13. Speculation exists today in real estate, private equity and art. Still valid.
My beliefs remain for the most part intact. I continue to be pleasantly surprised by how managements are adapting to this global competitive environment.
Management is everything to me. There is a reason why Alcoa, Dow Chemical, GE, Honeywell, Nucor, JP Morgan Chase, Wells Fargo are best in class. Then take a look at Facebook, Google, Apple, Starbucks, Visa to name some more. I am long 25 of the best managements in the world who have winning long-term strategies regardless of the economic environment. And that is the key to be a successful investor. Be patient and maintain ample liquidity at all times to take advantage of market moves like last week.