Are You Being Told What You Want to Hear?

An interesting article recently appeared in the Wall Street Journal (Advisors Failed This Test, Antoinette Schoar, 11/7/2016). “Mystery shoppers” sought out financial advisors in the greater Boston area. Schoar explained “By and large, the advice our shoppers received did not correct any of their misconceptions”. She went on to say “…the advisors seemed to exaggerate Read more about Are You Being Told What You Want to Hear?[…]

Are Stock Options a “Free Lunch”?

Some brokers are encouraging their clients to sell Call Options on stocks they own (see here for an explanation of options). The brokers argue that if the stock doesn’t go up you’ll have extra income from selling the option (true) and that if the stock does go up (and the option is exercised) you’ll still Read more about Are Stock Options a “Free Lunch”?[…]

#4, and Counting

As I write this, the market is down over 2% on the day with the Dow shedding more than 350 points. No doubt, this will be a topic of all evening newscasts. It’s important to keep things in perspective. We’ve had a great run since the bottom of the market in the spring of 2009. Read more about #4, and Counting[…]

The Benefits of Investing in Foreign Markets

A friend recently asked me: “Why invest in foreign markets, they haven’t done anything over the last 5 years?” My first response was to point out that the past 5 years in not predictive of the subsequent 5 years for any investment. In other words, the fact that they haven’t done well does not mean Read more about The Benefits of Investing in Foreign Markets[…]

How Are Your Investments Doing? No, Really?

If you’re like most investors you’re happy to open your account statement and see that your investments have appreciated in value since the last statement. When the market gets rough you understand that stocks lose money sometimes. But how much your investments appreciate, or decline, is critical over the long term. The only way to Read more about How Are Your Investments Doing? No, Really?[…]