The Uncommon Average – Second Quarter 2019
The U.S. stock market has delivered an average annual return of around 10% since 1926. But short-term results generally vary, and in any given period stock returns can be positive, negative, or flat. When setting expectations, it’s helpful to see the range of outcomes experienced by investors historically. For example, how often have...
Blink Moments – First Quarter 2019
After a turbulent end to 2018 sent stock indices around the globe into bear-market territory, equities staged a big recovery in the first quarter of 2019. For the quarter, the S&P 500 index gained 13.65% and was within a few percentage points of its record high. The Russell 2000 small stock index gained even more...
Why Should You Diversify? – Fourth Quarter 2018
As 2019 begins, and with U.S. stocks outperforming non-U.S. stocks in recent years, some investors have again turned their attention towards the role that global diversification plays in their portfolios. For the five-year period ending October 31, 2018, the S&P 500 Index had an annualized return of 11.34% while...
Where’s the Value? – Third Quarter 2018
From 1928–2017 the value premium in the U.S. had a positive annualized return of approximately 3.5%. In seven of the last 10 calendar years, however, the value premium in the U.S. has been negative. This has prompted some investors to wonder if such an extended period of underperformance may be cause for...
E + R = O, a Formula for Success – Second Quarter 2018
Combining an enduring investment philosophy with a simple formula that helps maintain investment discipline can increase the odds of having a positive financial experience. “The important thing about an investment philosophy is that you have one you can stick with.” David Booth Founder and Executive Chairman...
Sailing with the Tides – First Quarter 2018
Embarking on a financial plan is like sailing around the world. The voyage won’t always go according to plan, and there’ll be rough seas. But the odds of reaching your destination increase greatly if you are prepared, flexible, patient, and well-advised. A mistake many inexperienced sailors make is not having a...
“The first rule of compounding is to never interrupt it unnecessarily.”
—Charles T. Munger
As we navigate a world of shifting dynamics, it’s wise to stay grounded in the fundamentals.
I am pleased to update you on our progress in the first half of 2024. Before examining the current market landscape, it is worth reflecting on what our disciplined approach has delivered so far.
While strong market performance is encouraging, it can also trigger a less favorable response within the investment community. On the opposite end of the spectrum from selling during market downturns, some restless investors might be tempted to chase after speculative trends, no matter how closely they resemble past “Fear of Missing Out” (FOMO) frenzies.
The unpredictability of markets became evident in 2023, as The Wall Street Journal aptly reported: “Almost no one thought 2023 would be a blockbuster year for stocks. They could hardly have been more wrong.” As we step into the new year, it brings the opportunity to reflect on the intricacies of the equity markets, not…
Contemplate how invaluable your steadfastness is to those you love and care for. This is the gift you give.
As we find ourselves at the midpoint of the year, it’s an opportune moment to reflect on the long-term journey we’ve embarked upon together in the realm of investments. The financial landscape has unveiled its latest chapters, and I am pleased to share our insights and observations with you.
With increasing anxiety, many investors are eyeing their portfolios for exposure to regional banks. When financial headlines cause worry, focus on your investment plan instead of rummaging through your portfolio for investments to sell.
The year 2022 was tumultuous for the investment world, filled with uncertainty that tested investors’ mettle. Despite these challenges, the central theme of 2022 was the ultimate heroic act of standing fast in the face of economic and inflationary uncertainty.
The market has rebounded from its October lows. Whether the bottom is now or another 20% down, here are a few things to keep in mind.
Selling one’s quality equity portfolio into a bear market has historically been the best way to derail any chance for lifetime investment success and reaching your financial goals. Here are ten lessons to remember during periods of volatility that can help you stick to your well-built plan.