We are more often frightened than hurt: and we suffer more from imagination than from reality. ~Seneca I am an old man and have known a great many troubles, but most of them never happened. ~Mark Twain The third quarter was not a good quarter for world stock markets—It’s nice to have it in the rearview mirror. Emerging market... Read More
Warren Buffett once said, "The most important quality for an investor is temperament, not intellect." But do we actually believe this? We live in a society that favors the bold and idolizes genius. Nuance is out. Unquestioned confidence is in. We want clear, black-and-white narratives filled with reassuring promises about the events of tomorrow. Above all else, we crave certainty... Read More
I competed in my first triathlon recently. The race was a challenge, but also a lot of fun. And while I completed the race (and beat my friend who talked me into signing up!), there is a lot of room for improvement if I decide to compete again—especially on the bike. You see, I went on a grand total of... Read More
The markets are getting a bit bumpy again. The U.S. stock market was down more than 5% last week and more than 3% on Friday alone. [Note: Markets are down again today, around 2% currently, making these things even more important to remember.] And people are taking notice judging by the increase in media coverage, the increased volume on financial... Read More
2nd Quarter Market Performance Key Points: International stocks continue to outperform U.S. stocks in 2015 Rates on long-term bonds moved up around half a percent in the quarter The second quarter was not a particularly exciting one for most investors. Returns ranged between up 1.1% in Pacific market stocks (Japan, Australia, Korea, Hong Kong, Singapore) to down 1.7% in the... Read More
Those who cannot remember the past are condemned to repeat it. -George Santayana I think Seneca (the Roman philosopher from 2,000 years ago) would have been a fan of performance reporting. Now, before you think I’ve completely gone off the rails, hear me out. In his writing, Seneca stresses the importance of examining the past and in making time to... Read More
In a recent blog post, marketing guru and bestselling author Seth Godin discusses the importance of designing a system to anticipate and allow for severe stress—since immediate reactionary measures to negative situations can have significant adverse effects. He calls this “The Panic Tax.” Godin’s blog is as much about human behavior as it is marketing—so it’s no surprise that his... Read More
I grew up in rural Oregon. And, like most kids growing up in rural anywhere, I spent a fair amount of time learning how to fish. One of the great things about fishing as a kid is it’s a great way to learn patience. Imagine casting your line and immediately reeling it back in the moment it hits the water.... Read More
I don’t watch a lot of live TV, but when I do, I turn on business news, Jim Cramer is there telling me what stocks to buy. If it’s not Cramer, it’s an analyst explaining what manger she recommends, or some economist is out with his latest forecast. Even if this form of financial “infotainment” is what business TV (CNBC,... Read More
When it comes to their 401(k) or other retirement assets, too often investors are left to figure things out on their own. This raises common questions like: What funds should I be using? What’s the proper allocation to these funds? And how much risk should I be taking? These questions are perfect for addressing with a financial advisor—and yet, investors... Read More
