January 15, 2007
December/January 2007 Investment Insights
This edition of Investment Insights will be the first time in a while that I have made a significant change to the overall subject matter that will become a staple of the monthly report. For the past two years, we have provided a smattering of economic and investment information in both table, graph and written format. Some of this is geared as informative and others are educational.
While the core components of the newsletter are going to remain, there will be a significant addition to the back page. It will provide an in-depth look at the sectors that make up the markets and the performance of industry groups within those sectors. Each month there will be a different group highlighted and a commentary about the major catalyst that was driving performance.
As you can see, when you flip over to page four, there are two specific tables that will be highlighted. The first is the overview of the ten sectors that make up the S&P 500 index. These are considered to be the core areas within our economy and range from consumer related companies to technology and health care. Drill down more and you will find the specific industries that make up the sectors and below these are the specific companies represented.
January’s edition will start with consumer discretionary, and we will move forward alphabetically until all ten are covered and then we will start again.
In addition to the sectors, Investment Insights will continue to provide the latest economic trends as well as analysis of stocks. Each month we will highlight at least two specific stocks from within a sector. These are usually companies that we have an interest in buying, selling or shorting.
For example, last month we highlighted the digital photo area by showcasing Adobe and SanDisk. Each of these has the premiere products in their respective industries. SanDisk provides digital memory in the form of cards for use in many electronic devices while Adobe is a software manufacturer. Their software is by far the pre-eminent programs used by photographers, website developers as well as creative artists.