Investments

On Friday, November 16, 2019, the Dow closed above 28,000 for the first time in history. What should we expect going forward?

Check your own funds. You are likely paying too much for your mutual funds.

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.

In reality, all three “myths” are cause for real concern about SRI, ESG, and other so-called impact investing.

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

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

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

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

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

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

“Has the focus on expense ratios caused the public to lose focus of more critical financial measures, such as performance?” Actually, expense ratios and 12b-1 fees should get even more attention than they are getting. Here’s why.

It is common for investors to be surprised by movements in their portfolios, but it is harder to determine if these movements mean that anything should be done.

The real return of the stock market going forward is often debated.

The Marotta Investment Committee typically builds portfolios with average expense ratios of about 0.24%.

If you own these fund families with your Ameriprise Advisor, perhaps you should consider switching to a fee-only financial advisor.

There is always an excuse to delay doing something that involves risk. They close the show reminding you not to wait. Invest now.

Neither the dire pessimism at the start of the Bull Market of the 1990s nor the blind optimism at the end were warranted.

Portfolio construction is extremely important to achieving your long-term goals. Don’t risk those goals by assuming that individual stock-picking is a superior strategy.

Knowing that rebalancing boosts returns is useless unless you have the time, discipline, and nerve to follow through and actually execute the trades.

“Buy on the dips” is a good strategy only because of the first word.

Market corrections are so common as to be largely ignored by long term investors.

Schwab’s presentation is designed to show a real time accounting of your portfolio’s value. It is not designed to report on your portfolio’s performance.

To make the strategy of jumping in and out of the markets successful would require a precision only achieved by luck.

Ten years after our original article we review how sage the advice was.

Run, do not walk, away from outrageous claims.

Any movement out of the stock market can cause you to miss future market appreciation.

There are as many as 60 different stock markets around the world.

There are always those who discount the power of having a diversified portfolio in favor of putting everything in whatever is going to go up the most.

There is very little news that helps us reach our life goals or impacts our lives in a positive way.

For investors who began working in 1970 and retired 45 years later in 2015, cash lost 83.83% of its purchasing power.

Any decision to differ from the cap-weighted global default is a choice.

Predicting future inflation is difficult at best.

US Large Cap is currently valued at the historical average again after taking into account the expected increase in corporate earnings.

Truly diversified portfolios don’t move in sync with the Dow.

It is important to remaining disciplined during volatile markets.

It might continue to boom. It might continue to bust.

“Think of a stock as a machine that generates cash every few months.” Smaller companies that you have never heard of usually have a better return than the better known larger companies.

This Bear market has one of the largest single day losses.

Although volatility is often unwelcome by investors, it can provide profitable returns.

2017 was such a good year for the stock markets that it set a record.

A question from our readers, “Should I choose to have dividends reinvested or should I receive them in cash and then reinvest them myself?”

Or do they go up indefinitely, albeit interrupted by some significant corrections?

I have gradually been writing a series of articles on each Bear Market to show how quickly they correct and how high the subsequent Bull Market rises.

See how much market return you lost to poor fund choices and how much you lost to high expense ratios.

Let’s use some of the publicly available information about HubSpot, Inc. (HUBS) to see what factors the stock shares.

When the client asked my mother, “What is the quickest way to double my money?” she did not hesitate before she answered.

In retrospect, Financial-Planning’s slide show was another bit of distraction from the real work of building brilliant portfolios for long term investing.

Exchange Traded Funds (ETFs) have at least a dozen significant benefits over mutual funds and only a few disadvantages.

There is no such thing as a risk-free, guaranteed investment. Everything has risks.

Bear markets are often a precipitous decline followed by a slower and steadier recovery. Volker’s Bear is rare in that a slow and steady decline was followed by a sharp precipitous recovery.