GREAT NEWS! Charles Schwab announced that starting on October 7, 2019, transactions to buy and sell stocks and ETFs are FREE! However, Schwab was not the first large broker to make this offer. It is likely that Schwab was reacting to a free commission offering from Interactive Brokers that began the last week of September. […]
Fear Sells
Fear dominates headlines and can keep us up at night. It seems to be the business reporters’ job to assess all possible downside scenarios. If these negative headlines never materialize, people are happy. If they do materialize, the listeners cannot say they were not warned. And the cycle goes on and on and on…… Is […]
How to Survive Volatile Markets
After an unprecedented period of calmness in the stock market, volatility reared its ugly head with full force in the last quarter of 2018, evidenced by spikes in the “fear” index (Chart 1). Investors received a rude awakening as many high-flying stocks that were perceived to have little downside risk plunged substantially, prompting these investors […]
Six Smart Things to Do Right Now to Prepare for the Next Downturn
The U.S. bull market has entered uncharted territory – it is now the longest in history and is still marching higher. But this charging bull has to catch its breath someday before resumes its run. Behavioral finance teaches us that it is during these tumultuous times when humans react emotionally (and irrationally). Although we will […]
Risk and Diversification – Understanding Risk and Why It’s Important
Every day we take risks. For “adrenaline junkies” it may mean jumping out of an airplane at 10,000 feet, riding the steepest roller coaster in the world, or swimming with sharks. But even those of us who are more risk-averse take some risks – like driving a car or playing sports. Approximately fourteen auto-related accidents[1] […]
Time Value of Money – The Single Most Important Key to Successful Investing
Are you worried about not having enough for retirement? Are you constantly checking the stock market, searching for the next “Amazon” or “Netflix,” or concerned that another economic recession is around the corner? These anxieties often lead to excessive and unnecessary trading (portfolio rebalancing), questioning of your financial future and the path you are on, […]
