Personal Finance

As of the end of 2015, there were over 15,600 mutual funds, 11,000 hedge funds and 2,100 ETFs...[which] account for almost 50% more...than there are individual stocks and bonds. The paradox of choice makes it extremely difficult for investors to wade through this sea of complexity, but it also increases the temptation to make changes to a portfolio. People have a hard time sitting still in the face of this sheer number of choices, even when there are proven benefits from inaction with your investments. [Let me explain.]

35% of all Americans have debt in collections and this is happening during the current supposed “economic recovery”. It begs the question: "What are things going to look like when the economy becomes extremely unstable once again?"

When you internalise what I’ve just said, and really get it, you’ll see a marked change in your net worth in just 2 short years and you’ll realise that every single dollar you SPEND is arsenic to your net worth (beach years).

A large majority of what the financial industry calls financial advice is really just glorified product sales. What most people actually need is advice about how their investments fit into their overall financial plan, and more importantly their life. Investment management & financial advice are both necessary components for long-term success, but it’s important to understand the differences. This article points out those differences.

The following infographic highlights 9 relatively recent “black swan” events that will have a lasting impact on how investors approach markets.

The next six months could be the most conflicted period that most of us have ever experienced, so, I'm suggesting that we enter it open-eyed, cautious, and conservative in managing our money and financial affairs at least through the spring.

What is the value of education for household income? The Census Bureau's annual survey data for 2015 published last week gives us some interesting insights into this question.

A bubble is the state of a market before the crash. It is a situation in which assets trade at a price that is considerably higher than their intrinsic value and, in my view we're currently in a bubble. The current S&P 500 P/E is at 25.09 (when the historical average is 15.61). The question is, "When will the market crash?" and I see worrying signs that this could happen soon.

We are better off than ever before according to the Fed Q2/16 estimate of the balance sheets of U.S. households which shows that, collectively, our net worth reached a new high in nominal, real, and per capita terms. The bottom line is that, in fact, life in the U.S. continues to get better and better.

We are living in the greatest debt bubble in world history, and there are signs that this giant bubble is now starting to burst and, when it does, the pain is going to be greater than most people would dare to imagine.