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News outlets, namely The New York Times, recently revealed the existence of a lonely recluse rarely seen in public who manages $30 billion for a select group of clients — clients who have enjoyed results that rival those of Warren Buffett. The “spotlight,” as it were, illuminated Seth Klarman thanks to the leak of a letter discussing his thoughts about a Trump presidency and its effects on financial markets.

Known as the “Oracle of Boston” to the few who know of him, Klarman discusses the euphoria in anticipation of tax cuts that has propelled stock prices to levels that only make sense if the high net after-tax profits actually materialize in coming years.

It’s all about the law of unintended consequences, and a lot can happen as a result of proposed policies that could get in the way of those promised profits. Protectionist policies, which can cut both ways, may save a handful of jobs but will make it difficult for us to sell our products in other countries. A stronger dollar makes much of what we manufacture that much more expensive for overseas buyers, who buy a third of what we produce.

Foreign competitors can hardly wait. Trump reportedly had to be tutored recently on why a stronger dollar, while it sounds consistent with “America First,” is not necessarily in our best interest.

The rising tide of automation is the real job killer, and trying to put a stop to that force will just make companies less efficient and less competitive. Trying to arrest this trend with stimulation efforts, (for example, borrowing and/or tax reduction,) amounts to digging us in deeper out of ignorance. The thought of building more roads and bridges won’t happen without massive government spending, which will hit the wall as it runs up against tax cuts and the debt-ceiling advocates.

The euphoria driving stock prices has its roots, in part, in misconceptions many investors have about basic economics. Some of the most egregious examples are summarized in a James Surowiecki column in The New Yorker in which he cites a survey of Fox News viewers, 49 percent of whom thought that “cutting waste and fraud” would eliminate the national debt. Other polls show that voters think 25 percent of the federal budget goes to foreign aid (it’s less than 1 percent). And so it goes — such as NPR and PBS costing us 5 percent of the national budget (it’s actually .01 of a percent).

It’s safe to say that we have many investors’ false expectations and the behavior of crowds to thank for the demand triggering our run-up in stock prices. Even skeptics will admit some smug satisfaction while gazing at their recent statements and hoping that they might be wrong to be worried.

This is not to say that we all need to bail out of stocks. Market timing always frustrates the results and can fray the nerves of amateur investors. Instead, it makes better sense to just stay the course and re-examine the time frame of financial goals. Reallocating a portion of what has been a quick equities gain over to bond funds may be worth considering for those who are getting fairly close to retirement.

For those with 10 or more years before retirement — and who have at least some money in funds such as tech, health care and small-cap funds up 20 percent or more — might be wise to shift some of those profits to large dividend-producing stocks or large-cap value funds. That’s where half of your money will eventually be anyway.

For long-term investors who should always be in equities, this is a time to review a statement from about three years ago and see what your percentage mix of asset types was at that point. Today’s allocation should look different, given the interim relative performance disparity among the investment types.

Returning to whatever percentage existed a few years ago automatically sells some of your winners and buys some of what have been your losers. It’s called “rebalancing,” and this mechanical approach takes emotion out of your methodology. Right now emotion, and its bad twin “irrational exuberance,” has served us well for a few months, but in the long run it’s best to avoid the “black sheep” in the family of investment strategies.