Barely five months ago, the Brits defied all forms of polling and Brexit passed, pushing global markets into a short lived tailspin.
Last night, US citizens defied all forms of polling and elected Donald Trump the 45th President of the United States, pushing global markets into a tailspin.
Pundits remind us that investors and businesses love certainty. Right now, global markets are suggesting anything but, with the election of Mr. Trump.
As of Wednesday morning, these same global markets have recouped much of the initial sell-off, suggesting that despite the unknowns, there are a few things we can count on . . .
Global markets will continue to facilitate growth and trade around the world, albeit at a slower pace than the previous half-century.
Over time, markets will digest any changes to global trade pacts and any changes in the dynamics of business and personal taxation, and will continue to reflect the one overriding component that drives long term returns; the productivity of human beings to continue to pursue a better life for themselves, their families and their communities.
Soundmark expects to see more short lived volatility through year end, but we are confident that during the coming six months, as investors and businesses begin to digest the new administration’s policies and trade pacts, global markets will look beyond the uncertainty of this moment and continue to reflect the underlying productivity of people and economies around the globe.
We encourage you to call us with any questions or comments as it relates to your portfolio and your financial plan.