The essence of Buddhist philosophy as I understand it is that everything is temporary. Night follows day. Good times follow bad times. And the cycle continues. We see that when it comes to the economy and economic data. A recent Bureau of Economic Analysis report (June 11, 2021) noted first-quarter Growth Domestic Product (GDP) up at an annual rate of +6.4%. This was on top of strongest readings ... Read More
Asset Allocation
Reacting to a Market Meltdown
How should you be reacting to a market meltdown? Markets go up. Markets go down. Sometimes suddenly and deeply. Before you jump off a cliff take a deep breath and remember that how you decide on reacting to a market meltdown will make a big difference to your bottom line now and later. Rarely is it a good idea to panic. Investing is a lot about two emotions: fear and greed. Those who end up ... Read More
Are 134 Fees Better Than Commissions
I came across a very compelling and thoughtful post from a thought leader in the insurance arena I respect. In a recent post, the author, Brantley Whitely, asks are 134 fees better than commissions? I think that the gist of his comment is that a 'fee is a fee is a fee' regardless of what it's called. And whether it's a commission or a fee, it's all paid by the client in the end (though the CFP ... Read More
Debt Ceiling Crisis: What Investors Should Do
Investment Forecast: Cloudy with chance of default and variable recession. Trying to read the tea leaves and make prudent investment decisions for clients - or yourself - has been complicated by the headwinds out of Washington lately. The debt ceiling crisis exposes investors to a real risk of loss. Crystal Ball Predictions Depending on how you read your crystal ball, any and all of the ... Read More
Smart Investing Rules to Live By: KISS
Looking for a fool-proof system for investing success? I'm not sure there really is one but you can't really go wrong following this advice: Smart investors keep it simple. Keep It Simple, Stupid ... KISS. This is the view of many Bogleheads and behavioral finance experts like Meir Statman, author of What Investors Really Want. Too often we try to out-think and over-analyze things. We are ... Read More
Better International Investing Tips
Better international investing, like all investing, starts with a plan and not just a tip from a friend. Investors are always on the lookout for the 'Holy Grail' in investing. I'm often asked 'what's hot?' There's a tendency in human behavior and certainly in behavioral finance to go where the crowd goes based on the idea that collectively there's safety in numbers and "they" must know something ... Read More
Deferring Retirement to Salvage 401(k)
Ask the Boston Money Coach Question: Will working longer and deferring retirement allow me to have more money for when I finally retire? I'm 54 now and was originally planning on retiring at 65. My 401K took quite a hit a few years ago and now I'm wondering if I should be postponing my retirement. Financial Planning Response from Boston Money Coach Steve Stanganelli: Time heals all wounds ... Read More
Ten Most Common Mistakes Investors Make
How to Avoid the Ten Most Common Investment Mistakes ... Plus a Bonus It's pretty well accepted that there are two key things that drive the markets and the fortunes of millions: Fear and Greed. Despite all the financial analysis, sophisticated computer models, talking heads and academic research, it seems that the most prevalent drivers are these two human emotions. On a daily basis this ... Read More
Buckle Up and Hold On: Investment Roller-Coaster Ahead
When you're on an airplane and hit turbulence or rough weather, the flight crew tells you to stay seated and buckled. Unfortunately, when the markets hit bad weather, there is rarely such a warning. You might want to call it "Black Thursday." Yesterday, the markets around the world went into a tailspin reacting almost violently to the ongoing drumbeat of dour economic news. On the radar, ... Read More
A Better Mousetrap for Income – Building Your Bond Ladder – Part 1
Investors are always looking for the next big thing. By the amount of time and energy devoted to talking heads divining tea leaves and spouting stock tips on news programs, cable TV and the internet, you would think that the only market that counts is the US stock market. In fact, the global bond market actually dwarfs the stock market by a factor of two to one. According to the December 2010 ... Read More
