William Smead
Chief Executive Officer
Chief Investment Officer
Chief Executive Officer
Chief Investment Officer
Oil and natural gas prices appear to be beginning to unwind. If they unwind, the investment landscape could change on a dime. Barron’s had a chart in it this week which showed five times in the last 35 years when investors chased popular stocks (those which had performed the best in the prior four years) and neglected value investments. It was the five-year market low in 1974, 1982, 1990, 2002 and today. Energy, basic materials and commodity-related investments have been the most popular. Retailers, consumer durable companies, drug companies, phone companies and financials are at the other extreme. We don’t have a crystal ball, but we like our position in the market, the companies we own and are very optimistic.