Investors are faced with a perfect storm of information overload, human emotions and market volatility. Following is a discussion of those threats to investors’ portfolios and a way to avoid the storm.
We just added two articles to our article library:
The Risks of Fixed Income Investing
Current State of the Municipal Bond Market
You may download them directly from our article library.
In this video, Brian Haywood, Fixed Income Advisor at Buckingham Asset Management explains why stretching for yield with bonds may not be a wise idea.
Weight loss and wise investing share a very important characteristic: they’re simple, but not easy.
Let me explain.
Every year, Americans spend billions of dollars in weight-loss related products and services. Magazines that promote the new “secret Hollywood diet” fly off the shelves; strangely, people forget the last year “secret” diet in favor of the new one. “Diets” come and go, and products that promise to lose weight “without diet or exercise” are increasingly popular. People are willing to starve themselves to fit in a dress; if they succeed, they give their secrets to their friends, who will also buy the new miracle product. If they don’t succeed, more than likely the blame will go to the product or to other outside factor.
This CNBC interview with Professor Eugene Fama, widely regarded as the Father of Modern Finance, explains the concept of market efficiency and the futility of market timing and stock picking. There is also discussion on the impact that recent government actions have had on financial markets.
Press Release: David Lindau Recognized for his 25 Years as a Certified Financial Planner Practitioner
El Paso, Texas, March 9, 2010 – The Financial Planning Association, a national leadership and advocacy organization that connects those who provide, support and benefit from financial planning, recently recognized David Lindau, CFP® and president of Lauterbach Financial Advisors, LLC (LFA) for his twenty five years of service as a Certified Financial Planner™ practitioner.
This video from Yahoo! Finance features Professor Kenneth French explaining in layman’s English the difference between stock picking and index investing.
About half the actively managed U.S. stock mutual funds beat the market over the past 10 years, or so the headline goes. Does this mean index funds are dead and we should all go active? For the answer, continue reading on Forbes’ website.
David Booth, DFA’s CEO, discusses the relationship between risk and return when applied to retirement.
For the wealthy, index funds have an image problem. They are considered the economy cars of the investing world: they’ll get you there but not in style and you’re always worried they may break down. Anyone at a serious level of wealth, the thinking goes, needs the equivalent of a luxury sedan, with strategic stock choices, hedge funds, private equity, and real estate. It can be argued that while people of modest means are hurt by not saving regularly, wealthy people lose out by chasing the latest, greatest investment… Continue reading in the New York Times.