This week, a few things especially caught our attention. International diversification is starting to reward investors again after a considerable period when a blend of U.S. Stocks and bonds outperformed relative to most other asset allocations. Inflation is starting to accelerate a bit, which contributed to a sell-off one day last week. We also noted
Death and taxes are said to be the only certainties in life. This week, because of all the serious illnesses and loss of clients, their loved ones and friends over the past year or so, we highlight a few things on measuring what really counts in the end. How Will You Measure Your Life? The
Hardly a week goes by without our having several discussions about the financial aspects of retirement. This week we address some issues from the last several days. How much house can I afford? The traditional rule of thumb—i.e., not more than 28% of your monthly income going for a mortgage payment—is not particularly helpful. There
Investors concerned about recent market swings wonder if there’s any relief in sight. The short answer: not any time soon. The Chief Investment Officer at Schwab, Liz Ann Sonders forecasts the near future for this secular bull market. As tax deadlines approach, the IRS recently announced taxes collected from affluent taxpayers rose more than expected
If we had told you 25 years ago--when you were earning 8.5% on a 30 year U.S. Treasury bond—that you would be earning 2.5% today on that same bond, you would have labeled the thought sheer madness. Yet, that is today’s reality. This week we review why low interest rates may be with us for
We’ve had a few conversations lately with clients on the edge of retirement or having recently crossed over to the other side. A few articles this week shed light on several key issues. The Average Retirement Age—An Update. Today’s average retirement ages of 64 for men and 62 for women are about the same as
This week we examine some worrisome characteristics of the U.S. market. According to Liz An Sonders of Charles Schwab, global monetary conditions remain equity market friendly, but pending U.S. rate hikes may change perception about market valuation. Gavyn Davis, columnist for the Financial Times, notes increasing grounds to worry about the sustainability of the market’s
“If a man does not keep pace with his companions, perhaps it is because he hears a different drummer. Let him step to the music which he hears, however measured or far away.”
Serious illness and loss struck throughout our client base in 2014. Indeed, we acquired a lifetime of experience in 2014 dealing with serious illnesses among family members. This week we share some of the wisdom acquired. Mom & Dad, we need to talk. A family discussion on end of life care cannot wait until the
The U.S. equity bull market is in its seventh year. Many investors’ bad memories from 2008 or 2000 have faded. Some investors are feeling left behind. This week we examine the power of investor regret and why going “all in” now may not be a good idea. Pay attention to the emotion of regret. Investors