Barry Schwartz says fear has overtaken the facts in how investors are viewing the stock markets. The TSX and S&P 500 are relatively flat year-do-date, yet Barry says the backdrop shows continued economic strength and record dividends, buybacks and earnings. He says there are plenty of reasons to be bullish and stocks are not expensive.
Barry Schwartz is no fan of holding cash. He never has a cash balance in a client portfolio, saying "cash is a depleting asset that loses value daily" because of inflation. He points to how inflation has eroded the purchasing power of the U.S. dollar over the past 100 years.
After the TSX posted its ninth straight winning session on Wednesday, May 16, Barry Schwartz says he’s “not shocked” to see the index recover. And “if things calm down in the markets,” he says investors could see a return of at least 10 per cent.