Perspectives

Posted: Tuesday, September 01, 2015
Shakespeare once wrote that, if there were no ugliness there could be no beauty. In an analogy, if markets could not go down, they could not go up. The naïve and unrealistic expect markets to always go up. This idea is embraced in spite of the fact that there is no recorded instance in history of...
Filed Under: Perspectives
Posted: Saturday, August 01, 2015
In 1960, some 55 years ago, stocks on average were held for an average of eight years. Today, the average stockholding ownership period is about five months. The investment question is: are investors doing better by trading their portfolios almost twenty times more often than 1960? The answer is no...
Filed Under: Perspectives
Posted: Wednesday, July 01, 2015
One of the last straws grasped by those who want to be pessimistic about the economy is to point to the declining Labor Force Participation Rate, a statistic put out by the government to measure the number of people working versus the total number in the adult age range. The most recent graph looks...
Filed Under: Perspectives
Posted: Monday, June 01, 2015
A correction to this stock market would be one of the most anticipated and predicted events in history. So many people are predicting a downturn that the act of declining would almost come as a relief. Since the market seldom responds to what is expected, it means that a correction will be either...
Filed Under: Perspectives
Posted: Friday, May 01, 2015
In the annals of investing, bonds are supposed to be less risky than stocks. Bonds represent a legal right to be repaid. Stocks are simply a shared ticket to a company’s future. Bonds take priority over stocks in terms of legal protection. A bond represents a claim on a company, either specifically...
Filed Under: Perspectives
Posted: Wednesday, April 01, 2015
With another tax season concluded, investors are forced to weigh the merits or hassles of owning Master Limited Partnerships (MLPs). Whether you own them in your personal or retirement accounts makes a difference, as does whether you are investing for income and appreciation, as opposed to...
Filed Under: Perspectives