The Reality Of A Bear Market
Preface: In this series on bear markets, we are going to explore not just the facts but the feelings associated with bear markets, in order to try to derive effective ways of dealing with them. If you haven’t read Bear Markets – A Temporary Illusion, start there. (THIS ILLUSTRATION IGNORES SIXTY YEARS OF DIVIDENDS; remember, [...]
Read the Full ArticleFixed Income Investments
Fixed income investments – the kind we’ve always intuitively considered “safe” – can be very comforting if we think of risk only in terms of principal. Depending on your personal financial circumstances and your ability to tolerate risk and volatility, there is a good chance that a fixed-income retirement investment strategy may not sustain your [...]
Read the Full ArticleThe Risk Of Outliving Your Money
Remember when a Coke only used to cost a quarter? Today, it is difficult to find soda for a $1.00. The cost of things rise over time, it’s a fact of modern life. Another way of looking at it is that the ability for a specific dollar amount to purchase goods and services decreases [...]
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During the worst part of the recession, we had an 80 yr old client who wanted to move all of his equity into fixed income – the equivalent of stashing your money under the mattress. For short term need, it would be OK, but what if he lived to be 90? He would need at [...]
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