The Importance of Underlying Optimism
The two conditions are usually unrelated. Mr. Market is concerned most with the question of whether, in 6 to 12 months in the future, economic conditions will be better or worse. More specifically, an investor continuously makes a judgment about the probable progress of individual companies, industries, and the economy, [...]
Innovation Will be the Cure for Covid-19
President John Adams once said, a problem is just an opportunity in disguise. Generally speaking, it is often during a crises that innovation comes. We need not look back too far in time to find primary examples of this. In 2003, during the height of the SARS epidemic, it was [...]
Income, Wherefore Art Thou?
Today we will explore a different vehicle for income, one which might not be familiar to you. First, some context. When you speak of a mutual fund, it is usually what is known as an Open End fund. It is open in the sense that new investors can buy shares [...]
The Unintended Consequences of Good Intentions
Several months ago, when Covid-19 was first starting to spread domestically, I wrote a column about the importance of having a plan in place should the virus get really bad here in the area. In all of my planning, the one thing I didn’t think to do was get a [...]
Recent Changes in Financial Laws
It took me 3 ½ years of law practice (40 years ago) to conclude that was not the best way for me to help people. But I am still thankful I spent the time and money to get my Doctorate of Jurisprudence. It is a great background for financial advisory [...]
Hustle and Cash Flow
This is a scary time, not only has the coronavirus done great harm to our population’s physical health, it has also delivered a crushing blow to our financial health as well. While I am hopeful that the worst has now passed, the economic impact of this global pandemic has been [...]
Is it Different this Time?
The primary rule of financial markets’ behavior is that Mr. Market will do whatever it takes to confound the greatest number of investors, market experts, et al. No one else could possibly be so fickle and unpredictable. I can safely say that almost no one expected the current bullish run [...]
Thoughts on Being Coronavirus Positive
There are some events that have a generational impact on our nation. Some, like the 9/11 attack or Pearl Harbor, brought our nation together. Others, like the Vietnam War or the election of Donald Trump, pulled us apart. Clearly, the coronavirus is one of these events. While it’s easy to [...]
Don’t Stop Investing!
A strong trend change in investing has developed over the past few years. Particularly after 2008, many folks have given up on private investing for growing their long-term wealth. This latest correction of both debt and equity markets obviously will not help. In the Midwest, we do not even like [...]
Have a steady strategy even in a down market
The stock market, as measured by the S&P 500, just had its fastest drop of 30%, ever. The others in the top 5 are 1934, 1931, 1929 and 1987. That’s some scary company to keep. Only one of these was more short-term in nature, the 1987 crash. Should we heed [...]