Time to show character.
Iwiz: When euphoria is near, it is the time to fear.
Quick edit: Good times bring their own subset of problems. For investors attuned to buying stocks cheap, this market is not a go-to place. Value is no more apparent. Where value is cheap, there are policy gaps that aren’t going to be filled anytime soon. This makes it challenging to deploy money aggressively. One needs to dig deeper to understand opportunity that could emerge a year or two from now. That is a remarkable shift from what we did a year ago. Then, all we did was walk the street and pick whatever we liked. A year ago, the stock market was very much a flea market where abundant bargains were strewn all around. Today, there aren’t too many. The challenge is to buy what will become bargains tomorrow. For that one needs to be precise in our investment assumptions, prudent in capital allocation and patient for performance delivery to kick in. The market needs to show the requisite character to carry itself through the distance without losing faith or gaining fear.