Josh Brown, CEO of Ritholtz Wealth Management, made headlines on CNBC last week. By the closing bell on October 2nd, the Dow had dropped close to 2%. This marked the 7th straight quarter of zero progress since the trade war started in January 2018. CNBC Closing Bell anchor Wilfred Frost asked Josh the question, "what's your advice for investors on a day like today?" Josh Brown's response was, "my advice never changes. Diversified portfolios are the key." I loved this response because it mirrors my own beliefs about investing. In 2018 every time you turned on the TV another market commentator was telling you interest rates are going to rise, and it’s a bad time for bonds. Had you listened to them and sold your bonds you would’ve missed out on the +17% increase long-term treasuries have seen since January 2018—a return that’s even beaten the stock market over the same time period. You can watch the full clip below.
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*These are the general views of Stanton Burns and they should not be construed as investment or financial advice for any individual. Opinions expressed are subject to change without notice and are not intended as investment advice or to predict future performance. Stanton Burns does not maintain positions in any securities mentioned as of the writing of this article. Past performance is historical and does not guarantee future results.