Events and conditions do not make investors behave in any particular way that can be identified as shown in this analysis of the supposed relationship between interest rates and stock prices. So much for the popular claim that "Interest rates drive stock prices"!
Read More »2016 Presidential Candidates: Which (if any) Would Introduce These Initiatives (if any) to Revive Economic Growth & Prosperity In America?
The dismal news of 0.2% GDP growth for the first quarter only confirmed that the U.S. is in the midst of its slowest recovery in half a century from an economic crisis - Here are 6 solutions that we think should be part of any serious 2016 presidential candidate's platform.
Read More »Currency Wars: Here’s What They’re Really All About
A currency war is a battle, supposedly an economic policy to cheapen a country's currency compared to that of others, to promote exports but the real reason, the one that’s less talked about, is that countries actually want to import inflation - a way of creating monetary ease and importing inflation. Let me explain.
Read More »China’s Equity Markets Going Absolutely Ballistic! (+2K Views)
The speculative fervor in China's equity markets is spreading. The Shanghai Composite has cleared the 5000 mark after hovering just above 2000 around six months ago. This rally has been nothing short of spectacular. HERE are some key trends that point to just how heated the market has become.
Read More »Financially Most Americans Are Totally Unprepared – What About You? (+2K Views)
It's up to the concerned and critical-thinking among us to look at the math, the hard data underlying the headlines, and construct what we can best calculate to be true about our current personal financial level of (un)readiness for the future and the truth is that there are 3 adult generations in the U.S. are experiencing a squeeze that is making it harder to create value, save capital, and pursue happiness than at any point since WWII. Let's walk through the numbers.
Read More »The Market Is Overvalued, Over-believed & Over-margined – Plan Now For A MAJOR Correction
With the market richly priced, forward returns just don’t look good enough. Worth the risk? I think it’s better to have a game plan in place that enables you to capitalize on the next major market correction – which in my opinion could be in the -40% to -60% range.
Read More »4 Strategies For Building A Million Dollar Retirement Portfolio
There’s no better time than now to start saving for the future. Retirement is becoming longer and more expensive with many costs likely to come out of your own pocket. Here are 4 investment strategies to get you on the right path and give yourself an edge toward meeting your retirement goals.
Read More »These 2 Charts Confirm That Stock Markets Are In “too-good-to-be-true” Territory
Stock markets around the world have been on an extended bull run for a long time now and 2 new charts, from Deutsche Bank and Bank of America Merrill Lynch, show that shares are in too-good-to-be-true territory and that, if history is anything to go by, they're due for a sharp correction.
Read More »What % of Your Portfolio’s Return Is Due to Skill & How Much to Luck?
An annualized average of 56% of all actively managed domestic equity funds, 59% of active U.S. large-cap equity funds, and 64% of active mid-cap equity funds underperformed broad-market indexes. [Index funds anyone? Let's review.] Words: 895
Read More »Extreme Makeover of Markets Coming – Here’s Why (+2K Views)
Extremes eventually reverse, and generally in rough symmetry with their explosive rise and we are reaching such extremes in valuation, complacency and margin debt. When the speculative frenzy dissipates, central banks will be the only buyers left and unless the Fed increases its balance sheet from $4.5 trillion to $14.5 trillion in a matter of months, even central bank manipulation will be swamped by sellers exiting bursting-bubble markets.
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