Coronavirus-Proof Your Portfolio
Dear Rundown Reader,
Another heated Democratic debate last night… and this time everyone was gunning for Bernie. (Yes, for better or worse, I watched beginning to end.) And Bernie again embraced the moniker Democratic socialist — something we discussed yesterday.
Here are some of your opinions on the matter…
“Is a ‘Democratic socialist’ a Communist? Yes! Whatever Bernie wishes you to think, he and his ilk are totally anti-capitalist.”
Another reader disagrees, and wants you to think for yourself:
“The majority of Americans — along with some people in the rest of the world — are sorely misinformed. Socialism is not the same as communism.
“Most are not stupid, just mentally lazy, letting others do the thinking for them (aka politicians).”
Last, a reader’s thoughtful response…
“Socialism is always just communism in its infancy.”
More of your opinions?
Send your opinions to, TheRundownFeedback@SevenFigurePublishing.com.
Your Rundown for Wednesday, Feb. 26, 2020
The last two days have been a crazy trip.
The market’s thrashing Monday only intensified yesterday as the Dow lost roughly 2,000 points in two days. Not helping matters was the CDC’s recommendation that Americans prepare for the spread of the coronavirus.
Pandemic pandemonium, indeed. (To be clear, the WHO still isn’t calling COVID-19 outbreak a pandemic. Yet.)
Nigel Green, CEO and founder of deVere Group, says investors should “coronavirus-proof” their portfolios. While he believes markets will rebound, he expects the rebound will be “U-shaped” rather than “V-shaped.” (Meaning more time near the bottom.)
Green’s suggestion? Plain old diversification across asset classes, geographical regions and currencies.
Speaking to that, Teodor Dilov analyst at Interactive Investor says: “This would include bonds, alongside traditional haven assets such gold. A cash alternative via short-term bond funds may be another area to focus on.
“Last but not least, cash is considered by many as almost completely risk-free,” Dilov says. “However, instead of piling it in [your] portfolio, investors could allocate some proportion to money markets and ultra-short dated bond funds as a tactical move.”
Good advice. Proceed accordingly.
Market Rundown for Wednesday, Feb. 26, 2020
S&P 500 futures are up 23 points to 3,150.
Oil’s up 17 cents to $50.07 for a barrel of WTI.
Gold’s down $11.70 to $1,638.30 per ounce.
Bitcoin is down $309.28 to $9,038.86.
Send your comments and questions to, TheRundownFeedback@SevenFigurePublishing.com.
Have a good one; we’ll catch up Friday.
For the Rundown,