Midpack
Give me a museum and I'll fill it. (Picasso) Give me a forum ...
An interesting article on the significance of privately held companies (I worked for one for almost 20 years) vs publicly held. In the end, the author suggests a small value & REIT tilt mimics the broader (public & private) economy. I've always had this tilt, but here's a new (to me) supporting reason to do so.
I'm not making any recommendations, just another POV.
I'm not making any recommendations, just another POV.
The Total Economy PortfolioThe profits of publicly-held companies comprise less than half of all business profits earned in the U.S., according to Bureau of Economic Analysis’ (BEA) corporate profit measures. The other half of the economy is represented through private businesses. This means the stock market in its entirety is an incomplete reflection of economic activity. By making a couple of minor adjustments, your stock portfolio can become more aligned with the U.S. economy than with the stock market.
We have no say in which companies choose to raise capital through the stock market. The number of listed stocks has declined dramatically over the years. Public companies have dropped from 7,450 in 1997 to 3,750 today, and this number continues to shrink each year.