Investment Consulting
In order to make sound investment decisions today, we are forced on making long term projections of portfolio returns. The methodology, assumptions, and original inputs for our approach to predicting long term portfolio returns are originally documented in our white paper titled, Projecting Long Term...
The Wall Street Journal ran a periodic column a few years ago that compared the performance of some of the best stock pickers to that of monkeys throwing darts at a page of stock listings. After some time, the “monkeys” had done so well that...
In an effort to manage risk and reduce volatility, investors often seek to diversify the holdings in their portfolio. Diversification is sometimes described as the only “free lunch” when it comes to investing. The idea behind diversification is that an appropriately constructed portfolio will yield...
Many people find the performance of bonds, and particularly bond funds, confusing. We know that if we buy a bond for $100 that matures in 5 years and pays a $5 coupon (or 5% yield), then we will earn 5% if we hold that bond...
The stock markets in the days immediately following the recent US presidential election were surprising to many in a number of ways. US small company stocks experienced higher returns than US large company stocks. This period helps illustrate how different parts of the market can...
