Where To Invest in a TINA Market

“If the world was perfect, it wouldn’t be.” – Yogi  Berra Common sense reader mailbag: What am I supposed to invest in these days? Stocks are probably overvalued or at the very least due for a severe pullback with such huge gains over the last 5 years. And bond interest rates are extremely low so they…

Bond Investment Strategies

“The market’s not a very accommodating machine; it won’t provide high returns just because you need them.” – Peter Bernstein If you missed the first four parts of my series on bond investing be sure to check them out: Part 1 – Investing in Bonds Part 2 – Why Bother Investing in Bonds? Part 3 – Bond Investment Risks…

Forecasting or Coin Flipping?

“People have always had this craving to have someone tell them the future. Long ago, kings would hire people to read sheep guts. There’s always been a market for people who pretend to know the future. Listening to today’s forecasters is just as crazy as when he king hired the guy to look at the…

Bond Fund Performance

“Even the intelligent investor is likely to need considerable will power to keep from following the crowd.” – Benjamin Graham I’ve spent the last couple of weeks going over the different aspects of investing in the bond market. Earlier this week I covered investing in bond funds, but I didn’t spend too much time addressing…

Investing in Bond Funds

“It’s important for investors to remember the reasons they own bonds in the first place – namely for the potential for the preservation of capital, income and growth, relative steadiness and typically low to negative correlations with equities. These needs – which will only become more urgent as millions of baby boomers head to retirement…

Saving and Investing With Smaller Amounts of Money

“Bart, with $10,000, we’d be millionaires.” – Homer Simpson I was recently helping a family member set up a Roth IRA because she wanted to invest a small amount of money on a periodic basis. She eventually wants to increase that amount but we all need to start somewhere. This is a situation that many…

What Drives Stock Market Returns?

“The biggest factor impacting investors is no longer our knowledge base, but rather our behavioral elements.” – Barry Ritholtz There are many factors that we can look at when trying to figure out why the stock market went up or down on any given day. We can search the economic data for clues. We can…

Bond Investment Risks

“Risk control is the best route to loss avoidance. Risk avoidance, on the other hand, is likely to lead to return avoidance as well.” – Howard Marks If you missed parts 1 & 2 of my series on bond investing please read: Part 1 – Investing in Bonds Part 2 – Why Bother Investing in…

Simple or Complex Investments?

“Investing should be more like watching paint dry or watching grass grow. If you want excitement, take $800 and go to Las Vegas.” – Paul Samuelson Wall Street has made plenty of money over the years pushing complex investment strategies with high fees on their unsuspecting clients. Most of these investments fail to beat simple…