By allowing ads to appear on this site, you support the local businesses who, in turn, support great journalism.
Portfolio factors to watch in 2012
Investing
Placeholder Image

As an investor, you know that 2011 was a somewhat “choppy” year, with the financial markets going through many ups and downs. So what can you expect in 2012?
As baseball Hall of Famer Yogi Berra is quoted as saying: “It’s hard to make predictions — especially about the future.” And these words certainly are applicable for anyone who would like an accurate forecast of the investment climate.
Yet we do know of some factors that may affect your portfolio in the months ahead. Here are a few of them:
• Strong business fundamentals — This past year, all the noise about the debt-ceiling debate, the size of the U.S. deficit and the European financial situation tended to drown out some fairly good news: U.S. businesses’ balance sheets were strong for the most part, borrowing costs remained low and corporate profits were good — and corporate profitability remains a key driver of stock prices. Heading into 2012, these fundamentals continue to look positive, which may bode well for investors.
• Europe’s debt crisis — Greece’s economic problems made a lot of news in 2011, but they weren’t the end of the story in Europe, as major financial difficulties also face Italy, Spain, Portugal and Ireland. It’s by no means clear how these problems will be resolved, so don’t be surprised to see them lead to intermittent, if short-lived, shocks to the markets.
• Election-year patterns — As you’re well aware, we’re voting for a president in 2012. But you might be surprised to learn that the S&P 500 index has shown negative returns in only three of the past 21 presidential election years. Coincidence? No one can say for sure — and at this point, no one can say if this pattern of positive returns will continue during this election year. Still, it’s an interesting phenomenon.
So there you have it: the good, the bad and the quirky. Take them all together, and you still may not be able to foresee what will happen with the markets this year, but you’ll have a lot to think about.
But instead of trying to predict what will happen in 2012, you may be better off following these tried-and-true investment strategies:
• Diversify your holdings. By spreading your money among a wide range of investments, you can reduce the effects of volatility on your portfolio. Keep in mind, though, that diversification, by itself, can’t guarantee profits or protect against loss.
 • Don’t ignore your risk tolerance. If you worry excessively about market fluctuations, you may have too much risk in your portfolio, which means you may need to make some changes.
• Always look at the “big picture.” Financial markets always will fluctuate. But if you can keep your focus on your long-term objectives and make decisions accordingly, you can avoid overreacting to short-term events.
Like other years, 2012 will bring with it periods of both turbulence and smooth sailing. But by making the right investment moves, you can chart a course that can allow you to move ever closer to your future goals.

Cardella is a consultant for Edward Jones in Hinesville.

Sign up for our e-newsletters
GPA grows trade, market share
Intermodal volume up 20 percent
port photo
Rubber tired gantry cranes handle cargo at the Chatham Intermodal Container Transfer Facility at the Port of Savannah. The Georgia Ports Authority's Mason Mega Rail project will double rail lift capacity to 1 million containers per year by 2020 - photo by Provided

The Georgia Ports Authority achieved 14 percent growth in March container volumes, moving 355,208 20-foot equivalent unit (TEU) containers.

From July 2017 to March, TEU container trade grew by 9 percent, or 255,786 additional units for a total of 3.08 million, a new record for Savannah.

"Savannah's continued strength is a reflection of our customers' commitment, Georgia's leadership, and the many dedicated service providers, GPA employees and ILA members who come together every day to achieve great things," said GPA Executive Director Griff Lynch. "March marked our 17th consecutive month of business expansion thanks, in part, to a strong economy and growing market share."

Intermodal rail volumes jumped by 20 percent in March and 15.4 percent for the fiscal year to date, for a total of 318,454 containers handled over nine months – another record for the GPA.

"As the numbers show, our rail cargo is growing at a faster pace than our overall trade," GPA Chairman Jimmy Allgood said. "This is important because rail is playing a key role in our responsible growth strategy. We anticipate our rail infrastructure investments to take 250,000 trucks off the road each year by 2020."

The GPA recently broke ground on its Mason Mega Rail Terminal, on which the Port of Savannah will build 10,000-foot unit trains within its own footprint. From the expanded rail infrastructure at Garden City Terminal, Class I rail providers CSX and Norfolk Southern will provide direct rail service to major Southeast and Midwestern markets from Memphis to St. Louis, Chicago to Cincinnati.

An added benefit is that the Mason Mega Rail project will move all rail switching on terminal – improving vehicle traffic flow around the port.

In August, the GPA will open its Appalachian Regional Port in Murray County. Located in an industrial belt, including the production and export of carpet and flooring, automobiles and tires, the ARP will provide an alternative to all-truck transit to Northwest Georgia.

Each round-trip container moved via the Appalachian Regional Port will offset 710 truck miles on Georgia highways.

March was also a strong month for roll-on/roll-off auto and machinery units at the Port of Brunswick and Ocean Terminal in Savannah. Colonel's Island Terminal in Brunswick handled 66,144 cars, trucks and tractors, while Ocean Terminal added 4,050, for a total 70,194, a 17.2 percent increase.

"The global economy is thriving and our volumes are following suit," Lynch said. "As existing accounts grow their footprint in the expanding auto facility in Brunswick, Georgia's competitive logistical advantages are drawing additional business across all of our docks."

Lynch noted that for the fiscal year to date, Mayor's Point breakbulk terminal in Brunswick grew by 44 percent (34,515 tons) to reach 112,728 tons of forest products. At East River Terminal, bulk cargo expanded by 34 percent July-March (189,918 tons) for a total of 750,384 tons.

Latest Obituaries