ON MIKE’S MIND
Wait and see.
That is the mood among long-term investors this week.
Short term investors?
Let’s just say - “hair on fire.”
As you know, I am a die-hard fan - really a STUDENT - of Warren Buffett.
And everyone’s been wondering the last few months why he’d been dumping Apple and why, most glaringly, he had built up a cash reservoir of over $300 Billion.
In his immortal words, “Rising tides lift all boats, but when the tide goes out, you see who is swimming naked.”
Well, the tide is being FORCED out by the White House.
Buy your car now.
Get your iPhone 16 before the price jumps.
If you are a long term investor in solid companies - as we are - your swimsuit may look as if its around your knees for a while…
But the seas will smooth out. Don’t know if it’ll be 3 weeks, 3 months or 3 years.
But quality will win.
Your Shaq Big Chicken investment is already growing.
And we will continue to bring you the best in class opportunities in private equity, debt, microcaps and beyond.
Stay smart. Stay lean.
And stay steady.
To Our Co/Success,
Mike
THE MARKETS
Needless to say, the market did not react well to the tariffs
S&P 500: -9.22%, DJI: -8.29%, NASDAQ Composite: -9.41%
International markets fell as well: FTSE 100: -6.97%, Hang Seng: -3.09%, Nikkei 225: -5.16%
Investors ran to safety in bonds as rates dramatically fell
The 10- and 2-year yields fell 25 basis points to 4.00 and 3.67, respectively
Credit spreads spiked to 4.01, not nearly as high as previous market crashes, implying a
The VIX index spiked to 45.31, only seen in 1998, 2008, and 2020
Despite the shakeup, the usually volatile crypto was rather stable
BTC: 0.22%, ETH: -3.00%, XRP: +0.36%
GOT SOMETHING COOL IN THE WORKS?
A project you're building? A young company you’re supporting? An idea you're exploring? A wild investment thesis you can't stop thinking about?
We want to hear from YOU. Shoot us an email at cw@coinvestorclub.com —
We’re always looking to feature the best and brightest in the Co/Investor Club. We’ve got some serious investment intelligence within our ranks.
Share it.
WISE WORDS
"The future is unpredictable, but that doesn’t mean you can’t prepare for it." Charlie Munger
“Abnormally good or abnormally bad conditions do not last forever.”
Benjamin Graham
Reflections on the Week…
As a child, one of my favorite books was The Hitchhiker’s Guide to the Galaxy—a delightfully absurd series that wrapped existential chaos in dry British wit.
The plots were outrageous: an intergalactic president with two heads and three arms steals the universe's most advanced spaceship; Earth is slated for demolition to make way for a hyperspace bypass; and the unassuming Arthur Dent wants to survive it all with his towel intact.
And amidst the absurdity, the titular guide offers a singular, immortal piece of advice—printed in large, friendly letters on the cover: "DON’T PANIC."
That phrase has stuck with me through years of navigating markets and macroeconomic headlines.
It feels just as relevant now.
Sure, if you're after endless doom and gloom, there’s plenty of it swirling right now — read any headline. We could spend hours frantically debating macro headwinds, trade tensions, or currency movements.
But honestly, that’s not what we do best at the Co/Investor Club. What we do best is finding smart, often under-the-radar opportunities that others tend to miss.
This past week, we spoke with a fellow co-investor about a compelling new opportunity— stay tuned for that one. Naturally, the conversation turned to tariffs. They reminded us of something simple but often overlooked in moments like this: this too, is temporary.
So let’s scale back, WAY back. They say, “history doesn’t repeat, but it rhymes.” The sell-off after “Liberation” day has brought back analogies to Covid, when we weren’t sure when supply chains would be repaired, and the 1930s… anybody anybody?… the Smoot-Hawley Act.
Broadly speaking, the S&P has provided investors with excellent long-run returns; “the best holding period is forever,” after all.
While equities remain the cornerstone of most portfolios, alternative asset classes, such as gold, private equity, real estate, and microcaps, have historically shown resilience and outperformed during downturns.
As it turns out - these are all a part of our bread and butter.
Private equity has often outperformed public markets during and after recessions. Microcaps and Small Caps have been shown to recover more quickly in turbulent periods. And now, Bitcoin has shown to be remarkably stable in the aftermath of these new tariffs.
Of course, let’s be clear: diversification for the sake of diversification is… well, dumb. It’s not about cramming in every asset under the sun. It’s about building a portfolio that fits you—your capital needs, time horizon, tax considerations, and risk tolerance.
In the Co/Investor Club, we are blessed with many opportunities and ideas that can build out the rest of your arsenal of investments. With valuations falling and supposedly a new world paradigm in the works, fresh investments will soon be ripe for the taking.
Stay steady, stay informed—and yes, keep that towel handy.
The Savvy Investor…
Buffett in 2008 on Why He Bets on America
Musk’s xAI buys X from Musk for $33 billion
Private Credit Wants a Bite of Mortgage Pie
Larry Fink’s annual letter to shareholders
Wanna Commit Corporate Espionage for Deel, it pays just $5k a month
European-based PE firms Dominate Small Cap Buyout Performance
Publisher’s Note:
It was a sobering week.
The markets, obviously.
The perfect metaphor for me came as I was driving along Sunset Blvd. yesterday through Brentwood adjacent to the Pacific Palisades.
This beautiful, verdant, curvy stretch of road usually hosts speedy Range Rovers, Aston Martins, Lexii and Beamers…
But yesterday?
It was jam-packed with huge dump-truck trailers, one after another, hauling charred debris from what used to be one of the most beautiful neighborhoods in America, overlooking the sparkling sea.
Like an endless chain of filthy hearses.
And the words of Solomon came to mind:
There is a time for everything,
and a season for every activity under the heavens:
a time to be born and a time to die,
a time to plant and a time to uproot,
a time to kill and a time to heal,
a time to tear down and a time to build,
There is nothing new under the sun, indeed.
Things are being torn down and things will be rebuilt.
How you arrange what is in your hands during this process requires wisdom.
The wisdom of Solomon?
Maybe.
The wisdom of Warren?
Certainly.
We are paying very close attention.
Onward,
Adam
If you have not already upgraded your membership…
Chat with Mike
Whether you’re an executive with investment opportunities or a college student looking to network, we would love to chat with you! Email our Founder, Mike Pruitt, at mp@coinvestorclub.com with questions and ideas or schedule a meeting.
Don’t forget to follow us on social media too!
LinkedIn: Co/Investor Club
For our disclaimer, please visit our website.
Have friends that want to join? The Co/Report is public, so feel free to share!
Thank you for reading. Co/Report grows through word of mouth. Please consider sharing this post with someone who might appreciate it.
