Don provided his views on the market and specific stocks he owns in his portfolio. Below is a brief summary of his thoughts:
1. Market is not as cheap as it was three years ago; stay with high-quality stocks because that is where the best quality adjusted risks are.
2. P&G (PG), News Corp. (NWSA) and Pepsi (PEP) are his three largest holdings and that is what he calls quality stocks available for the best quality adjusted risks.
3. He is not worried about the scandal at News Corp.
4. Thinks MSFT is very cheap and will continue to grow long term.
5. He will stay away from lower quality issues, specifically some of the cyclicals whose high profitability may not be sustainable.
6. About Apple - thinks Apple (AAPL) is a phenomenal company and has done great things but questions the sustainability of the high growth and profits .
7. Uncertainty and his recommendation on how to navigate this environment - focus is on the micro level and continues to look for the best risk-adjusted forward returns, just like a bond buyer would do. Look at doing all your homework; understand it's what you buy and what you pay for.
Here is the video:
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