Hello July.
Good riddance to the first half of 2022.
It was the worst first half of the year for the S&P since 1970.
Our supreme court celebrated the first half of the year by taking us back pre 1970 with Roe vs. Wade.
I guess the good news is we all can shoot our robo advisors with AR-15’s and claim mental anguish to avoid punishment.
My gut is a lot more valuation compression lies ahead for us.
With high inflation and rising interest rates come valuation compression. Sure rates and inflation can reverse, but people and therefore markets, have recency bias so we will not get to the heights of 2021 even if a financial miracle were to happen.
There is not much I can do as valuations compress in the public markets.
In the seed stage markets I am looking for teams and ideas that can get started in this era of valuation compression with all this in mind.
I said this on Twitter yesterday which started a lot of conversations:
