The month was weak. Not a surprise given the magnificent gains of 2021. One thing that must always be taken into account when making investment decision is taxes. Ultimately, the objective of investment is to maximize after tax income. Pre-tax … Continue reading
As 2021 comes to a close, we should look up on what happened this year and see if there are any lessons that we can take from it. Overall, the Dow went up roughly 5300 points in 2021 or about … Continue reading
A couple months ago, we argued in this newsletter that greed was just as scary in the market as fear. The market that month had gone way up without a rational reason. Now we come to this month. In the … Continue reading
It has been a fabulous month. Portfolios are way up. Of course, we consider fabulous months to be just as scary as crappy months. Greed is equal in danger to fear. When the market moves because of irrational emotion, it … Continue reading
In this newsletter we are going to talk about some of the ways that the COVID-19 pandemic has affected the stock market and what we can learn from the pandemic in terms of investment strategy. In the nearly 2 years … Continue reading
What is risk? Risk as defined in financial planning is simply the likelihood that something unexpected happens, which meaningfully impacts the price of a security. That unexpected event could be positive or negative. A company being heavily damaged by a … Continue reading
The market this month was fairly flat or up a little depending on what index you are looking at. The year to date, of course, is up huge. In past newsletters we have talked a lot about the dangers of … Continue reading
People often talk about the Dow Jones when they talk about how the market is doing. The Dow, however, is not the market. It is an index. Not even a very good one but everyone uses the Dow number. There … Continue reading
The stock market in May was good. The Dow went up about 655 points or 1.9%. In this newsletter we will discuss what an asset is and common examples of different types of assets. An asset is anything you own … Continue reading
The stock market in April was very good. The Dow went up about 900 points or 2.7%. In this newsletter we are going to be discussing confirmation bias. However much we wish to believe otherwise, human beings are not always … Continue reading