I am bullish on financials.
I have owned a few post the 2008 crisis (Bank of The Internet was my fave $BOFI), but stuck with simple growth and balance sheets. If you bought financials in 2009 you have crushed it like everyone else. Well done.
With rates bottoming and rising, I have started liking financials, not the big money center banks which like Walmart and McDonalds I vote with my wallet and just won’t own. I like Interactive Brokers (not long yet), Schwab and Wisdom Tree. Like I have also been saying, the early stage disruption in all things financial will continue. Google Ventures has started allocating money here and it is hard to contain my enthusiasm.
Now that the crisis is clearly behind the banks (not America), and the surviving banks have the cash, only a ‘global ‘bad mood’ can slow them down.
This brings me to an old subject I touched on in 2008…witch hunts and perp walks.
In September 2008, we should have had them (witch hunts). I wanted them. I would like to think that Social Media, if as pervasive as it is today, would have pinned the tail on the right donkeys. Twitter was just a gleam in the public’s eye. I was just starting Stocktwits. Here is what I wrote in September 2008.
This weekend, a woman named Justine Sacco, a PR person for Interactive Corp. wishes that Twitter was not so popular. She has since deleted her account from Twitter but her name lives on via Twitter search and parody accounts. She has been fired from her Interactive, but was qualified enough to work there with The WWE on her resume.
Justine was part of a witch hunt. We love to shoot things. It’s a shame we have such bud aim and such poor target selection.
The Justine Sacco witch hunt is also the EXACT reason America needs much stricter gun laws.