The article below from the Wall Street Journal tells a story that is far more common than you can imagine. It illustrates the difference between a fiduciary and a broker. Make sure you know the difference when you hire an advisor. Do they work directly for you, and are they held to the highest standard of the law to do what is right, as we are? Or do they work for a company, where they are beholden to managers, selling quotas, contracts, and stock holders? If you want to know more about the difference, and how it affects you, just …
The Election: How to Position Your Portfolio
Depending on the winner of the presidential election, there’s something you’ll absolutely want to do with your portfolio. If Clinton wins, you should… …do nothing. But on the other hand, if Trump wins, you should… …also, do nothing. Were you expecting a big secret? An actionable insight? No one knows what’s going to happen in any market, for any reason, at any time. Period. If someone tells you otherwise, they either don’t understand history, or they’re trying to sell you something. In either case, there’s no upside for you. Mountains of data, research, and science confirm our claim. If the …
The Risk of Investing, As Demonstrated by John’s Mom
Of the hundreds of people we help with their investing needs, only one person called in panic during early February, and again, two days after the Brexit vote. It was John’s mom. And that makes her perfectly normal. As a recap, the market started the year by sliding over 12% through the first five weeks. Then England shocked the world by voting to leave the EU, and we dropped another 6% in only two days. As humans, we are programmed to avoid danger, and our brains translate market downturns as danger. Furthermore, studies show that we feel discouraged by an …