Relax, The World Is Not Ending

My latest for Alpha Baskets is a reminder of how markets work in terms of occasionally scaring the hell out of people but that whatever is actually going on has happened before. From the post; We also know that once the market is done going down it will go back up and make a new high. This is something we talked about before, during and after the crisis and is still true today with only variable being how long it takes to happen. Please click through to read the entire post.   I got a new lens for my phone that creates this effect. They are very cheap, my wife found it online for...

Farm Land Investing Gets Popular Again

My latest for Alpha Baskets is titled Should You Invest in Farm Land. This is a topic we’ve been looking at for years. It seems to be something of a front burner topic after the recent launch of two farm-related REITs. From the post; While I believe small allocations to these niches can be suitable for the right type of investor they are not for everyone and there is also a crucial point of understanding which is that when you buy the stock of a farming company you are buying shares and not the farm land itself. Please click through to read the entire post....

Weekly Market Update

This week’s market update is posted at Alpha Baskets. From the post; The 15.6 cited by Factset is not problematic but the CAPE ratio (Cyclically Adjusted PE ratio) derived by Robert Shiller is relatively high at 26.16. For some context it got as high at 45 as the tech bubble was cresting in 2000 before popping. Please click through to read the entire...

Retirement Rules of Thumb? Forget About ‘Em!

My latest for Alpha Baskets looks at the idea that an investment portfolio only needs to be large enough to cover 1/3 of expenses…sort of. This popped up in an article at Money.com and while the concept makes sense we try to fine tune it without relying on overly general rules of thumb. From the post; This makes the task of saving far less daunting. If you make $100,000 you need to save $850,000 ($34,000/0.04=$850,000). That is still a lot of money but likely to frighten far fewer people than being told you need a $2 million nest egg. Please click through to read the rest.   From our trip to Yellowstone in...

Weekly Market Update

The Weekly Market Update is posted at AdvisorShares; Most markets reacted as they typically do in the face of external shocks; equities went down (about 1.2% for the S&P 500 as it turned out), US treasury yields went down to 2.45%. Gold rallied $19, the CBOE Volatility Index (VIX) finished higher by 17% although at one point it was up 24% and the US dollar also got a lift. The Gaza news came later in the US equity session and caused another leg down in prices in the final hour of trading. Please click through to read the rest. Montauk Light...