Finding Opportunity in Chaos: Three Yield Pigs for the Week

The hilarious “More Cowbell” SNL skit inspired by the Blue Oyster Cult anthem, “Don’t Fear The Reaper”, whether intentionally or unintentionally, nails the absurdity of the song itself. The hypnotic (not in a good way) riff and the incessant cowbell only add to the fact that the lyrics transcend cryptic and border on the ridiculous. I’ve heard them and read them many times over and I’m still unable to make heads or tails. I guess it’s supposed to be spooky or something and maybe we shouldn’t be afraid of whatever it is that we should be afraid of. The same parallel could be drawn to the equity markets. Sometimes, what investors fear is indecipherable, possibly nonexistent, and oftentimes irrational. Case in point, in March of 2008, investors truly did fear the Reaper. Six months prior, Lehman Brothers had failed spectacularly making sure that people who previously did not know what “systemic risk” meant have a full grasp on its definition. The fear and panic was almost tangible. However, if you feared the reaper, you missed out on multiple opportunities to double or quadruple your money. And it could’ve been done using strictly household names. Not some bizarre, fifteen cent Tanzanian mining stock that you had to subscribe to a newsletter to hear about.... Read more