Like most things in personal finance, there is no clear cut answer as to whether you should pay off your mortgage or continue to hold one. Everyone’s individual situation is different, and today we will discuss some considerations investors...
Read moreChoosing a Proper Benchmark
[youtube=http://www.youtube.com/watch?v=iKKp9rAJSRE&w=420&h=315] The book “The Most Powerful Idea in the World” by William Rosen chronicles the story of the steam engine and dives into the history of the influential figures that were...
Read moreLuck versus Skill In Investment Performance
[youtube=http://www.youtube.com/watch?v=R3KvzeJppcA&w=420&h=315] Consistently beating the market is very hard to do. There are, however, a few investors that have shown they have the skill to do it. But how do you know if an investor is...
Read moreMore About Style Premium Diversification
Last week I posted an article about incorporating style premiums into a portfolio and how it will increase efficiency (higher return per unit of risk). Some readers had some questions that I will address today. The first question: when looking at...
Read moreDiversifying Across Style Premiums
[youtube=http://www.youtube.com/watch?v=_LulZmlR5Gc&w=420&h=315] Diversifying your portfolio across asset classes is well known to increase the return of a portfolio while reducing risk. Today we will talk about another way to diversify a...
Read moreCan You Time The Market?
[youtube=http://www.youtube.com/watch?v=g_Jdh73DCI0&w=420&h=315] It is a very tempting proposition. All you have to do is get out of the market when it is at its highs and jump back in after it tanks. It sounds simple enough and has...
Read moreWhat is Better, Saving More Or Getting Higher Returns?
[youtube=http://www.youtube.com/watch?v=XpvtSHjKIi8&w=560&h=315] In a previous post we looked at a simple compounding interest example. It showed that if you start saving early in your life you can end up with more money in retirement...
Read moreWhen Should I Take Social Security?
Deciding when to take social security is a big decision for someone about to retire. Most people realize that they can take social security as early as age 62; however, their annual ongoing benefit may vary by up to 30% depending on when they...
Read moreCan You Stomach Tracking Error?
It is well known that diversification is the only real way to increase returns while reducing risk. Normally this risk is measured academically using statistical calculations such as standard deviation. There is another risk that investors must...
Read moreStart Saving Early and Often
Compounding interest is a very powerful thing. Today we will take a look at an example that will hopefully convince you or your children to start saving early and often.
Read moreWhat kind of returns are you getting? – The Wrong Question.
As a registered investment adviser, I am often asked, “What kind of returns are you getting?” I believe they ask this question in order to compare the performance of their own portfolio and gauge how good I am as an investor. In today’s post, I...
Read moreThe Value Premium
Continuing with our series on style premiums, today I will talk about the value premium, or the tendency for value stocks to outperform growth stocks...
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