[ad_1] Faced with rampant inflation, central banks worldwide are raising interest rates. In June, the US Federal Reserve announced its largest hike since 1994. The previous month, the Bank of England (BOE) had pushed UK rates to a 13-year high. The central banks of Brazil, Canada, and Australia have also […]
Investing
[ad_1] The following is adapted from the recent book Small Actions: Leading Your Career to Big Success, by Eric Sim, CFA, and Simon Mortlock. Nobody likes rejection. Which is why, over the years, I’ve developed a three-step process to transform situations from hopeless to hopeful. I call it the 3Ps approach: […]
[ad_1] Introduction A falling stock market is not bad for everyone. Sure, many investors lose out as their portfolios decline in value, but those who are just starting to invest or have underweighted equities can benefit from lower valuations, which tend to deliver higher returns over the long term. Naturally, […]
[ad_1] Crypto enthusiasts often claim that digital coins and tokens are uncorrelated with equities and can provide a safe haven amid stock market crashes. The assumption is that cryptoassets will act like “digital gold,” serving as a hedge against equity risk, and help investors ride out such downturns. Such bold […]
[ad_1] “[The fiscal theory of the price level] says that prices and inflation depend not on money alone . . . but on the overall liabilities of the government — money and bonds. In other words, inflation is always and everywhere a monetary and fiscal phenomenon.” — Thomas S. Coleman, […]
[ad_1] Enrich Your Future: The Keys to Successful Investing. 2024. Larry E. Swedroe. Wiley. Before you reach the introduction to Enrich Your Future: The Keys to Successful Investing, you will be thrown a curveball in the foreword by Cliff Asness, managing and founding partner at AQR Capital. He lures us […]
[ad_1] The Revolution That Wasn’t: Gamestop, Reddit, and the Fleecing of Small Investors. 2022. Spencer Jakab. Penguin Random House. In The Revolution That Wasn’t: GameStop, Reddit, and the Fleecing of Small Investors, Spencer Jakab, current editor for the Wall Street Journal and former stock analyst at Credit Suisse, describes the […]
[ad_1] Robert Shiller’s cyclically adjusted price-to-earnings ratio (CAPE) is approaching historically high levels. In fact, CAPE’s current value has been exceeded only twice since 1900. But should you care? Investment professionals know that despite CAPE’s historical tendency to anticipate equity market returns, it isn’t a reliable market-timing tool. The evidence discussed […]
[ad_1] What’s more important to success — talent or effort? Most of us would say talent. But according to psychologist and bestselling author Angela Duckworth, most of us would be completely wrong. That’s one of the key takeaways from her bestselling book Grit: The Power of Passion and Perseverance. In […]
[ad_1] “You cannot anticipate exactly how these risks or dangers are going to play out. . . . But we should be pretty assertive in insisting that we need certain principles, including enough capital buffers — that is, equity unencumbered by any kind of contingent debt or anything like that […]