Investment Committee Update

“The Stock Market is a Device for Transferring Money from the Impatient to the Patient” – Warren Buffet

First off, Happy Mother’s Day to all the moms in the Purus family. We hope you all have a wonderful day!

Since our last communication a few weeks ago, we have seen positive activity in most sectors. While we are enjoying this productive momentum, we believe the volatility is far from over. With the 90-day pause on reciprocal tariffs due to end in July and numerous trade deals to finalize, there is still substantial uncertainty. We understand that it is never comfortable to go through these corrections. However, history shows that they are usually constructive for the long-term health of portfolios. We are continuing to build positions in sectors and companies where we have high conviction, and, as always, we are monitoring the broader financial markets as well as geopolitical issues for possible opportunities and pitfalls.

"A well-planned defensive strategy can position equity portfolios to be resilient in a very harsh market environment. Volatile equity market conditions are testing even the most experienced investors."

‍

"There have only been two U.S. recessions since 2001 - the Great Financial Crisis and the Pandemic Recession. Both of these were huge - accounting for two of the only three times since the 1940s that the unemployment rate has vaulted to double digits. However, the recessions of our recent memory have been so dramatic, investors may not appreciate the risks from a softer sort of slowdown."

‍

"No sign of a recession in April for the US service sector, as the ISM Services index beat consensus expectations and rose to 51.6, signaling continued expansion in the part that drives two-thirds of the US economy."

‍

"Smart investing can overcome the power of emotion by focusing on relevant research, solid data and proven strategies."

‍