There is much to be hopeful for and much to be concerned about at this pivotal moment in America. In the coming weeks, there will be lots of emotional volatility. My role is to play it straight like Steady Eddie— stable, dependable, grateful, and loyal.

Where are we now?

There is a significant difference between the country's investor class and the Main Street business population's attitudes and outlooks. The winners: companies that can adjust—and have indeed adjusted—to COVID-19. Many Main Street companies are, unfortunately, much more profoundly affected by COVID-19. Many are still fully or partially shut down and are headed for another round of shutdowns during the colder indoor-weather months. COVID is more devastating to these companies and their employees. The agility of companies we invest in has given many of them an even bigger competitive advantage. This is the real real.

Where do we go from here?

No matter how much aid is provided by the government, struggling companies will suffer even more when they open their doors to compete: The winners will have learned so much more and grown that much stronger. The only real way to stop the ‘super competitors’ is if the government brings lawsuits to break them up. The better positioned companies, like Amazon and Facebook, are too good; and they are getting stronger while the competition is devastated by COVID-19. We have had great opportunities to participate in new secular growth companies, i.e., GoodRx, that we have adroitly added to our all-weather quality portfolio.

On fixed income and alternatives:

Rinse and Repeat: The song Wind Beneath My Wings captures exactly what the Federal Reserve Bank has been to the stock market and economy since the COVID crisis began: "…It might have appeared to go unnoticed. I want you to know, I know the truth. I would be nothing without you… I could fly higher than an eagle. For you are the wind beneath my wings."

On Alternatives:

What should we look out for?

Previously, (specifically, my October, 2019, letter), I provided you with a warning that the 2020 election is coming, and that things are probably going to be said and done that have never been said or done before. Please, I will humbly repeat the same message now in October 2020. PLEASE BE CALM. PLEASE DO NOT REACT. PLEASE DO NOT CALL ME TO ASK IF I AM GOING TO BE SELLING STOCKS BECAUSE SOMEONE SAID THIS OR THAT AND THE MEDIA IS FOAMING AT THE MOUTH. Fear not, America will endure, survive, and thrive after November 3rd, even if it takes weeks to declare the winner. The great people and businesses of America will survive and thrive. I am going to approach everything like Steady Eddie—No Drama during the crisis. I am looking for a few opportunities to put money to work for our clients with additional cash.

In conclusion:

The real real of COVID-19 on businesses, investors, and the population at large is that there is a Rat Race going on as stated by the great Bob Marley, "…In the abundance of water, the poor are thirsty." In this great country, the COVID-19 crisis has provided immense opportunity for some to get even stronger and, unfortunately, for others to fall further behind. My job is to be Steady Eddie (and clear-eyed) and make sure you participate in the abundance and not be thirsty for water.

Sincerely,

Femi T. Shote, MSF, ChFC, CFP®

Accredited Investment Fiduciary®