Our discipline for determining value gives us the emotional fortitude to accumulate from forced sellers or fearful investors.  Using this process, we cannot be sure that value will be unlocked over a short period of time, but we can be confident that is should over the time frames targeted by our portfolios.  As the father of value investing, Benjamin Graham, wrote, value itself presents a “margin of safety” and thus posed better risk/reward potential over longer periods of time.  At RiverFront this is the essence of our Price Matters process.  In our experience, the primary challenge is when it takes longer to come through, and clients either lose patience or trust in our process.

David Fuller's view

Here is a PDF of The Weekly View.

Rod Smyth can be forgiven for not sticking his neck out this week as stock markets react from overhead resistance and short-term overbought conditions following last week’s rally.

Today’s further slide in US 10-Yr bond yields below the August & October lows shows just how nervous investors are today.  Confidence in stock markets is low, which is not surprising given the start to 2016 that we have seen.