Market Commentary

The financial markets have been roiled by the turmoil in the housing and credit markets.  
The following table shows results as of September 30th for some important market indicators: 
 
Sept 3rd Qtr YTD 
NASDAQ Composite -12.0% -9.2% -21.5% 
S&P 500 Index -8.9% -8.4% -19.3% 
Average Domestic Equity Fund -10.5% -10.3% -19.7% 
Average International Fund -13.7% -20.7% -29.6% 
 
Headline numbers like these can be very frustrating and disheartening for investors.  
However, a typical Fortress account did much better than this! By moving over 90% of the account to the safety of money market funds, including U.S. government money market funds, we were able to avoid the lion's share of the declines mentioned above.  
A typical account lost less than 1% in September, about 3% in the 3rd Quarter and about 8-9% for the year. 
By minimizing losses, we are preserving capital for a better day when the markets begin a meaningful advance. The upcoming presidential election is causing uncertainty in the markets. Also, October often brings important market moves, both on the downside and the upside. Research shows that the most profitable time for stock market investors is the period October through April. We are entering that time frame now. Our current money market positions, and patience, are likely to be rewarded. 
Please contact me if you have any questions, or wish to discuss the current market conditions further. 

The financial markets have been roiled by the turmoil in the housing and credit markets.  
The following table shows results as of September 30th for some important market indicators: 
 
Sept 3rd Qtr YTD 
NASDAQ Composite -12.0% -9.2% -21.5% 
S&P 500 Index -8.9% -8.4% -19.3% 
Average Domestic Equity Fund -10.5% -10.3% -19.7% 
Average International Fund -13.7% -20.7% -29.6% 
 
Headline numbers like these can be very frustrating and disheartening for investors.  
However, a typical Fortress account did much better than this! By moving over 90% of the account to the safety of money market funds, including U.S. government money market funds, we were able to avoid the lion's share of the declines mentioned above.  
A typical account lost less than 1% in September, about 3% in the 3rd Quarter and about 8-9% for the year. 
By minimizing losses, we are preserving capital for a better day when the markets begin a meaningful advance. The upcoming presidential election is causing uncertainty in the markets. Also, October often brings important market moves, both on the downside and the upside. Research shows that the most profitable time for stock market investors is the period October through April. We are entering that time frame now. Our current money market positions, and patience, are likely to be rewarded. 
Please contact me if you have any questions, or wish to discuss the current market conditions further.