THE ERA OF VALUE IS UPON YOU

Long ago, during another lifetime, the dot coms blew up horrendously leaving me dead in the streets, nearly penniless. At the time I had invested in “new economy” stocks because brick and mortar was boring and old hat. My young 20 something friends and I would make fun of all the older men at the brokerage firm stuck in GE, laughing at their monthly commissions. We pissed on them and they knew it. Then it all ended and the old men rose up and smashed us to pieces with their canes and demanded we buy Tootsie Roll.

I never thought it would happen, but it did.

Looking at the market now, I have an odd sense that Biden being 10,000 years old might usher in a period of value for markets — a proverbial and spiritual return to basics. Like Trump was a loose cannon and shit flinger on Twitter, Biden will be the opposite, less exciting and boring — just like value stocks.

I sold the following an hour ago for gains and have since redeployed a portion into other stocks, mostly value.

LEVI +5%, ARI +4.6%, JMIA +4%, NYMT +3.5%, NAIL +7%

For the session, I am +110bps, but my other portfolios are in ashes, smoked out because high growth plays are still get beaten to death. You’re wishful that we might return to the mean and get back to penny plays; but I am here to tell you that era is over. We are now in a new era, one of value an austerity. Your gains will be small, just like your GDP — and there’s nothing in the god damned world you can do about it.