I wrote today's post, Ten Steps to Success for New Investors, for my friend Aaron's excellent blog, Personal Finance for Beginners. As the name suggests, Aaron's blog focuses on educating those in the beginning stages of their finances. However, the site is not only for beginners. There are many valuable principles of personal finance for all of us. Writing this post … [Read more...] about Ten Steps to Success for New Investors – Personal Finance for Beginners
How do you know if you're emotionally prepared for a market meltdown? If you have money in the market, I hope that's a question you've at least considered. Don't get me wrong. I'm not predicting a market meltdown is coming. However, it would not be surprising if it happened. Why? That's what I want to talk about in this post. I'm concerned for the thousands, … [Read more...] about Are You Emotionally Prepared for a Market Meltdown?
In this third and final part of our series, I want to show you how to build an evidence-based portfolio. As a refresher, in part 1, we talked about what evidence-based investing is. We said it is mostly a passive strategy made up of stocks and bonds. We talked about the factors the evidence show exist that offer the potential for higher expected returns. Part one … [Read more...] about Here Is How To Build An Evidence-Based Portfolio
In this post, we're going to talk about bonds in evidence-based investing. This is part two of my three part series. In my last post, I introduced you to the basics of evidence-based investing. We said it was primarily a passive investing strategy whose foundation comes out of the efficient market hypothesis. I introduced you to five factors that offer the potential … [Read more...] about What You Need to Know about Bonds in Evidence-Based Investing
The title, what you need to know about evidence-based investing, may sound a bit presumptuous. And it probably is. When I hear someone say to me "you need to know" at the beginning of a sentence, I'm likely to put up my guard. Please bear with me. There is so much noise out there around investing - claims, promises, products and the like - that I wanted to offer an … [Read more...] about What You Need To Know about Evidence-Based Investing
I thought this would be a good time to talk about how to protect your investments a volatile stock market. Though mostly MIA for the last several years, market volatility is normal. And making a strong comeback. The week of February 5, 2018, reintroduced volatility to investors. The media declared this a correction, usually defined by a 10% drop in the index. That … [Read more...] about Protect Your Investments in a Volatile Stock Market
With volatility returning to the markets, many people are asking how to survive a market crash. The U.S. stock market has been on a remarkable run. Over the last five years (as of this writing on February 6, 2018), the Russell 3000 index (made up of the largest 3000 U.S. stocks) had an average annual return of 15.58%. In 2017, international developed market stocks (as … [Read more...] about How to Survive a Market Crash