Keep Politics Out of Your Investment Strategy
In just over two weeks, Americans will head back to the polls to decide, among other things, who will lead our country for the next four years. Rest assured this won’t be a political article attempting to sway you toward any candidate. Instead, I want to share a story about a former client who, ahead of 2020 election, decided to sell his investments to avoid election uncertainty.
Volatility: Seen and Unseen
A few weeks back, a colleague showed me an article on commercial real estate in the Denver Tech Center. Apparently a few well-regarded buildings had changed hands at prices that caught his eye. The surprising news was the sell price earlier this year...
Market Forecasting: A Loser’s Game
It’s Friday, August 2, and I’m writing this article with CNBC open on my browser. The headline shouts, “Dow Loses 750 Points, Nasdaq Enters Correction After Weak Jobs Report.”
Compounding Quietly
Compounding growth, whether in nature or finance, is similar: enough time can bring impressive results. Seemingly every few years, a familiar story is published. A quiet person from a forgotten town, typically with little or no education and a low paying job, accomplishes the unusual.
Selling Fear, Greed, or Both
Across social media and YouTube, there are no shortage of pundits, professional or otherwise, offering financial “advice.” I congratulate writers focused on educating readers about these concepts. But my sense is many of these “gurus’” acquire and grow their income not on the education they offer, but on the number of eyeballs they attract.
Planning for Lasting Inflation
If you’ve been to a grocery store lately, the announcement from the Federal Reserve last week should not have been surprising: inflation seems to be sticky. While some progress has been made in reducing the inflation rate, prices remain elevated…
The Value of a Sale
Did you partake in any Black Friday sales last year? The annual shopping event following Thanksgiving, named black Friday for its ability to get retailers “back into the black,” had retailers concerned in 2023. With prices rising everywhere…
Is Your Home an Investment?
The former home of Groucho Marx, the cigar-chomping, round-glass wearing comedian of the 1920s, is up for sale in Long Island, New York. For the low price of just $2.3 million, you too could own the five-bedroom, 3,800-square-foot home built…
45 Years, 25 Lessons
A few weeks ago I attended the retirement party of someone I’ve called a dear friend for over 49 years. Long ago, we were both young financial advisors chasing similar career paths. We even migrated to independent businesses around the same…
Where Were You 50 Years Ago?
October 2023 marks the 50th anniversary of one of the most tumultuous months in American history. Do you recall the events of October 1973?
October 6, 1973 – On Yom Kippur, the most sacred day in the Jewish calendar, Arab states led…
The Pro’s and Con’s of Passive Investing and When To Engage a Financial Advisor
Passive investing, an investment strategy aimed at maximizing returns over the long run by keeping the amount of buying and selling to a minimum, is a popular choice for many. However, like any financial strategy, it has its pros and cons. To…
FOMO No “Mo”
The 'Twaddle Tendency' is a term coined by Charles T. Munger, an American investor and philanthropist, to describe the inclination of people to have opinions and hold beliefs about subjects that they do not fully understand. It's a potent cognitive…
Let Compounding Run Wild
Albert Bartlett's quote, "The greatest shortcoming of the human race is our inability to understand the exponential function," encapsulates a profound truth about human understanding and financial growth. The principle of compounding, represented…
Forecasting: An Illusion of Knowledge
Have you ever tried shaking one of those magic eight balls found in the toy aisle? You know the gist: Ask a random but important question like, “Will the Broncos win the Super Bowl this year?” Then get a generic answer like, “Ask again…
How Your Financial Plan Should Drive Your Investment Allocation
In the world of finance, there is a popular sentiment that aligns with the philosophy of the renowned investor, Warren Buffett: "Do not save what is left after spending, but spend what is left after saving." This nugget of wisdom speaks to the…