Yes, Size Matters

“Anyone who says that size does not hurt investment performance is selling. The highest rates of return I’ve ever achieved were in the 1950s. I killed the Dow. You ought to see the numbers. But I was investing peanuts then. It’s a huge structural advantage not to have a lot of money.” – Warren Buffett Yes, size…

Putting Emerging Market Stock Losses Into Perspective

“Volatility can be a good thing for investors; be prepared to benefit from it. […] Political uncertainty – like any other form of uncertainty – can be your green light to move into a market.” – Mark Mobius Emerging Markets have been getting all of the financial headlines lately. Currency issues and political instability have…

Pricing Power

“Understanding the irrationalities inherent to human nature is every bit as important as understanding how to read a balance sheet and an income statement.” – Robert Hagstom People make funny decisions with money sometimes. Here are three examples that I find fascinating and confusing yet not all that surprising. 1. Used Car Sales A group…

How Debt Affects Your Spending

A new study from Stanford University shows that households with higher levels of debt are much more sensitive to changes in income levels than those with lower debt loads. This seems obvious in hindsight, but households with a large buildup in debt were much more ill-prepared for declines in asset prices during the financial crisis…