Category: General Investment

Interest Rates

Here is an interesting chart I saw today that frames our current interest rate environment from an historical perspective.  Interest rates are now as low as they have been in over 226 years! What is also interesting to note is how high rates have been in the past – long-term rates of around 8-10% are not uncommon.

Scary Parallel

Almost everyone recognizes the worst stock market decline as the 1929 crash.  It was during that time that the Dow Jones Industrial Average declined approximately 87%.  To describe it as a devastating time would be an understatement as The Great Depression was soon ushered in. It has been said that history repeats itself.  If that is true, […]

Inflection Points

Webster’s defines inflection as a turning or bending away from a course or position of alignment.  Take a look at the chart and note two of the previous inflection points in the chart.  The first occurred after a 106% increase in the S&P 500 and resulted in a 40% loss.  The second occurred after a 101% […]

Do You Own a Target Date Fund?

Several years ago, providers of 401(k) plans wanted to make the process of selecting a fund much easier. In doing so, they took a buy-and-hold methodology and added to that an age-based formula to develop new funds for 401(k) plans that would provide easy selection and a lifetime hands-off the steering wheel approach. To select […]

The Value of Unbiased Information

Any day, you can listen to the financial talking-heads in the media and hear pretty much anything you want to read or hear.  It’s even possible to hear viewpoints within the same hour that are diametrically opposed to one another.  So what is an investor to do? One could pick a favorite in terms of […]

Market Update – 7/26/2013

If it were possible to forecast the market, then this update would detail the weeks and months ahead of us.  Unfortunately, no one can accurately predict what the market will do going forward.  However, tools are available to know the market conditions today – therefore what is, is.  With current information, we can know if […]