Years ago, a friend came home with a new, top-of-the-line road bike. My first thought: How can he afford that? It seemed like such a big purchase based on what I thought I knew. We lived in the same neighborhood, were close to the same age and both had young families. His life looked a …Read More.
Most of the market news you hear tends to be about stocks, but bonds are just as useful a tool for most investment portfolios. One type in particular, the municipal, or “muni” bond, remains very popular. These bonds are issued by local governments, they’re often tax-exempt and they can be relatively low risk. But muni …Read More.
We’re still making the same old mistake of buying investments when prices are high and selling them once their prices have fallen. I had hoped things had changed, I really did. But Morningstar’s latest Investor Returns data says otherwise. More than 10 years after I first started thinking about this data, the behavior gap still exists. The …Read More.
Frederic Mishkin was in a bind. In January 2008, his wife wanted to buy a house, but as we all know now, the housing market was in the midst of a crash. More than one person probably shared similar doubts with friends around the same time, but Mr. Mishkin is a little different. He told …Read More.
You should never make investing decisions based on what the market is doing, except for now, maybe. Past experience and reams of studies tell us there is no way to time the market and that we should buy and hold. That said, there are a few exceptions to the rule. With the total United States …Read More.
When I ask you to think long term, what comes to mind? Ten years from now? One year? One week? In a world where excellence is now measured in milliseconds, it can be incredibly difficult to think past the moment that’s right in front of us. …Read More.
Investors were stung, badly, by the financial crisis of 2008. No one wants to go through an experience like that again, which has led to renewed interest in an investing approach called tactical asset allocation …Read More.
Investors were stung, badly, by the financial crisis of 2008. No one wants to go through an experience like that again, which has led to renewed interest in an investing approach called tactical asset allocation. …Read More.
I recently got a new smartphone. In the setup process, I was presented with all sorts of options. Selecting a language was pretty easy, but I had to think harder about some of the other ones. Did I want the phone to use my location? Did I want to share data anonymously? Did I want …Read More.
The first piece of pumpkin pie is a real treat. The second piece might be good. But we may almost have to force ourselves to eat the third. Instead of enjoying it, we’re miserable. Why doesn’t the last piece taste as good as the first …Read More.