When Barack Obama was elected president the U.S. economy and markets were in rough shape. From the peak in October 2007 through election day the S&P 500 was already in the midst of a 35% drawdown. By the time he was inaugurated in January 2009, the market was down nearly 50% in total. By March, … Read more
As an investor, it’s essential to understand that risk assets come with no guaranteed returns. Setting and following a stop loss can help protect your capital from significant losses, especially if you’re an active investor who picks individual stocks. Yet, I’ve come to realize that stop losses aren’t only useful for active investors—they can be … Read more
It’s estimated baby boomers will pass down more than $80 trillion to their millennial and Gen X heirs over the next 20 years. This is going to be the greatest wealth transfer the world has ever seen. The timing of these transfers will be a hotly debated topic for many families. Baby boomers were born … Read more
A reader asks: Please help settle a disagreement my friend and I are having: He says he’d rather the stock market only go down a little bit and then go up a steady amount every year during his working years because recovering from a 30% drawdown on your current portfolio would be difficult. I would … Read more
The Great Financial Crisis decimated the balance sheets of most Americans. How could it not? Housing prices were down by nearly 30%. The stock market crashed almost 60%. The unemployment rate hit double-digits. It was the worst economic period most of us have ever lived through. The collective net worth of American households reached roughly … Read more
