Category: Quarterly Investor Letters

Market divergences and reversals, which characterize this year’s performance, continued through the Third Quarter. Index-level volatility remained low and stable while single stock volatility surged.

Divergences and reversals characterized market performance in the Second Quarter. Notably, the Philadelphia Semiconductor Index posted a record quarterly gain. However, two of the sector’s

For the first time in three years, Artificial Intelligence (“AI”) was not the focus of investors. The Iran Conflict (some commentators call it “Gulf War

Gold and Silver bullion were the best performing assets in 2025. New record prices finally eclipsed, on an inflation-adjusted basis, previous highs set in the

Market commentators remain puzzled by several aspects of this year’s economy. First, tariffs have not contributed to broad-based inflation. Price increases for some products have

The S&P 500 achieved a record high during the Second Quarter despite general investor angst regarding the economic impact of tariffs. In terms of major

The S&P 500 continued its post-election rally until peaking mid-February as trade and policy uncertainties began to weigh on investor sentiment. Through the end of

In 2024, we disagreed with consensus forecasts regarding Fed policy, interest rates, inflation, and the bond market outlook. For example, we felt Wall Street strategists

The Fed initiated a series of aggressive rate hikes in 2022, from near zero to eventually terminating at 5.50% in 2023. In September, the Federal

Cash generally does not provide higher returns than fixed income securities, but for an extended period, that has been the case. In fact, money market