates or Elon Musk. It's Vanguard.

Thanks to the surging popularity of its index funds, Vanguard is now the No. 1 owner of 330 stocks in the S&P 500, or two-thirds of the world's most important collection of stocks, says an Investor's Business Daily analysis of data from S&P Global Market Intelligence and MarketSmith. No other investor comes remotely close. BlackRock (BLK) is a remote second-top owner, ranking as the No. 1 investor in just 38 S&P 500 companies.

This fact underscores just how powerful the ETF and mutual fund powerhouse has become in markets. Its inflow of funds from investors stand to sway markets miles beyond most other forces.

"BlackRock plus Vanguard consistently take in about 64% of all the cash which is in line with their (asset under management) market share, said Eric Balchunas, ETF senior analyst at Bloomberg. "(And there's) no slowing down the duopoly despite the onslaught of competition from some pretty massive companies."

Vanguard And The Dwarfs

It's hard to understate just how much of a force Vanguard is in markets. The ETF market shows its dominance the most clearly.

So far this year, investors poured $124.3 billion into Vanguard ETFs, or more than a third of the total, Balchunas says. BlackRock is second with inflows of just $89.6 billion, or 27%. And that's just in ETFs. Keep in mind Vanguard is also the largest provider of mutual funds.

All told Vanguard controls total assets of $4.6 trillion, or 26.4% of the fund family universe, Morningstar says. That's No. 1 by far. Fidelity is a distant No. 2 in terms of total fund assets at $2.3 trillion, or 12.9% of the total.

Vanguard's dominance is putting it into an extreme position of power at many S&P 500 companies.

Where Vanguard Places Its Biggest Bets

Thanks to Vanguard's massive asset base, it's the voice that matters most among investors. And it holds huge sway in the real-estate sector. All 10 of the companies Vanguard holds the largest positions in are in the real estate sector.

The fund company owns 15% or larger stakes of more than 20 companies in the S&P 500. Its very top position based on the percentage of company owned is real estate firm CBRE Group (CBRE). Vanguard owns nearly 17% of the company. BlackRock is the No. 2 holder with 10.2% of the company. The stock, this year, though hasn't worked out all that well for Vanguard. Shares of the company are down 20% this year.

CBRE, though, is a classic type of stock institutions like. It's in the relatively stable commercial real estate business. The company's profit is expected to rise every year from 2022 through 2026. This year, profit is seen rising more than 8% to $6.29 a share. Analysts rate the stock an outperform. They think the stock will be worth 100.63 a share in 12 months, or nearly 16% more than it is now.

Vanguard is also the biggest wheel at Extra Space Storage (EXR). The fund company owns 16.7% of the real estate firm. It's also an institutional style company like CBRE. The Salt Lake City real estate company runs nearly 2,000 self-storage centers in 40 U.S. states. It's a steady-as-it-goes business, too. Profit is seen rising every year from 2022 through 2025. And the stock is holding up better than many. It's down just 6.8% on the year and yields 2.9%.

Is Vanguard always right? Not even close. But when the market has a participant of this size, you need to pay attention to it.""

MY COMMENT

This is not just the POWER of Vanguard......it is the POWER of the little retail investor. This shows very clearly that is NOT the big wall street institutional investors that companies should be listening to.....it is the average little investor.

Little do most of us know that as a WHOLE.....WE.....are the real power behind the markets. We are are one's that everyone should be listening to. We are the one's with the real power to tank the markets.......or.....drive the markets......at will.

 

LET THE GOOD TIMES ROLL....we continue in RALLY MODE. The markets were nicely up again today. It has been hard to lose money lately. How long this will last is anyone's guess.

I made good moderate money today in my account. Eight of ten stocks UP for the day. Down stocks were Amazon and Home Depot. Home Depot reports tomorrow.

So....I was nicely GREEN today. I got in a beat on the old SP500 by 0.30%. My year to date is NOW......(-14.2%). The SP500 is NOW out of correction at (-9.84%).

If we can extend this rally for a while......we can SIGNIFICANTLY improve our chance to end the year......POSITIVE. Can you imagine....after all we have gone through this year?