Our stock market as a whole is overvalued. Some individual stocks are undervalued but the market as a whole is overvalued. And guess what happens when the market gets overvalued? It deflates, i.e. goes down. It may not do it right away, it may take years, but it does decline. Now you’re looking at the… Read More »
To me, an oak is a retiree looking mainly for income (as opposed to an acorn just starting out). Generally a retired person should be split between bonds and stocks. 50/50 is a good ratio but some recommend a split of 60% stocks and 40% bonds. I initially thought all bonds would be a good… Read More »
Write for this blog that is. Therapy maybe? I’d like to believe that I’m helping you, my audience, invest better and avoid some of the major pitfalls of investing. I certainly don’t make money doing this. Perhaps I am looking for future riches doing this? Yes, I’m thinking that I might make a little money… Read More »
Short answer: no. I am leaving the stocks I have where they are but raising cash, as I have said before. September tends to be a declining month on average but you really never know if 1) this year will be different, 2) when the market will come roaring back. Cash is great but selling… Read More »
I talked in a previous post about the Buffett Indicator. Generally, it is a way to tell if the market as a whole is over or under valued. Is this macro economics at work? Or good actionable data? Or both? The Buffett Indicator is generally the the total market capitalization of all companies divided by… Read More »
So the market is up a bunch in the past year, what should you do? Here are my answers: You are retired and drawing upon your savings You should probably already have a balanced portfolio that can weather ups and downs. Not too much in bonds, not too much in stocks, but not so little… Read More »
I haven’t written in a while, sorry about that. For all of you that bought meme stocks, sorry for your losses. For those that have lost 30% or more this year, sorry about that too. Ok, lesson today: For the big picture stuff, nobody fu***** knows anything. Nobody knows if we are going to get… Read More »
Happy Memorial Day. Today we solute our men and women in uniform. Our country would not be what it is without you. And of course I hope you are having a good day off work and off staring at the market changes to your 10 stocks. Last Thursday and Friday saw a selloff of tech… Read More »
Anybody can invest in the stock market, yes. But should any given person? There are traps to watch out for. If you are in it to get rich quick, you will likely lose. Why? Because you probably won’t build up an emergency fund first. You’ll put a chunk of money in your brokerage account. Invest… Read More »
I mean that both literally and perhaps not so literally. There will be time when market value will decline and your gain will be negative. There will also be times when you want to sell a loser, and have a good reason. The hope is that overall your stock portfolio will gain, in time, much… Read More »