{"id":50568,"date":"2020-05-06T12:22:42","date_gmt":"2020-05-06T16:22:42","guid":{"rendered":"https:\/\/www.technologyinvestor.com\/?p=50568"},"modified":"2020-05-06T12:22:42","modified_gmt":"2020-05-06T16:22:42","slug":"mellow-today-diversification-tomorrow-an-obvious-short","status":"publish","type":"post","link":"https:\/\/www.technologyinvestor.com\/?p=50568","title":{"rendered":"Mellow today. Diversification tomorrow. An obvious short?"},"content":{"rendered":"

I’m into mellow today. No freneticism. No freneticism to make stupid decisions.<\/p>\n

+ From CNBC.com:<\/p>\n

\u00a0 If the coronavirus lockdown has frozen your investing plans, you’re in good company. Charlie Munger is watching and waiting, too.<\/p>\n

\u00a0 Mr. Munger, vice chairman of Berkshire Hathaway Inc. and Warren Buffett’s longtime business partner, likes to say that one of the keys to great investing results is “sitting on your ass.<\/strong>” That means doing nothing the vast majority of the time, but buying with “aggression” when bargains abound.<\/p>\n

\u00a0 I spoke this week by phone with Mr. Munger, who turned 96 years old on Jan. 1. He sounded as sharp and vigorous as ever, and as usual he drew bright lines between what he’s fairly certain of and what he thinks belongs in the “too-hard pile”-where he and Mr. Buffett consign questions they don’t know how to answer.<\/p>\n

\u00a0 Overall, Mr. Munger made it clear that he regards this as a time for caution rather than action.<\/p>\n

On CNBC this morning, Roger McNamee, 64, talked about his preferred portfolio — treasuries and tech stocks.<\/p>\n

J.P,Morgan did a webcast yesterday with billionaire Ray Dalio. His conclusion for today’s uncertain times — extensive diversification, which coincidentally is what I wrote yesterday as my\u00a0\u201cbrilliant\u201d 5-part going forward strategy:<\/p>\n

\u00a0 + Stock prices are largely over-priced \u2014 based on standard value theories of earnings, growth, dividends, etc. Hence few bargains left, though I continue to look.<\/p>\n

\u00a0 + Stock prices today are based on several things \u2014 heavy emotion, \u201chot\u201d areas (like stray-at-home stocks). Emotions can evaporate from one moment to another, as they did in late February\/early March.<\/p>\n

\u00a0 + When things are uncertain (as of now), my \u201cstrategy\u201d is called diversification and be opportunistic. Hold lots of cash to be able to pounce, if something good comes along.<\/p>\n

\u00a0 + Wear a mask. Stay distant. Wash your hands. Don\u2019t touch your face. The usual stuff.<\/p>\n

\u00a0 + Stay normal. Stop panicking. Stop freaking out. Do what I can for the family. Play oodles of tennis. Don\u2019t get too fat.<\/p>\n

How can this NOT be a Cockroach Stock?<\/strong><\/span><\/p>\n

And a great short.<\/p>\n

Tyson Foods – the big meat packing plant company that’s infecting and killing its poor workers.<\/p>\n

\"\"<\/p>\n

My historic Cherry Blossom tree<\/strong><\/span><\/p>\n

Yesterday I reported I was planting a tree to mark the Spring 2020 debut of the coronavirus and all we are going\u00a0through.<\/p>\n

\"\"<\/p>\n

Reader Ron Manuel emailed me:<\/p>\n

True story: My uncle retired to North Carolina and built a home. He heard the US Forest Service was\u00a0giving away trees. He wanted about 100. He knew someone who was a long-haul trucker and borrowed his big rig\u00a0to go to the Forest Service. When he got there and asked for his trees, they handed him a medium-sized plastic bag\u00a0with 100 trees inside.<\/p>\n

Why do I relate to this wonderful story?<\/p>\n

Festering repairs<\/strong><\/span><\/p>\n

Yesterday we switched our 16-year old water filtration plant. Now we have clean water.<\/p>\n

The cure for all diseases<\/strong><\/span><\/p>\n

It’s not the cure for all diseases. But a glass of water sure works wonders.<\/p>\n

Then another glass.<\/p>\n

Favorite Claire and Sophie photos.<\/strong> <\/span>35 years apart.<\/p>\n

Claire, left, is my daughter. Sophie is Claire’s daughter, my granddaughter.<\/p>\n

\"\"\u00a0\"\"<\/p>\n

I suspect I won’t be around for Sophie’s daughter to complete the trilogy. Though if she marries at at 12, I’d only have to wait another 12 years — when I’ll be 89. I could do it. Will Sophie?<\/p>\n

See you<\/p>\n

 <\/p>\n","protected":false},"excerpt":{"rendered":"

I’m into mellow today. No freneticism. No freneticism to make stupid decisions. + From CNBC.com: \u00a0 If the coronavirus lockdown has frozen your investing plans, you’re in good company. Charlie Munger is watching and waiting, too. \u00a0 Mr. Munger, vice chairman of Berkshire Hathaway Inc. and Warren Buffett’s longtime business partner, likes to say that […]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[1],"tags":[],"class_list":["post-50568","post","type-post","status-publish","format-standard","hentry","category-uncategorized"],"_links":{"self":[{"href":"https:\/\/www.technologyinvestor.com\/index.php?rest_route=\/wp\/v2\/posts\/50568","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.technologyinvestor.com\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.technologyinvestor.com\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.technologyinvestor.com\/index.php?rest_route=\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/www.technologyinvestor.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=50568"}],"version-history":[{"count":5,"href":"https:\/\/www.technologyinvestor.com\/index.php?rest_route=\/wp\/v2\/posts\/50568\/revisions"}],"predecessor-version":[{"id":50579,"href":"https:\/\/www.technologyinvestor.com\/index.php?rest_route=\/wp\/v2\/posts\/50568\/revisions\/50579"}],"wp:attachment":[{"href":"https:\/\/www.technologyinvestor.com\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=50568"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.technologyinvestor.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=50568"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.technologyinvestor.com\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=50568"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}