Week of September 30, 2024
The local sports news has been overwhelmingly positive about the resurgent Detroit Lions and playoff-bound Detroit Tigers. However, when people think of Detroit, they often associate it with the “auto industry.” Most Sigma clients know that we’ve never purchased auto company shares directly in their portfolios. This is intentional and merited. According to ChatGPT, Ford Motor Company’s shares have returned only about 2% annually over the past 20 years, while GM declared bankruptcy during that time. They’ve underperformed global competitors like Toyota and the Standard & Poor’s 500 stock index. Our Signals remain unchanged.
Bob Bilkie, CFA