Much of the recovery thus far has been driven by the purchases of goods rather than services. In 2022, we are hopeful people will go on more vacations and dine out more. We are also looking for companies that operate efficiently in low growth and rising rate environments. These companies would generally have lower price to earnings multiples, higher intrinsic returns, and solid strategic advantages in their respective industries. In this outlook, we pay tribute to the restaurant industry which was hit hard by this pandemic and make fun parallels between investing and Italian cuisine.
As always, please feel free to contact the office if you have any questions. Wishing you all the best as we enter the new year!