These Are the Goods

Articles Real financial planning is so much more than pontificating about the benefits of a low-cost, globally diversified portfolio. By Tony Isola Successful long-run investing is a mental game more than anything else. By James Osborne The assumption that you can keep the returns of owning stocks while getting rid of the downside has turned…

My Friend is Beating Me

 I got an email from a reader which touches on so many interesting points that I wanted to share and answer him here. I have a 401(k) through my employer and invest mostly in a passive strategy indexed to the S&P. I have a friend who like me has a 401(k) through his employer. Where we differ,…

Establishing Yardsticks

I’m in the process of writing a book and I’m currently on the chapter about Warren Buffett. I don’t want to reveal too much, but the extended blog post is something I’d want to read, so I’ve been having a lot of fun writing it. It gives a different look at some of the greatest…

Today in Market History

Today in market history, 1975: The first day of operations for the Vanguard Group. The fund company consists of 3 people in Pennsylvania. — Ritholtz Wealth (@RitholtzWealth) May 1, 2017 42 years ago today, subsequent to being removed from his role as CEO at Wellington, Jack Bogle started the Vanguard group. Today the company is ubiquitous,…

Go With the Flow

In the thirteen months from March 2016 through March 2017, investors around the globe added to U.S. ETFs every single month. Europe, on the other hand did, not see the same level of investor appreciation. The global investor asked for their money back in eight out of those thirteen months. The home-country bias exists all…

These Are the Goods

Articles An anomaly is an excess return that cannot be explained by exposure to risk. By Corey Hoffstein The next time some slick salesperson points to the P/E ratio and tells you it’s a great time to buy stocks, ask to see their earnings. By Nir Kaissar Father Time is unforgiving to those who wait. By…

How Social Changed Our World

So this happened today. Wow, we’ve come a long way. I vividly remember the first time I heard about Twitter, it was March of 2009. This experience is burned into my memory because I was so turned off by it. I was sitting in my dining room, probably eating a bowl of cereal and flipping…

A Tidal Wave is Coming

In light of the French election over the weekend and with global stocks up bigly, we’re no doubt in for a tidal wave of narratives connecting fundamentals to price. Sharing stories is in the fabric of our DNA as human beings and as investors. Andrew Lo has a great example of the biological reasons for why…

These Are the Goods

Articles Guaranteed income often comes at a very expensive price. By Tony Isola There is a theme to Vanguard’s top sellers: breadth. Four of the company’s five most-popular funds during this year’s first quarter have “total” in their names. By John Rekenthaler Maintaining an edge is unrealistic, but finding new edges on a regular basis…

The Other Side

If you were on the sidelines during the 25 best-performing days since 1970, your returns would have been mush. This is an example of a factual statement that isn’t truthful, because not even the worst market timer in the world could invest for nearly 12,000 days and miss the 25 best. In this example, we need to…