For Italy’s Sake, The Market Counts!!!
Despite the squawking of barnyard animals that don’t really represent the Italian entrepreneurial spirit; despite the news coverage that opts to look at the disagreements between people, rather than the organizational dynamics and those of the market; despite the hot hazy weather that slows down thought processes, the market, firm in its convictions and capable of prioritizing financial results with its ability to keep distance and to discern, remains the accurate thermometer for a company’s value and its management.
That is a strong, undisputed, unavoidable signal because the market does not have a quick-tempered character and does not need social status. The market does not have volatile opinions and does not indulge in emotional gestures. On the contrary, the market measures, sets boundaries and rigorously judges the unsustainable randomness of ambiguous signals. And in its total lack of affection, it leaves us stunned at its lack of mobility.There is great interest in companies strategic for Italy and Europe in recent days, much talk of acquisitions being postponed and perhaps some takeover bids hidden within the Augustian folds, yet the shares correspond to their correct value. They are not in any way affected by man-made events. On the contrary, they almost wink, smiling good-naturedly, at the fascinating dances of some elderly figures and then show their stability with elegance and sobriety.
Italy, therefore, saved from the competencies of the market and which, with this second phase of government, is starting to consolidate the sober conviction that Draghi is willing to do ‘whatever it takes’ to save this country of ours. But, of course, he is playing the really important matches for the country, the truly strategic ones. He does not enter into private quarrels which, although evidently visible (and we are grateful to him for this, too), do not inspire him. Deafening was his silence and absence on some events covered extensively by the national media, and we must take note of this. Private individuals are left to conduct their matters privately. In the depths of their hearts, those who cheer for Italy, hopefully, sooner rather than later, wait for a signal, an indication to which to align the interests of the market and those of the country itself.
We look forward to it.
Meanwhile, the stock exchange continues to register de-listings. However, it is clear how Italian companies, even family-run ones, feel in this phase that is still impacted by Covid; there is an urgency for aggregation that was previously felt less and almost dormant due to the inappropriate pride of wanting to do it at all costs by themselves. Today, they look to the Italian territory for industrial partnerships to be done locally. Many are particularly attractive to foreign investors who, although frightened by the unique legal, judicial characteristics typical of the inertia of our court system, are attracted and motivated by the excellent quality of products and production processes.
Thus, the appeal is to look at the market both to invest and to create sustainable development and wealth. Even here in Italy, perhaps sometimes holding one’s nose in front of some eccentricity and hoping that this time, whatever it takes, Italy, its best part, will make it.