Just seven months ago the Fed was predicting it would raise rates several times in 2019. The Federal Reserve seemed to feel that the economy was strong and it was concerned about excessive inflation. Interest rates rose in anticipation of the expected rate increases. However, Chairman Jerome Powell has indicated a probable reversal. Not only…

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If you have been paying attention to your investment accounts, you may have noticed that the stock market has fallen dramatically this quarter. The S&P 500 closed at 2,924 on Oct. 1, and by Christmas it was down to 2,351. This represents an almost 20 percent decrease. Consequently, the value of your investments likely significantly…

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The last quarter of 2018 has been very volatile for stocks, compared to the last several years of relative calm. This has made many investors nervous and potentially caused them to rethink their investment strategy. However, any investor who is surprised by recent volatility doesn’t really understand the historical movement of stock markets.   It…

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Ever since the start of the huge bull market in the 1980s and 1990s, the 60/40 portfolio was a great way to reduce the volatility in one’s portfolio. The bond portion of the portfolio would spit out 6 to 8 percent yields and, just as importantly, the bonds would tend to rally and yields would…

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It’s not uncommon for new clients to ask me how I think the market will perform. I guess some people expect their financial advisers to have a unique ability to predict the future. Many advisers will actually offer their opinion about how they believe the stock market will perform in the near future, either because…

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Hopefully you are enjoying your Labor Day weekend with the knowledge that your stock investments have done well so far this year. Through the end of August 2018, the S&P 500 has gained 9 percent and the Russel 2000, which is comprised of smaller companies, is up 13 percent. If you are wondering why the…

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