MCGEHEE CAPITAL MANAGEMENT


"Investing For The New Millennium"

 
MCGEHEE CAPITAL MANAGEMENT, INC. is a registered
investment advisory firm managing stock and fixed income
portfolios for individuals, institutions, trusts, charities, businesses, and
retirement accounts.
Stewart B. McGehee
  McGehee Capital Management, Inc.
1806 N.Monroe St.
Little Rock, AR. 72207
501.661.1702
Stewart@McGeheeCapital.com


The firm is headed by president and portfolio manager Stewart B McGehee. Stewart has been quoted in Barron's magazine, Advisors Digest, The Dick Davis Digest, The Bull and Bear Report, and several online sites. His superior portfolio management has lead to outstanding returns over the years. In 1997 he participated in the Arkansas Times' "Dueling Stock Pickers", where his portfolio advanced 53% for the year.

McGehee Capital Management, Inc. is a completely independent advisory firm and receives no compension for recommending certain securities. We cater to our clients first and foremost. We want to keep our clients in business, because they keep US in business!


"PHILOSOPHY"

McGehee Capital Management believes there are several trends that will effect our lives from day to day and our investment philosophy for the foreseeable future. This should guide most people toward certain industry sectors in the investment universe. First, is technology. In the early 2000s the technology sector experienced a cyclical downturn. In our opinion however, their is little doubt technology will be a major driver for the world economy. The second sector, and maybe the most significant is global expansion and the emerging market as more and more peoples yearn to move into a modern society, there is a global run for commodities. Last, but not least, is the fact that we are all getting a little older. This should lead to a strong performance by the medical sector as new pharmaceuticals and procedures are discovered every day. McGehee Capital Management will of course invest in other sectors, but will concentrate in these areas until they change.

"PROCESS"

The focus of Stewart's stock selections are based on technical chart readings, sound fundamental analysis, valuations, cyclical tendencies, and most importantly his proprietary timing tool, "The McGehee Trend-Turn Indicator." This proprietary market timing tool, developed by Stewart McGehee over the last 30 years, has a superior record of calling market turns. During market down turns we usually raise cash. We even take it one step further and might put a small portion of the portfolio in a short position. While we are usually invested in US traded stocks on the longside, we also use ETFs (exchange traded funds) especially during corrections.

Although past peformance is no guarantee of future results, McGehee Capital Management is dedicated to using these criteria in the future to continue selecting stocks which over the long-term have above average potential for market beating returns.

EXCERPTS FROM MCGEHEE

They say you can't time the market. That's from people who can't time the market! We usually save turns in the market for clients only! Not saying we are perfect at it, but you be the judge!

"Ends up we were extremely close to a bottom. Now working. 3 or 4 days in a row of closing below the previous days low marks a bottom. Must come at the end of a downtrend with oversold readings, and a spike in the Vix." -12/26/2018 Twitter. We were buying 12/26/18. This is after warning our clients in their quarterly newsletter in early October of the coming correction.

We did the exact same thing as above at the beginning of June 2019. This time the market wasn't marked by our "Waterfall Bottom" (a term I coined while writing The McGehee Report in the early 2000s), but all the other parts of a bottom were in place.

Most recently, July 31, 2019, when The Fed lowered interest rates, we started selling. We saw this coming and warned around 2 weeks prior. The next day the Tariff Wars heated up big time. The Dow was down 1500+ points in only 4 days.

Just 3 days before the market bottomed in March 2009, we covered all our shorts and started buying.

"We are very bullish, plain and simple. The market is a little bit hard to read here. We believe the reason for that is we are in a transition period from a bear market to a bull market in stocks. This phase of the bull market is ear marked by non-belief. This news is still mostly negative. Yet stocks rally. This is typical. It happened in the early 1990s. It is happening now. YOU SHOULD BE FULLY INVESTED IN THE US STOCK MARKET RIGHT NOW, AS YOUR RETURNS WILL BE COMPOUNDED OVER THE NEXT COUPLE OF YEARS." 4/03

These excerpts give you some idea of the advantage we have with " The McGehee Trend-Turn Indicator."