As the country stays mostly under strict stay at home orders due to COVID-19 and states begin to evaluate a return to “normalcy” there are staggering numbers in the wake. The COVID-19 pandemic has caused an incredible shift in the daily lives of households, their income, sense of security and as a result how and where they spend. As we await the retail sales numbers for April and look at the -17.22% YTD return on the Dow we have to wonder if the markets are fairly pricing in all that’s been going on?
Right now the precipitous drop of the markets along with fears over the spread of COVID-19 may make it feel like the sky is falling. However, two major opportunities are there if you act.
In the midst of sell-offs that may be giving you a combination of motion sickness and flashbacks to 2008, your first reaction may be to “let it be and ride it out”. Now we are major proponents of a long-term approach but some small moves could make a major difference. So where is the opportunity we speak of? Lets take a look: Continue reading “Two Major Opportunities You May be Missing Right Now.”
Portfolio re-balancing is a practice that should be added to the practice of investors for proper risk management. Using the three major asset classes for the purposes of simplicity we will look at stocks, bonds and cash. Due to the risks involved on each of these parts of your portfolio they will not grow or drop at the same rates. Therefore, while the markets rise and fall your balances in each of these will take up more or less real estate than they were initially intended to causing ‘portfolio drift’. Continue reading “The Importance of Portfolio Re-balancing”
Oil is adding onto the coronavirus volatility with prices selling off in excess of 20% (largest since January 1991). Oil’s fall comes as a result to OPEC failing to strike a deal with its allies regarding production cuts. In reaction to the lack of a deal Saudi Arabia slashed prices, indicating that they would be looking to ramp up production and creating fear of an all-out price war that could ensue. Continue reading “Oil Takes Largest Slide Since 1991, Overall Market Futures Hover Around 5% decline”
Long gone are the days of the old-school broker. The one who cold-called and introduced them-self in a phone call you didn’t see coming. However, there are still some of these old practices that still stick around and create inefficient approaches to your wealth. Continue reading “Hearing “Buy This, Sell That”… Beware”
The term “Index” is widely used in financial conversations, publications and news broadcasts. Often the conversation goes something like “Investment X is outpacing the S&P 500 Index year to date”, however what does this really mean to the average investor? Indexes are the reflection of a segment of the financial markets such as: S&P 500, Dow Jones Industrial Average, Nasdaq Composite and Barclay’s Capital Aggregate Bond Index. These are only a very small sampling of the indexes available both Domestically and Internationally, what they tell us is the relative performance of the companies or bonds that they track. Continue reading “Why Your Goals are the Only Index to Measure Against”