The Real Story Of Employment Data

There were two separate events of economic  significance the week ended September 5th. First, the financial markets displayed volatility that hasn’t been seen for several months. The S&P 500 began the week at 3,508, rose 2.5% to 3,587 on Wednesday, fell -3.7% to 3,455 on Thursday, and after falling to an intraday low of 3,374 […]

“Set it and forget it” a terrible portfolio philosophy

“Set it and forget it” a terrible portfolio philosophy Robert Barone, Ph.D. 2:53 p.m. PDT April 30, 2015 Neither passive investment strategies nor robo-advisors can maximize profits as well as active management Today’s Wall Street is perpetuating the idea that investor portfolios cannot perform better than the market indexes. The markets are “efficient,” they say, […]

Three Uncertainties Are Driving the Markets

The financial markets have been focused on three uncertainties: the strong and rising value of the dollar vis a vis other currencies, weakening U.S. economic indicators, and the timing and magnitude of Fed policy actions.  All this with a background of the ongoing Greek tragedy and continued political strife and terrorism worries. Volatility has resulted.  […]

Uncertainties driving the markets

Originally published on RGJ’s website, http://www.rgj.com/story/money/business/2015/03/20/uncertainties-driving-markets/25113763/ The financial markets have been focused on three uncertainties: the strong and rising value of the dollar vis a vis other currencies, weakening U.S. economic indicators, and the timing and magnitude of Fed policy actions. All this with a background of the ongoing Greek tragedy and continued political strife […]

‘Death puts’ — aka, the ‘survivor’s option’

Originally published on the Tahoe Daily Tribune’s website, http://www.tahoedailytribune.com/news/opinion/15501217-113/tahoe-truckee-market-beat-death-puts-aka-the-survivors-option Record-low interest rates over the last few years have made it a difficult time for fixed income investors. In a normal interest rate environment, a conservative income investor with $1 million to invest could expect to receive an income of $45,000 to $50,000 per year by […]

Fiduciary vs. suitability standard

Originally published on Tahoe Daily Tribune’s website, http://www.tahoedailytribune.com/news/opinion/15276182-113/tahoe-truckee-market-beat-fiduciary-vs-suitability-standard President Obama is pushing the Department of Labor to make some changes to the rules regarding retirement accounts. He would like to see the industry standard for retirement account advisers raised to what’s known as the fiduciary standard. Under current law, retirement account advisers can operate under […]