Michael's Client Newsletter #167, February. My Year-End Client Letter. + "The Terrible, Horrible, Terminal, Apocalyptic National Debt Crisis" + much more...

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Issue: #167 | February 2026

“Remember, the stock price only matters when you buy and when you sell.”

―Joyce Gordon

Greetings,

Welcome to this month's client newsletter for the goal-focused, long-term, equity investor.

In other news, gold at $5,000 has slipped the surly bonds of earth and ascended into some kind of alternate universe; its continued surge is perhaps the ultimate current comment on the universality of chaos. Back here on planet Earth, an ounce of gold worth $800 in January 1980 is now worth $5,000 or whatever. Eight hundred dollars invested in the S&P 500 at the same time and left to compound has grown to $150,000.

We don’t do a lot of prediction around here – and for damn good reason – but I am moved to offer the blissfully unscientific guess that people paying $5,000 for gold today will be behind the inflation eight-ball for the next 20 to 40 years. Give or take.

February 2026

2 pages

The Terrible, Horrible, Terminal, Apocalyptic National Debt Crisis

In this month’s edition Nick takes a bemused stroll down memory lane with regard to Debtmageddon. Hope you will find it drolly instructive. Pick your spots, however: I can well imagine that certain “clients” may elect not to see the humor in it.

Open the Client's Corner (PDF)

MICHAEL'S ARTICLE OF THE MONTH

Investor vs Investment Performance

How can the driver be slower than the car?

In this article you'll learn why there is often a difference between the performance of the individual investor and the performance of his/her investment.

Click here to read my article

BOOK OF THE MONTH

The Millionaire Next Door
by Thomas Stanley

Learn the surprising secrets of America's wealthy.

One of the best books I've ever read on personal financial success.

You can either be rich, or look rich. But not both at the same time.

View book details on Goodreads

Banking on the big picture: How patience can pay off

Youtube - January 8, 2026 - 31 minutes

European banks have rallied, but is this just a fleeting moment, or the beginning of a lasting trend? Join host Mike Gitlin and seasoned portfolio manager Alfonso Barroso, who brings over 30 years of investment industry experience, as they piece together the bigger picture behind the sector’s rise. Alfonso shares how improved profitability and shareholder-friendly policies are shaping the future of European banks. In this episode, you’ll also hear:

Where Alfonso sees other hidden value pockets across Europe
How focusing on downside risk can give investors an edge
What global research trips have taught him about seeing beyond the headlines

January 29, 2026

28 minutes

2026 Outlook

Capital Group chief investment officer Martin Romo and portfolio manager Pramod Atluri share their 2026 outlook for the global economy and markets. Are we in the midst of an AI bubble or an AI boom? How far will the Federal Reserve go in its latest rate-cutting cycle? How might rising tariffs and trade tensions impact global economic activity? And what could it all mean for your portfolios? We’ll tackle those questions and more.

Listen to the podcast

QUIZ OF THE MONTH

Does a Roth 401k have Required Minimum Distributions (RMDs)?

Answer = #2 No

Roth 401k accounts are no longer subject to required minimum distributions (RMDs) while the account owner is still alive, starting from 2024. However, beneficiaries of Roth 401(k)s are still subject to RMD rules after the account owner's death.

MONEY MEMES AND A LITTLE HUMOR

I started my financial planning practice 36 years ago with the goal of serving a finite number of families with a focus on goal-focused, long-term, equity investing. I'm happy to tell you that this process is now well along. I can begin to see the day approaching when I will need to stop accepting new clients.

Between now and then, I would much prefer to establish relationships with colleagues and friends of my existing clients. I enjoy working with you and I'm sure I'd enjoy working with people whom you like and admire. If, and only if, I'm servicing you as you'd hoped I ask you to introduce us.