ERShares In The News

Joel Shulman joins Charles Payne and discusses technology large-cap companies. He notes that publicly traded Entrepreneurial Large Cap companies have performed 13.5% YTD and have been among the best performers in the stock market. He adds that FTC regulations that might oversee or limit prior or future merger activity among high profile Technology companies would not be good for the United States, as these companies provide disproportionate job growth to the U.S. economy. He also disagrees with his fellow panelist and believes that large entrepreneurial Technology companies contribute tremendous innovation and billions of dollars to R&D growth. Dr. Shulman ends with optimism that the current political and economic environment favor continued stock appreciation and he remains bullish on the Markets especially as they pertain to U.S. and Non-US Small Cap stocks.

EntrepreneurShares Founder & CIO Joel Shulman discusses the Coronavirus and the impact on the markets. He notes that some well known US companies, such as WYNN and Las Vegas Sands have as much as 90% exposure in revenues and profits from China and neighboring states. He acknowledges that the slowdown in China will certainly reverberate throughout Global capital markets but believes that in many cases the decline has been an overreaction. By way of example, without diminishing the horrible consequences of the growth and death of the Coronavirus in China (approx 10,000 infected and 250 deaths) he contrasts with the flu, which in 2017 infected more than 60 million people, hospitalizing more than 600,000 resulting in over 60,000 deaths. He emphasizes that these numbers are for the United States, alone. Other pandemics including AIDS result in considerably more deaths in the world. Dr. Shulman summarizes by stating that many US Small Cap companies have been hurt by news of the Coronavirus even though in many cases their cash flows are insulated from Asian influence. He encourages investors to take advantage of these buying opportunities and believes many stocks have been oversold. Finally, he comments on the recent earnings news of Amazon and credits the company with strong profit and job growth. The 23% increase in jobs corresponds with approximately 150,000 new hires. His proprietary research shows that most of the job growth among the SP 500 is from a handful of publicly-traded Entrepreneurial companies and most others have flat or declining job growth.

Joel Shulman, Founder & CIO of EntrepreneurShares, discusses the Coronavirus as it is now spreading through various parts of Asia. Though the number of fatalities has not yet reached high numbers, the response to a potential crisis has been very strong. Reports that China may severely limit travel to Wuhan (population 10M) and potentially shut down casinos in Macau can have a significant, negative impact to some global equities. In particular, stocks with major, potential exposure include WYNN and Las Vegas Sands (LVS) that command a majority of revenues and profits (90%) from China and surrounding areas.

Joel Shulman, Founder & CIO of EntrepreneurShares, discusses the jobs report and state of the economy. He notes that the Markets have been very strong for the past year and thus far in 2020. He mentions how some baskets of Entrepreneurial companies are providing returns up to 6.5% YTD. He remains bullish on US Small Caps and Non-US Small Caps, though expresses concerns regarding potential profit-taking among some large-cap companies that have recently experienced strong price appreciation. In particular, he focuses on the concentration risk of Apple and Microsoft since these two companies represent 16.5% of major benchmarks such as Russell 1000 Growth. He says Apple, in particular, may be vulnerable since it has appreciated 90% in the past year and 300% in the past 3 years, despite flat profit growth from 2015. He believes investors would be better served investing in other US Large Cap, US Small Cap or Non-US Small Cap equities.

“The time is right for small caps to show strong growth." Today on CNBC our founder Joel Shulman discussed the strong performance of US Small Caps (+16% since October 1, 2019) and Non-US Small Caps (+5.3% in December). He noted that publicly-traded Entrepreneurial companies have been especially strong YTD 2020 with appreciation up to +5.8% for some Entrepreneur categories. He added that investors should be wary of indices such as Russell 1000 Growth that hold concentrated weights of Apple and Microsoft approaching 16.6%. He believes investors will perform better in many other US Large Cap stocks and is especially bullish on Non-US and US Small Cap stocks for 2020.

Joel Shulman, Founder of EntrepreneurShares, LLC, discusses job growth in the marketplace and notes the $3 trillion associated with M&A activity last year hampered growth. He believes that 2020 will be a good year for Entrepreneurial US and Non-US Small Cap stocks.

Joel Shulman discusses stocks such as Apple and Boeing as well as the market outlook for 2020.

EntrepreneurShares Founder & CIO Joel Shulman discusses the 2019 performance of the stock market and outlook for 2020. He reminds viewers that a year ago he was very bullish for US stocks despite extremely pessimistic forecasts from other experts. Since that time US Large Cap and technology stocks have grown over 30%. Moreover, since early October he has been very bullish on US Small Cap equities which have grown by 13.5% and have led all major equity categories. He continues to remain optimistic about US Small Caps but believes the best opportunities now reside in Non-US equities and Non-US Small Caps, in particular. In the past year, Non-US Small Caps had among the lowest performance of all the major investment categories, generating 15.5% or approximately 1/2 the return of US large caps. He suggests taking money out of cash reserves, fixed income (bonds), real estate holdings, and redeploying those funds to this category. He does not recommend eliminating US stocks or technology stocks as he still sees opportunity, especially with publicly traded entrepreneurial companies and US Small Caps. As a final comment, Professor Shulman mentions briefly that speculative-grade debt (risky or junk bonds) only provide 35 basis points (4.35% vs 4%) compared to investment grade (quality) bonds. He believes this extra return is insufficient and suggests investors should seek US or (especially) Non-US Small Caps instead.

Dr. Joel Shulman discusses the continued rally of US Small Caps. This has been his view since early October and this investment category has led all other areas with a 12.5% gain since that time. He has also been predicting gains in Non-US equities, particularly Non-US Small Caps. This group has led December markets with a 2.5% return, thus far. He believes both US Small Caps and especially Non-US Small Caps will perform well in 2020.

EntrepreneurShares CIO and Managing Director Joel Shulman discusses year-end market performance and remains bullish on US Small Caps and Non-US equities as he has stated since early October. He notes that US Small caps have been the strongest performing sector for the past two months and expects them to continue appreciating through the Holidays and early January. Dr. Shulman also notes the recent IPO of Saudi Aramco and places them in distinct company with Amazon as the only two public companies in the world with sales above $250B, Market Cap above $400B and Gross Operating profit above $100B.