Retirement Watch Weekly
Are Investors That Bad?
You might be familiar with the annual study from the firm DALBAR. You almost certainly have heard of the study if you receive communications from a brokerage firm or investment advisor. In a nutshell, the study compares the returns of buying and holding investments with the returns based on flows in and out of the […]
The Big Yawn About the Fed
Today is the market’s 7th anniversary of the 2009 stock index lows. Until recently, the seven-year stock market rise depended on easy Fed policies. Less than a year ago, a report that the Fed was about to raise interest rates would send panic through the markets but that no longer is the case. Last week, Chairman […]
The Case Against Warren Buffett – Is Robo Advising Better?
In his 2016 shareholder letter, Warren Buffett devoted a lot of space to arguing that individual investors shouldn’t try to invest like he does. They shouldn’t use mutual funds or individual stock picks to try to increase their returns. Individuals should invest in low-cost index funds, according to Buffett. Not every agrees. In a CNBC […]
The Backdoor Roth IRA
When your adjusted gross income is too high ($186,000 for married couples filing jointly in 2017), your ability to make a contribution to a Roth IRA is phased out. You can’t make a contribution. But there’s a backdoor way to make a Roth IRA contribution when you’re a high income taxpayer. The method works and […]
A Case for Preferred Stocks
We sold preferred stocks from the Retirement Watch portfolios last July. They’ve since declined a bit as interest rates rose. This article makes the case that preferreds are the only part of the markets potentially trading at a discount and in particular favors two preferred stock issues, both from banks. But the recommendation comes with […]
Midlife Crisis at 90 Years of Age?
This psychiatrist says that the traditional midlife crisis hasn’t been established by data (subscription might be required) but that in his practice he’s found more elderly are having episodes with the earmarks of a midlife crisis. He says these episodes usually are triggered by a series of losses and other events that are too much […]
The Markets so Far in 2017
The first two months of 2017 are behind us. Let’s take a look at how the main asset classes began the year. It’s quite a contrast from 2016, when all assets except government bonds were in freefall. U.S. stocks took most of the headlines in the first two months of 2017. You’re probably aware of […]
Identifying and Avoiding the Risks behind the Headlines
Will there be major economic and financial policy changes in 2017? Should your portfolio be adjusted to reflect those changes? Those questions dominated the recent MoneyShow Orlando. As I’ve said recently, we are in a period of exceptional uncertainty. A wide range of policy changes is possible, and that means a wide range of economic […]
