Charlie Munger, Warren Buffett’s right-hand man, passed away last November at the age of 99, leaving behind a legacy that will continue to inspire for generations. Known for his wit and unyielding adherence to principle, Munger was a brilliant investor whose influence shaped the strategy and success of Berkshire Hathaway (and me).
Whenever we transition into a new year, a slew of gurus come out of hiding to proudly share their projections for the upcoming 12 months. Although a good part of financial planning and investment management involves making some projections, I try not to join these gurus each year for two main reasons.
For more than 15 years, I’ve taught sessions in the local “It’s Your Money” program. As I recently taught their “Equity and Fixed Income Investing” course, I shared one of my favorite visuals about the perils of jumping in/out of the markets. There are several important takeaways.
Through the middle of this year, just seven stocks have driven 75% of this year's stock market performance. These stocks include Alphabet, Amazon, Apple, Meta, Microsoft, Nvidia, and Tesla. Some are calling these stocks “The Magnificent Seven.” There are nice parallels between the classic Western movie and what we might expect from these specific stocks in real life.
TD Ameritrade officially announced that your accounts at TD Ameritrade will be moving to Schwab. I've been monitoring the merger process for the last couple of years. I'm watching things carefully, but I'm confident the "trip" will be short and easy.
Looking back through my older writing, I found an article I wrote in 2017. The article had an official-sounding title, “International Investing – What Investors Need To Know.” The article made the case for investing in stocks outside the US. How do I look at these markets now?
For the last two months, I’ve been using ChatGPT in a wide variety of my daily tasks as a financial advisor, and I've found the tool to have real benefits. In this post, I share more than 40 sample prompts that financial advisors might find helpful.
With this weekend’s (March 11, 2023) news about bank failures, I’ve received more than a few questions. I thought I’d share my answers to some of the questions I'm getting.
The University of Michigan’s US Index of Consumer Sentiment is currently at the lowest reading the survey has ever recorded. It’s clear that folks are concerned. There is a good possibility this is good news.
Last week we reached "correction" territory as the stock markets touched losses of 11.7% year-to-date. Stock and bond market losses are stressful. Big declines might trigger one of the following responses: Fight, Flight, or Freeze. I use a different strategy: Rethink. This has led me to three conclusions.
Several years ago I took part in a webinar, Must-Have Tech Solutions for Your Firm!, where I shared information my firm and the technology I use to serve clients. This led me to sketch down the list of programs, apps and tools I’m using every day. Having these tools in my toolbox gives me an advantage in the quality of the recommendations I give to clients.
If I could only track one stock market measure, I would use the CAPE ratio. At the beginning of 2022, the CAPE ratio was roughly 50% above its 20-year average; this does not bode well for future stock market returns.