Let’s consider the tale of one farmer – for those that haven’t heard of Cliff Young, he was a 61-year-old potato farmer who entered Australia’s 543.7-mile endurance race in 1983. Cliff showed up dressed in overalls and boot, not as a spectator as one might have thought, but rather as a runner competing with racers […]
There’s an old story of a man who was afraid of heights, so he decided to conquer his fear by going rock climbing. A guide was on hand to help him, but as he was dangling from the edge of the cliff, he looked down. The sight made him freeze. The guide gave him some […]
Even in the current low-yield environment, I think it is important to dedicate some portion of a portfolio to bonds. However, when I look under the hood of most bond funds, the closest thing I can compare it to is a cable TV package. Most cable companies bundle their TV packages together and split the […]
1) BOND FUNDS If you need income in retirement bond funds may be the answer. The past few years of rising bond prices have generated above average returns for the fund, but the real current yields of the underlying bonds may be much less than what you think. 2) USING SHORT-TERM BONDS EXPECTING RATES TO […]
1. Does your advisor personally identify with your investment planning issues and specialize in working with high net worth clients who have portfolios exceeding $1 million dollars? 2. Does your lead independent financial advisor have more than 25 years of experience in the financial industry? 3. Does your advisor have a team of more than […]
Attached is the updated table ranking asset class returns over the last 15 years which shows last year’s returns led by small cap stocks with commodities posting the largest loss. Often, instead of spreading risk and investing for the long term, investors look at last year’s big performers and want to move significant portions of their portfolio to those asset classes. This chart, however, is not a road map of where to invest for 2014 but an illustration on the importance of allocating risk across asset classes.
Working in the industry for over 20 years, I have often seen one common mistake made by investors; chasing last year’s hot dot. Very seldom have I seen someone recommend buying an asset class when it’s down significantly or after the media has pounded the table about poor results. All too often the euphoria of […]