And so, we move on.
Not simply the collective “we”
of the markets, nor the political parties, nor any special agenda groupings,
but, really, the global tapestry which can now divert its attention from
American politics and focus once again on capitalism, peace-making and common
ground solutions.
I am not a political
analyst. I am a markets strategist and
scientist whose proprietary metrics of analysis allow me to zero in on
market-related data that reflects both current and future trends that impact
upon social, economic, political and philosophical outcomes.
One headline last week
proclaimed, for example, “Obama wins, financial markets lose.” Obviously, this is a subjective “point-of-view”
interpretation of the election results. However,
let’s agree that the financial sector fumbled and fell of its own devices in
the past decade, spurred on by an incessant desire to manufacture product and
profit long after their halcyon days of meaningful moral contribution had
ended. In the end, as a portfolio
manager I underweight financials because of their inability to create earnings
derived from demand and social consciousnesses.
If anything, the President’s re-election might be a boon to that sector,
an invitation for them to free up capital, participate in the free enterprise
entrepreneurship Mr. Obama’s opponents so highly covet, and to do so by
reviving their operations, their share price, and their moral standing.
Thus, not only might the U.S.
financial markets gain by this outcome, but the global markets, too, can
begin to bank (figuratively and literally) on common themes that lift people
and profits.
You and I.
I have written extensively
that economic ideals can be driven by one party or another. But these ideals are not embodied simply by
one man. In that respect, my metrics
show that market behavior cannot be governed or dictated by an individual. Endemic themes, such as healthcare,
technology, infrastructure, energy, education are the domain, indeed, as much
of the private sector as by government.
You want it? Invest in it. Participate in it. Allow your leaders to create a playing field
upon which your success or failure is determined by your efforts. But let those legislative institutions make
it a fair fight, in which the backyard entrepreneur can be as successful in his
realm as the most powerful corporate entity.
I call this “the better
mousetrap theory” and for decades I have built quantification of capital
and asset allocation based upon demand, momentum, and breadth of social and
moral participation.
Going from here.
Challenges are looming, let’s
be clear. The capital markets are frozen
and inert, bereft of leadership, direction, or conviction. Left to their own devices, nations have
become jingoistic, isolated.
I talk often of a seminal
moment in my lifetime, when Apollo astronauts first circumnavigated the moon in
1968 and broadcast the “Blue Marble” photo of Earth back to us. So fragile did we all seem. For me, at least for that moment as a young
man, there were no divisions amongst the peoples of our planet. Indelibly, that image governs my science and
moral suasion to this day.
Isolation, inconsiderate
behavior, jingoism and me-too capitalism will not reinvigorate the financial
markets. Last week, no one “won,” and
everybody “won.” It is up to us to
deploy our capital in a mature way that meets the needs of a young and old
population…and a fragile planet that is our craft and safe resting place on
that journey.
No comments:
Post a Comment