The S&P 500 posted its best four-month run since 1999 with a gain of +18%. Markets have recouped all of the losses suffered in the final months of 2018 as the Federal Reserve has indicated it has no plans to raise interest rates this year amid a surging U.S. economy and solid corporate-profit growth.
Prudent investors know market fundamentals can reverse course suddenly and with little warning. Our goal is to generate above market performance, below market volatility, and superior performance over the long term. We do this through a methodology founded on valuation. We remain steadfast in our methodology to sell or trim overweight, appreciated positions and when possible pair those gains with tax losses elsewhere within the portfolio. It is all a disciplined approach that results in portfolios comprised of financially sound companies with solid long-term growth prospects. Our long-term orientation allows us to look out further on the horizon to capture investment returns.
