The month of September has remained true to its bad reputation on Wall Street with high volatility and declining share prices. And on top of that, we are facing another traditionally volatile earnings season for equities, coupled with a presidential election like never before in our lives. Oh, and let’s not forget that nasty little thing called Coronavirus also still lurking around.

Accordingly, the S&P 500 fell by -3.9% and the MSCI World Index by -3.3%. At least 20-year bonds rose a bit by +0.9%.

Unfortunately our strategies also took hard hits with Universal -1.4%, MiniMax -9.4% and Pro -16.7%, reversing gains back to July.

A number of analysts expect (hope?) that revenue growth may pick up again in the third quarter. We will see if this is true, as the profits for the third quarter will be available in just a few days. As it seems, this could be a historic, all-decisive earnings season for the general health of the market, both psychologically and economically.

An then I propose a small change based on my recent research: as it seems particularly for stocks it is better to always rebalance on a Monday, so that’s what I am going to do going forward.

The current allocations are calculated based on the last close (should you still want to rebalance today), but I will recalculate allocations and send an update this weekend.

Stay happy, healthy and wealthy!

Omar