Author Archives: David John Marotta

There are at least seven major mistakes in this advice by Wells Fargo Asset Management.

Edward Bellamy’s novel “Looking Backward” moved hearts and minds, ultimately moving nations and history.

The markets are inherently volatile, but they have also been inherently profitable. Setting your expectations accurately can help you stay invested long enough to overlook disappointing results and experience the long-term growth you are seeking.

One of the most common socialist assumptions is that it is possible to perfect society.

Your asset allocation matters to maintaining a balance in retirement of having money for the next 5 to 7 years and keeping up with inflation for time periods of 8 years or longer.

Understanding the most powerful sales techniques doesn’t change the fact that they tend to work.

How to measure the rebalancing bonus and the benefits of staying invested after a market drop.

Designating your beneficiaries is an important step in setting up and managing your retirement plan account.

Be on your guard to avoid wasting money following the advice of an article written to maximize revenue.

Here are some of the best practices to protect your identity.

Using the analogy of a peach orchard farmer compared to a doomsday weather watcher, David Marotta reminds us in this 2004 article that “For the speculator, speed is everything. Not so, for the investor.”

A low forward P/E suggests higher expected appreciation.

These are four possible consequences of Regulation Best Interest.

This 2009 article reminds us, “When we are worried about our expenditures, we tend to look at the dollar amounts more than the frequency of our purchases.” However, to combat mindless spending, we should look to trim recurring expenses first.

Although this is the least common financial shock studied, it is one of the most difficult because at its core it is a problem money cannot solve.

The SEC is allowing financial professionals to hide in a lower legal requirement, not meet a fiduciary standard, and call it “Best Interest.”

It requires discipline to ignore dire warnings.

Financial shocks can come in all shapes and sizes. This strategy of budgeting should increase your chance for success over the long haul.

Anything which is not contributing toward your financial independence should be considered part of your lifestyle spending.

Keeping $100,000 might cost you $500,000 in lost opportunity costs over 20 years.

Social Security just turned 84 years old today (August 14, 2019). It has stayed alive on the false sentiment of sunk costs.

On June 5th, 2019, the Securities and Exchange Commission (SEC) released their final draft of Reg BI, or “Best Interest” as it is called.

Whatever technique you use to smooth your income, providing for the possibility of having a sudden reduction in income can help your family self-ensure against this potential financial shock.

Setting aside some of the payment to cover future inflation is a prudent retirement planning practice.

This is the financial shock of a trip to hospital. It is upsetting, expensive, and unexpected.

The appeal to the Nordic countries from socialists is a false one. Iceland, Denmark, Sweden, Finland, and Norway are examples of market economies, not socialism.

Generally speaking, Value stocks outperform Growth stocks. Investing based upon this finding is called “Value Investing.”

This is the financial shock of a major home repair. It is expensive and surprising.

During 2019, the U.S. Stock Market generally rose during the four quarters from the lows set by the Almost Bear Market of 2018.

This is the financial shock of a major car repair. It is the most common financial shock with 30% of households reporting such an event within the last 12 months.

Our intention in including this particular slide is to show the range of quarterly returns. Here is some wisdom on how to use this slide when comparing your own returns for the quarter.

When crafting your own buy list, this 2007 article reminds us that rather than just finding one index fund to fulfill your asset class, you should consider blending multiple sector level index funds to decrease volatility or increase return.

It is easy for an inverted yield curve to spook investors.

It is possible to be prepared for financial emergencies by living 10% more frugally and saving for the inevitable eventuality.

A low cost timeless portfolio for your HSA with HealthSavings Administrators.

There is a science to portfolio construction. Selecting a random group of companies is just as bad as selecting a random group of funds.

Rebalancing from stocks into bonds reduces your returns on average since bonds have a lower average return. But, as this 2015 article reminds us, there are decades of very choppy markets where even rebalancing an allocation of stocks and bonds can boost returns.

We often get the question from plan participants, “What should I invest in?” Here are our recommendations in order.

Dimensional’s analysis found that top funds do not repeat.

Asset classes are best defined by looking at the correlation of their returns. These four 2015 articles take a close examination at the three appreciation asset classes.

We continue to believe that diversification among many different countries provides a more consistent return than investing entirely in the United States.

Rumors suggest that the network’s vetting is a five minute process where you are told the fees are about $1,000 a month.

In case you missed it, here is the overview of our Marotta’s 2019 Gone-Fishing Portfolios. These are our recommended simple asset allocations for those just getting started with investing.

Thirty years of interest, dividends, and capital gains tax is a significant savings.

The unpleasant reality is that socialism quickly turns to the use of force to bring about their vision of society.

This 2007 post teaches how to use both investment losses and investment gains to good tax advantage.

An analysis of changing to lower cost funds.

The title is “Reclusive Millionaire Warns: ‘Get Out of Cash Now.’ ” Assuming you take the bait, the article and accompanying video uses all the psychological tricks. It takes a long time before what they are selling is revealed.

An overwhelming number of failed marriages cite financial troubles as a major factor in their breakup. See if this 2006 article can help make finances a place of union rather than separation.

Don’t be cynical. Get serious.