Known Unknowns

KNOWN UNKNOWNS   How could I say no? A group of fellow soccer parents wanted to field an adult, co-ed indoor soccer team.  I wasn’t at the get-together when they decided who would play, so I was automatically added as the goalie–a position I played until high school (more on this shortly).  I probably wouldn’t […]

Barbed Wires

BARBED WIRES It’s easy to forget that we’re investing for our long-term goals, many of which will not come to be for a decade or more.  Even older investors are often trying to leave some of their wealth to the next generation or organizations or entities that can benefit from their generosity. I want you […]

How Much Can You Spend In Retirement?

HOW MUCH CAN YOU SPEND IN RETIREMENT? The most common financial planning and investment question I get from clients and prospective clients alike is: How much can I spend from my portfolio in retirement? It also might be the most critical question you’ll face in your investment career. Let’s first define what this question is asking.  Simply […]

What can retired investors learn from bank collapses?

WHAT CAN RETIRED INVESTORS LEARN FROM BANK COLLAPSES? The collapse of Silicon Valley Bank and Signature Bank in the last few weeks—the second and third largest bank failures in history—have been dominating financial headlines.  But as I’ve read their stories to understand what went wrong, I couldn’t help but notice how common their mistakes were […]

How to restart your retirement plan

HOW TO RESTART YOUR RETIREMENT PLAN A recent article on Fox Business reported shocking findings from the 2022 Fidelity State of Retirement Planning Study: “More than 40% of the general population put their retirement planning on hold during the pandemic, and that number was even higher, at 55%, among young investors ages 18-35. In fact, nearly half of […]

SVB and sensible investing

SILICON VALLEY BANK AND SENSIBLE INVESTING You’ve probably heard that Silicon Valley Bank (SVB) folded last week, the 16th largest bank failure in history.  Stock prices since have been predictably volatile—down for a few days but up significantly today.  First, the practical.  A few clients have emailed or texted wondering if we held a lot […]

Thanks Dan

THANKS DAN. Dan Wheeler passed away this weekend after a battle with pancreatic cancer.  I’ve mentioned several financial industry-related names in my articles over the years that are on my gratitude list, from Fama, French, Bogle, and Troutner, to Booth and Novy-Marx.  But I don’t think I’ve ever talked about Dan.  And that’s a significant oversight on my […]

DFA funds: Anything but one dimensional

DFA FUNDS: ANYTHING BUT ONE-DIMENSIONAL When I first started using DFA mutual funds to invest client portfolios over 20 years ago, it was with a specific purpose.  After giving up on trying to pick stocks and time the market (“active management”) in the early years of my career, I discovered the “Three-Factor Model” of investing—which […]

Buying roses and buying investments

BUYING ROSES AND BUYING INVESTMENTS   Happy Valentine’s Day! Dimensional posted this video to their website today and I wanted to share it with you.  Here are their thoughts followed by the short clip: In love as in finance, there is some value in being flexible. Buying high can cost you, whether you’re purchasing roses […]

The best investment approached just turned 50

THE BEST INVESTING APPROACH JUST TURNED 50 Many investors today believe that traditional index investing—buying and holding a broad basket of stocks and/or bonds to capture the general returns of the market minus a small expense—is the best way to go.  Trying to outguess the market through active management (selection and timing) is a waste […]