April 13, 2020 –
Financial market commentators often refer to black swans, a metaphor for extremely rare events that are virtually impossible to anticipate and which have a very significant market impact. Asteroid is another metaphor for the same phenomenon – certainly financial markets and the global economy have shuddered in recent weeks as if they have been hit by one. The financial and economic impact of the coronavirus pandemic has been particularly acute because it was unexpected, and thus represented a risk that was not reflected in market prices.
January 13, 2020 –
As always, there are several pros and cons to consider when navigating today’s markets. Many of these issues, both positive and negative, can turn on a dime…and generally tend to once a consensus arises that extrapolates past trends into the future. It’s for this reason that we regularly reinforce the imperative of ignoring today’s news headlines (particularly negative ones) when constructing an investment plan, and rather aligning strategy to fit one’s unique personal financial situation and objectives.
October 15, 2019 –
Emotions and investing are a bad mix. Stick with the plan across market and economic cycles, and review the plan annually to ensure that it still reflects your current strategic needs. When markets get volatile, look for opportunities to take advantage of the volatility rather than a change in strategy.
July 24, 2019 –
Despite concerns about market direction at the beginning of the year, particularly coming off steep market declines late in 2018, both equity and fixed income markets have concluded a first half of 2019 that can only be described as outstanding.
April 12, 2019 –
While it is entirely rational to feel good when markets rally and our wealth increases, and to feel bad when market declines cause losses, it is a grave mistake to adjust investment strategy based on such moves.
January 15, 2019 –
2018 was a disappointing year for investors, with virtually all major asset classes experiencing negative returns. While losses are never pleasant, there are a few key takeaways that are important to keep in mind during periods of market volatility, and there are silver linings in the current environment.