The annual change in the Consumer Price Index “CPI” exceeded more than 5% for the second month in a row, raising concern that we may be entering an inflationary period. How concerned should investors be? Before we get into that, we should begin with a short primer on what inflation is. Inflation refers to an…
Details
A question we have been asked repeatedly over the last six months has been: what is the best strategy to get into the market with new money? Invest all of it at once? Or invest in smaller increments over time through dollar-cost averaging? The most important thing to keep in mind is that the decision…
Details
With election time now getting closer, we are inundated with opinions and prognostications about not only who will win but what that victory will mean for the markets. When you couple the uncertainties of the election with the other trials facing our country including, but not limited to, high unemployment, the economic and personal consequences…
Details
At my core, I am a financial planner. Some may call me a money manager, or an investment advisor or a wealth manager….all terms that could apply, depending on your definition. But, I see myself as a financial planner. When I meet with someone for the first time, more times than not, they are looking…
Details
Over the last several weeks, the coronavirus has grabbed global headlines. So far, U.S. markets have remained relatively immune. But should you try to dodge markets that have been exposed? The answer to that question is simple: breaking news should not impact your investment program. A portfolio that is invested according to an evidence-based investment…
Details
In most aspects of our lives, taking action serves us well. We are conditioned from a young age to believe that if we want to succeed at any endeavor – climbing the corporate ladder, excelling at a sport, being a great parent, getting good grades – we must work hard, make tough choices, and put…
Details
As the markets continue to move up and down and as the media continues to have a field day playing with our emotions, it is no wonder that many investors find themselves questioning what lies ahead. While no one can predict what the markets will do or how people will react to the news of…
Details
A central tenet of our investment philosophy is diversification. Furthermore, we advocate for “real diversification”, which means owning thousands of stocks in companies of all sizes (large and small), geography (U.S. and non-US) and investment style (value and growth). This type of diversification represents the only “free-lunch” there is in investing. But real diversification also…
Details
In 1906, statistician Francis Galton attended a livestock fair where villagers were invited to guess the weight of an ox. No villager successfully guessed the correct weight, but Galton noticed that the average of all the guesses was 1,197 pounds — the exact weight of the ox. A famous experiment asked 56 students to guess…
Details
Stock prices change as new information becomes available. It’s not surprising that many investors believe that it is crucial to follow financial news carefully and then act quickly on news that might be relevant to their investments. While this may sound like a good idea, the reality is that you cannot expect to consistently improve…
Details