WEALTH, WAR and WISDOM
What do you think would have happened if you "took cover" or cashed out your investment portfolio after hearing news of the unprecedented Japanese attack on Pearl Harbor, knowing it meant the start of a new World War?
It's worth considering, in light of current global conflicts and uncertainty. Would you have "gone to cash" for a few months or even years?
Barton Biggs was arguably one of the finest minds on Wall Street. As an investment strategist, he had great respect for markets and their complexities and pitfalls. He never succumbed to "gloom and doom" syndrome of to the "madness of crowds" trap.
In his book "Wealth, War and Wisdom", Barton Biggs analyzed stock market behavior during the key events of World War II and previous wars, and the results are truly fascinating as you can see in the chart below.
Had you "rationally" panicked and sold after hearing of the bombing of Pearl Harbor, you would have missed the start of one of the greatest BULL MARKETS in history.
Wall Street maxims persist because they distill timeless truths about market pricing, human behavior, and even insider pre-knowledge of events and plans.
"Buy when there's blood on the streets, even if it is your own"
-attributed to Baron von Rothschild
"The New York Stock Exchange is the only store in the World where consumers sell stuff when it goes on sale"
Remember, you don't have to go it alone. Our team is here to help you to not only take advantage of the best "on sale" values out there right now, but to help you navigate the next market dip or geopolitical crisis so you can relax and focus on family, life, and what you enjoy and do best. Just give us a call or use the "Ask a Question" box throughout this website.