Susan B. Noyes, publisher at Make It Better Media and founder of the Make It Better Foundation, says she will continue investing in high-quality U.S.-based companies in spite of recent market volatility. On Tuesday, Aug. 25, Noyes appeared on CNBC’s “Closing Bell,” where she discussed the stock market with host Kelly Evans.
“The S&P 500 has now turned negative,” Evans said on the show. “The last time that the Dow failed to close up at least 1 percent after rallying as much as it did today — 2.78 percent at the high — was back in October 2008.”
Noyes told Evans she isn’t worried about a repeat of the 2008 market crash.
“I’m not so nervous because I invest for the long term, and the things I am excited about tend to be in the United States…like consumer discretionary spending and technology and the innovators,” Noyes said on CNBC. “So, I am seeing good value there still.”
Also weighing in on the stock market turbulence on the Aug. 25 episode of “Closing Bell” were psychologist Jeff Nevid, Yahoo finance columnist Mike Santoli and Better Investing CEO Kamie Zaracki. Santoli told Evans that 2008 is the only precedent for the kinds of day-to-day stock market moves we have seen lately.
“It doesn’t mean we are in for anything like that, but it just kind of shows you, we have had the volatility storm rush through, and the institutional players are reducing risk and not really sure where to make their bets next,” Santoli said on air.
Meanwhile, Zaracki used this market correction to tweak her portfolio. She is keeping some stocks, but did recently cash out of a stock she thought was fully valued.
“I took that money and I put it into Biogen because I thought Biogen had good long-term prospects,” Zaracki said on “Closing Bell.
Noyes says she sees the market pullback as a buying opportunity for savvy investors. Like Berkshire Hathaway CEO Warren Buffett, Noyes says she puts her money into companies that have business models she understands and that share her values.
“It also makes me grateful that I still haven’t invested in China — or anywhere else outside of the United States,” Noyes says of the recent market volatility. “Our economy is strong — low unemployment, slow, steady improvement in housing, lots of car buying and strong entrepreneurial spirit. And our country is safe. Unlike China and much of the rest of the world, we can trust that our governmental systems will continue to support our business engine.”
Specifically, Noyes says she is using her cash to reinvest in companies in the technology, medical and pharmaceutical sectors. She recommends the following stocks:
Noyes says she likes GM because she believes CEO Mary Barra is trying to do the right things from a “people, planet, product perspective.” Noyes is also thinking about putting money back into bonds for the first time since 2007.
“I’m starting to see yields that make it even more attractive than cash,” she says.
One of Noyes’ passions is so-called “impact investing” — investing in stocks that meet certain environmental, social and governance standards without sacrificing investor returns.
“I’m also seriously considering investing in an impact investing fund developed by Morgan Stanley,” she says. “I recently learned that Mesirow is about to launch a similar fund.”