Here’s a quiz question: Why did the average investor see a 3.5% return while the U.S. stock markets averaged annual returns of 7.8% over the past 20 years?* The answer is simple, the average investor bought high and sold low.
Those who followed last week’s Supreme Court arguments on President Obama’s health care law got a lesson in Constitutional Law. While the scope of the three-day hearings was breathtaking it is disheartening as we likely will not hear the outcome until June. While legal issues dominated the conversation, economics also came into play. The question: Is the market […]
LOCAL FINANCIAL ADVISOR NAMED IN BARRON’S TOP ADVISOR RANKINGS Prosperion Financial Advisor Named to Barron’s List Prosperion Financial Advisors’ Steve Booren was the highest ranked financial advisor in Colorado with total assets under management of less than $500 million according to a Barron’s 2012 Top Advisor Rankings. This is the fifth consecutive year an […]
As I was reading the New York Times I came across an article that concerned me. Titled “Why I Am Leaving Goldman Sachs,” the article was written by Greg Smith, the firm’s former executive director and head of United States equity derivatives business in Europe, the Middle East and Africa. It describes in detail why […]
Of the 11 million homeowners who owe more on their homes than the home is worth, approximately 6.5 million have never missed a payment reported Dale Westhoff of Credit Suisse Group AG. Meanwhile subprime borrowers who received mortgage modifications (like reduced payments of more than 40%) in 2010 had a payment default rate of 19% […]
US companies measured by the Standard and Poor’s (S&P 500) have had about a 16% increase in their earnings, yet prices are about the same as they were a year ago. Hard to believe right? Many US Businesses are performing at an exceptional level. Companies have innovated to grow their top line sales by approximately […]
hyperbole – hy-PUR-bə-lee – an exaggeration to create emphasis or effect. Washington’s latest legislation – the one extending the payroll tax cut for 2 months – could be one of the worst pieces of legislation ever passed. Republicans supported the bill thinking they would lose votes if they didn’t support something. Democrats got their payroll […]
Watch what people do not what they say. Sales for the full first weekend of holiday shopping – Thursday through Sunday – are up 16.4% versus a year ago according to the National Retail Federation. The American economy is not going to fall off a cliff – consumers are showing the way.
I believe there is a “pendulum effect” in so many areas of our world. Some may call it “a lemming effect”, but pendulum sounds so much better. Let’s consider “pendulum effects”: Think about the Pendulum Effect in today’s ability to finance a home. It seems as though it was just a couple years ago when […]
I find it insightful to pay attention to some of the greatest investors of all time – Warren Buffett. Many of our clients know what fans of Mr. Buffett’s investment prowess. We have differing view of some of his other views – but that is for another day. Clearly he is one of the best […]
A Balanced Budget by definition: Income = Spending If your Budget has a running deficit there are only three possible solutions to turn that into a Balanced Budget: 1. Reduce your spending 2. Raise your income 3. A combination of 1 and 2 Logically we know that you cannot decrease a deficit by borrowing more. […]
It is interesting to watch investor and advisors go through the market cycles and gyrations. Often we get derailed by feelings – mistaking them as “facts”. It is important to notice the difference between the two and how we are influenced by feelings versus facts. Let’s take a look: Facts: The economy (GDP) is growing […]
Everyone knows housing is still weak. Everyone knows jobs are growing, but not fast enough to seriously lower the unemployment rate, which stands at 9.1%. Everyone also knows real GDP has expanded for nine consecutive quarters, at an average annual rate of 2.5%. No one is satisfied with this; but it is a recovery, not a […]
Can you name five companies whose products or services you use almost daily? What top brands are your family members unable to live without? We consistently rely on — and budget for — these brands and businesses in our daily activities.
