Locator: 50912INVESTING.
Personal investing: again, for the extended family; not for general readership.
Folks may have noticed this today:
Wow:
- DIJA: up almost 1,000 points; haven't seen that in a long time --
- S&P 500: up about 30 points; not bad --
- NASDAQ: down all of 0.12%! Wow.
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Banks
Re-posting from May 14, 2026, link here:
Locator: 50808INVESTING.
Personal investing: for the extended family; not for general readership.
Some thoughts:
- prior to 2018: I was overweight in energy in individual stocks in my portfolio; balanced by pension, retirement accounts; dividends;
- 2018: AAPL became my largest holding among individual stocks in my portfolio, again, balanced by pension, retirement accounts; dividends;
- 2022: pivoted to tech; only thing I bought (with some minor exceptions) was tech, mostly "mag 7" and some infrastructure; and bought a lot of it;
- 2026, first quarter: completely quit investing in tech; too expensive; did not sell anything; bought AAPL on dips; bought Schwab ETFs; watching closely for opportunities in tech;
- 2026, second quarter: drew the "S" curve -- see below; asked where to pivot,
where to start adding small positions for the 2036 time frame;
literally "all" new money each month will go into "something else,
looking to the future, ten years out."
- Among tech, will buy AMZN and WMT on dips; will watch MCD;
- so the question is: what is that "something else, looking to the future, ten years out."
- banks / financial: generational wealth transfer; and how AI will change this industry; and,
- biotech: research into longevity
- again, no cash, no bonds.
Specifics:
- Banks and financial institutions: easy to come up with likely winners.
- Biotech: much more difficult.
- start
by query: what pharmaceutical companies are looking into life longevity
with focus on ten years out? Then pick out biotech companies you might
be interested in, and ask specifically if those biotech companies are
involved in such research.
So, what does that mean? Because of my rules:
- banks and financial institutions: BK
- biotech: AMGN
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AI Investing
Like all biological phenomena and revolutions, this current AI revolution will also follow the standard "S" curve.
Point A, about 2023: it had become obvious that one should have began investing heavily in AI by now. Interestingly, the term "Magnificent Seven" (Mag 7) was coined in 2023
by Bank of America analyst Michael Hartnett. He created the nickname to
describe a group of seven dominant, high-performing U.S. technology
stocks—Alphabet, Amazon, Apple, Meta Platforms, Microsoft, Nvidia, and
Tesla.
Point B, about 2028, will be the last opportunity to continue investing aggressively in AI. The Mag 7 will have greatly expanded by then. One might argue we'll see a resurgence of "a" Nifty Fifty.
Between points A and B aggressive investors need to continue aggressively invest in AI, but transition from the Mag7 to the Towering 20.
Many of these new twenty companies will be the results of IPOs between now (2026 and 2028).
Unless there are indications that the growth/excitement of the current AI revolution continues beyond 2030,
the investor needs to pivot. And pivot quickly. The market -- certainly
the AI market -- could plummet 20 to 25 percent once the average
investor sees what is going on. One may already need to consider
pivoting from the current Mag 7 to something new.
Between
now and then, keep reading everything you can on societal and
geo-political changes. The trick will be to anticipate the next Mag 7.
My own hunch: pharmaceutical companies that focus on "healthspan
expansion" and even, perhaps, "biological age reversal." Beware
charlatans.
It's not too late to invest in the current AI
revolution, but by next year this time -- maybe sooner -- investing in
the current Mag 7 will be challenging -- the real winners (investors) will be those who correctly anticipate the Towering 20 in 2030. Maybe we will see thirty such tickers by 2030 ... "thirty for 2030" --- "30 for 30."
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Disclaimer
Briefly
Briefly:
I am
inappropriately exuberant about the Bakken and I am often well out front
of my headlights. I am often appropriately accused of hyperbole when it
comes to the Bakken.
I am inappropriately exuberant about the US economy and the US market.I am also inappropriately exuberant about all things Apple. See disclaimer. This is not an investment site. Disclaimer:
this is not an investment site. Do not make any investment, financial,
job, career, travel, or relationship decisions based on what you read
here or think you may have read here. All my posts are done quickly:
there will be content and typographical errors. If something appears wrong, it probably is. Feel free to fact check everything.
If anything on any of my
posts is important to you, go to the source. If/when I find
typographical / content errors, I will correct them. Reminder: I am inappropriately exuberant about the Bakken, US economy, and the US market.I am also inappropriately exuberant about all things Apple. And
now, Nvidia, also. I am also inappropriately exuberant about all things
Nvidia. Nvidia is a metonym for AI and/or the sixth industrial
revolution. I've
now added Broadcom to the disclaimer. I am also inappropriately
exuberant about all things Broadcom. Now, I've added Amazon.Longer version here.
