Q3 2009 Client Letter
The world is full of diametrically opposed views of where we sit today. The hard part is distilling the information into useful and practical decisions. Currently it is easy to find one expert who is convinced the markets are poised for a precipitous fall similar to the Great Depression, and another who believes with equal conviction that the market is building a base with potential gains of at least another 20%. The optimistic experts remind us that over $9.5 trillion of cash sits on the side-lines in money market funds, bank deposits or other cash equivalents – enough capital to buy all the companies that make up the S&P 500.