A Gentle Reminder

To equity investors everywhere,

You own shares in businesses. Not numbers on a screen or lines on a chart. Businesses. Living, breathing entities run by people. And unlike politicians, businesspeople are smart (for the most part). They roll with the punches. They make adjustments when things go awry. They don’t stand on a ledge or beg for donations or run in popularity contests. They put their heads down and work. And think. And figure out how to keep providing value to shareholders. Regardless of the headlines.

The never-ending tariff saga continues. Interest rates and government bonds (IOUs) make headlines daily (when don’t they?). And odds are the market’s fascination with what “AI” and LLMs could, should, will, or might do won’t end well.

Do you think business leaders are sitting in their offices with blinders on, scrolling through TikTok and Instagram, completely ignoring the news, hoping for the best? Of course they aren’t. They’re figuring out how to adjust given tariffs, interest rates, “AI,” and whatever else the world might throw at them.

Don’t get me wrong, a ton are probably making mistakes today or will make mistakes tomorrow. These businesses could either get hammered and never recover or disappear entirely. Businesses disappear all the time because the marketplace is cutthroat and competitive. That’s why investors diversify. But writ large, most companies find a way. Crises end. Unsolvable problems somehow get solved.

If your investment portfolio is aligned with your plans and risk tolerance and goals, then you need not make any adjustments in the face of scary headlines. I’d go so far to say making portfolio adjustments because of a headline or two is just bad investing. You don’t need to make adjustments because the businesses you own are making them already.

Never forget this,

Vince