How $5,000 a Year Can Become Nearly $1 Million
January 11th, 2018
Any patient investor can turn $5,000 a year into nearly $1 million in their lifetime. So says Ron Baron, billionaire founder of Baron Capital.1 In a recent CNB article, he calculates that “if you invest $5,000 a year for 30 years … it’s worth $890,000″ based on historical stock market returns. “It’s all about compounding.”Read Entire Article…
Participate in the Market While Mitigating Risk
November 29th, 2017
Savvy investors know that one of the best ways to maximize stock market returns over the long term is to simply stay invested. Market timing has been shown time and again to underperform a stay-invested approach. That said, the current bull market is close to becoming the longest one ever. If you have the vastRead Entire Article…
Waiting is the Hardest Part. It Can Also Be the Costliest.
November 8th, 2017
Investors are always told to “buy low and sell high.” But a recent study by Goldman Sachs suggests that a “buy low and sell high” strategy is not only unpredictable, it’s undesirable. Even investors astute enough to divine when the market was near the top – not an easy thing to do – and soldRead Entire Article…
Surprise! Most Stocks Aren’t Very Good Investments
October 19th, 2017
The stock market is often touted as the best choice for growth-oriented investors, based on its roughly 10% average annual return over the long term*. But that figure masks a surprising discrepancy: the vast majority of stocks don’t deliver anywhere near that type of return. In fact, if you exclude the top performing four percentRead Entire Article…
Paying More Doesn’t Mean You’ll Get More
October 9th, 2017
Beware the money manager who charges high fees and justifies them with a “highly sophisticated” trading strategy. It’s tempting to equate exotic or complex methodologies with a higher degree of sophistication, and therefore submit to massive fees in order to pursue higher returns that “regular joe investors” can’t access. But in fact, there often seemsRead Entire Article…
A Hedge Fund Group Accepted Warren Buffett’s Index Fund Challenge. It Did Not Go Well for Them.
August 31st, 2017
In 2008, Warren Buffett bet the hedge fund industry they could not beat a typical S&P index fund over a decade. One group was brave enough to take on that challenge. After nine years, the results are becoming clear, according to an article on cnbc.com. It’s officially a rout: The portfolio of hedge fund isRead Entire Article…
How to Survive a Bear Attack: Time Can Heal Even the Deepest Market Wounds
August 25th, 2017
Ten years ago, the market began one of the steepest nosedives in its history. From Oct. 9, 2007 to the market bottom in March 2009, the S&P 500 lost 56.4%*. However, as pointed out in a recent article on CNBC’s website even if you had invested on Aug 9, at the top of the bullRead Entire Article…
The Real Cost of Paying More Than You Have To
August 17th, 2017
Last year, investors in the United States paid, on average, the lowest mutual fund fees ever, according to Morningstar. But as a recent article in the New York Times details, investment costs are full of unpleasant surprises, and academic studies have found that many people aren’t taking advantage of better-priced alternatives. “The costs for gettingRead Entire Article…