Categories for Investor Discipline

Did You Give Up on Diversification

December 20, 2018 8:00 am

Once again, the media and talking heads are back at it mourning over the recent “crash” in the stock market and how diversification doesn’t work. Many social outlets such as Twitter, LinkedIn, and Facebook are filled with many of our coworkers, friends and family predicting the next market downturn is just around the corner. They may be very right or... View Article

End of Year Personal Financial Planning

November 15, 2018 10:00 am

The end of the year presents a unique opportunity to look at your overall situation and take advantage of some personal financial planning. With factors like tax reform, life changes or just working towards your goals, now is an especially important time to review things. Taking what we now know about the new tax law and weaving together all of... View Article

Who Doesn’t Like Volatility

April 12, 2018 11:00 am

As we recap the first quarter of 2018, January saw the stock market continue its rapid surge upward, but the party did not last long on Wall Street. Volatility returned to the market in a significant way by the end of the month, and stocks have whipsawed up and down ever since. Not surprisingly, the media had their way with... View Article

Crystal Balls and Investor Behavior in 2018

January 18, 2018 9:00 am

As 2018 began, the major U.S. stock market indexes surged to yet another round of record highs. The first week of January saw the Nasdaq index top 7,000, the S&P 500 index clear the 2,700 mark, and the Dow Jones Industrial Average hit 25,000. Following this recent performance, some may ask what role investor behavior has had on portfolio returns.... View Article

Bitcoin, Blockchain, and Investor Discipline

December 15, 2017 8:00 am

As the author of this blog, and regardless of opinion, in full disclosure I feel its important to disclose that I do not own any Bitcoin in my portfolio. However, I do see the growing innovation in blockchain technology as something to keep a close eye on in the future. **** Bitcoin and other cryptocurrencies are receiving intense media coverage,... View Article

Is the Stock Market in Another Bubble?

October 12, 2017 9:00 am

Of all the questions we field from clients, prospects, friends and family – the question of whether we are in a bubble leads the way by far. There are two reasons why this question comes up so frequently these days. First, we are in the midst of a long-running bull market, one that has seen the major market indexes push... View Article

Asset Allocation for the Next Crisis

September 20, 2017 9:00 am

It will soon be the 10-year anniversary of when, in early October 2007, the S&P 500 Index hit what was its highest point before losing more than half its value over the next year and a half during the global financial crisis. Over the coming weeks and months, as other anniversaries of major crisis-related events pass (for example, 10 years... View Article

Are You an Investor or a Gambler?

June 1, 2017 12:00 pm

Behaving irrationally during stressful markets can unknowingly make you a speculator. Key Takeaways There’s a big difference between outguessing the market and “being the market.” Research shows that fear of loss is twice as powerful as the thrill of a gain. A market loss is only real if you hit the sell button and get out. With all the volatility... View Article

Investor Discipline and The Buying Opportunity of a Lifetime

April 20, 2017 10:00 am

“The buying opportunity of a lifetime.” That was how the esteemed financial writer Nick Murray described the stock market environment in early 2009. Hindsight shows he was, of course, spot on. But it certainly didn’t feel that way to many investors at the time. After plunging from 11,000 to 8,500 in just a few weeks in the fall of 2008,... View Article

Are Stocks Overvalued?

February 9, 2017 2:00 pm

As a follow up to our recent blog entry, “2016 Market Review”, some friends recently asked me about current stock market valuation levels. In the following chart, we see that several major stock market indices surged to new all-time highs at the end of 2016 (Some indices have moved even higher in 2017). The Question:  Is the stock market overvalued?... View Article