Quarterly Commentary
“He who controls the media, controls the mind.”
This quote comes not from a politician promoting propaganda nor a neuroscientist explaining a cutting-edge discovery. It was spoken by Jim Morrison, the lead singer of the popular rock band, The Doors. Morrison led a famous but troubled life. He was wildly popular during the sixties for his music, poetry, and extravagant as well as volatile lifestyle.
What makes the quote interesting and applicable is that he said it during the sixties. Talk about a volatile decade. The Cuban Missile Crisis had America on edge, the Vietnam War raged along with mass protests, The Civil Rights Movement redefined the social fabric of America, an American president was assassinated, and did we mention the moon landing? Yet with all of these events it was the counterculture and the rise of the underground media that is compelling to us.
In this tumultuous decade, the media was limited to network television, radio and a few major newspapers. With the rise of the counterculture there was a growing demand for alternative messaging from and for the populous. These publications focused on counterculture narratives such as anti-war and human rights, not to mention sex, drugs and rock and roll … Woodstock anyone? It came against the mainstream media and its messaging which at the time was, let’s just say, established.
Yet through it all, the markets not only survived but thrived. If you had invested $100 dollars in the S&P 500 Index at the beginning of 1960, it would be worth around $64,000 today earning a bit over 10% per year, essentially its historic average. That is if the investor would have stayed invested in the markets throughout all of the tumult and turbulence. It may have been easier then, as the media sources were relatively limited and the underground media wasn’t focused too much on financial topics. But what about today?
The underground media seems to have evolved into mainstream media. We are no longer limited by a few networks, radio and newspapers. Not only do we have the internet, but also search engines, social media platforms and seemingly anyone with something to say can start a YouTube channel or podcast and potentially be heard by millions. And they say the problem with opinions is … that everyone has one. Today, they are broadcast literally all over the world.
Every time you turn around, the news now is about tariffs, potential war, recession and volatile political rhetoric. It’s everywhere. It’s unescapable. All of our friends and neighbors are also exposed to the media explosion. The media, in a sense, has become … us. Most of you have heard our time-tested approach soap box many times, but now more than ever, we must ignore the noise.
Part of how we help investors is to focus on what we can control and disregard the irrelevant information that is so pronounced. We continue to believe that a time-tested, evidence-based approach that incorporates patience, discipline and faith in the future is the surest way for us to preserve our life savings for a lifetime.
Is the underground media a good thing? Well, we’ll leave that up for debate. But the reality is, we are the ones in control of our own financial future and success largely comes from ignoring what most others have to say about it.
As always, please contact us with any financial questions or concerns.
Fort Vancouver Investment Management, LLC