November marks the beginning of the “seasonally strong” half of the year. However you measure it, the November through May period has produced some of the best returns.
Now I will admit we have a wall of worry in front of us, and it is hard to take a contrarian approach to manage portfolios with the market. However, this has become a stock pickers market, and investments should be in those areas that have not rallied yet. Small-Cap stocks look attractive here. Also, those areas could benefit from inflation. Volatility will still be with us, but the upward trend is still intact.
The key here is discipline. Stay with your plan and do not listen to the market noise. Interest rates are still low, demand is very high, and profits look strong.
Thanks for reading,