Investing Newsletter - Jul 2016
Despite a historic US stock price drop at the start of the year and the recent Brexit vote, most asset classes showed positive returns for the first half of 2016
In volatile markets, it’s important to remind yourself of what you really own when you own a diversified collection of stocks as part of your portfolio.
Ideally, a client of ours will have underlying stock ownership in 5,500 – 11,500 companies from all over the world.
These companies have millions of employees that work diligently day after day and year after year in an effort to increase the earnings of their companies.
In aggregate, these companies make a profit and part of this is paid out to shareholders in the form of dividends.
Ignoring the often sensationalist day to day financial news and focusing on the progress mankind continues to make can help you maintain a positive long term focus.