investing truths

Lawmakers with stock holdings vote in ways that juice their portfolios

December 11, 2020January 26, 2021Unknown

“Amid calls for stricter regulation of congressional stock ownership, researchers find that financial self-interest outweighs party, ideology and other factors in policy decisions” according to Washington Post reporter Christopher IngrahamDecember 20, 2020. “A series of well-timed stock trades early in the pandemic brought Justice Department scrutiny on at least five U.S. senators this year over…

Wall Street Brokers missed the memo on Index Funds

October 27, 2019December 16, 2019Unknown

“In recent years, investors have been flocking to low-cost index funds, driven by their long-term record of outperforming higher cost actively managed funds” writes Randall Smith in The Wall Street Journal (10/7/19). However, clients of Wall Street brokers have just 29% of assets in passive index funds according to a report by Cerulli Associates. The…

Investing $5,000 a year results in $1.2 million in 40 years so start now!

May 27, 2019June 4, 2019Unknown

Wait… $5,000 x 40 $200,000. How did you get $1.2 million? The extra $1million is due to compounding.Writing for MarketWatch, Mitch Tuchman explains compound interest. “Shark Tank” star Kevin O’Leary has some simple advice for anyone who finds investing scary: Just do it. Now. “When you’re 21 years old, or 20 or 18 or 19…

How long will this bull market in stocks last?

January 23, 2017March 30, 2018Financial Planning For Women

The “bull market for stocks is 94 months old, making it the second-longest in modern history” according to Jason Zweig, writing in The Wall Street Journal, Jan. 21, 2017. In his weekly “Intelligent Investor” column Zweig explains the results of recent research showing that investors are affected by the optimism of other investors, often resulting…

Expect lower portfolio returns in the future

October 31, 2016March 30, 2018Financial Planning For Women

“There is a 0% chance of getting a 5% annualized return over the next 10 years in a balanced fund of 60% stocks and 40% bonds, according to a report from Research Affiliates. Target-date funds have only a slightly better chance, with a target-date fund with 10 years to retirement having only a 6% chance…