Knowledgeable investors are aware that investing in the capital markets presents any number of risks—interest-rate risk, company risk, and market risk. Risk is an inseparable companion to the potential for long-term growth. Some of the investment risks we face can be mitigated through diversification.¹As an investor, you face another, less-known risk for which the market […]
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‘Investing Insight’ Category
Benjamin Franklin once said, “a penny saved is a penny earned.”¹ The modern upgrade to that observation might be that $100 not spent is more like $143.²One way to find the money to meet your spending or saving needs is to examine your current spending habits and consider eliminating money wasters. [images style=”2″ image=”http%3A%2F%2Frebelfinancialllc.com%2Fwp-content%2Fuploads%2FBen-Franklin-100-Bill-300×200.jpg” width=”300″ […]
Researchers have found that investors have a tendency to psychologically exaggerate declines in the performance of an investment and to minimize gains. It’s a phenomenon with a complex sounding name — “myopic loss aversion” — but also one that makes a simple point: Psychology plays a role in our investment decisions. Understanding that role, the […]
Sometimes people put off saving for retirement because so many other things seem to get in the way. Do you find yourself among them? If so, try to overcome the urge to procrastinate and start saving as soon as possible. When it comes to investing for long-term goals, time can be a powerful ally. Time […]
It’s a common misconception to think of bonds as “plain vanilla” investments that are appropriate only for certain types of people, such as financially conservative retirees. But in reality, bond investments may have the potential to add stability to a portfolio and help reduce overall investment risk — regardless of your age or financial outlook. […]
(For the quarter ended December 31, 2014.) Autumn’s twists and turns did not deflect the stock market from its upward climb. When the dust settled on New Year’s Eve, the S&P 500 ended up more than 4% on the quarter and more than 11% on the year, despite sharp dips in mid-October and mid-December. The NASDAQ […]
Did you know that more than $5.14 trillion in assets are benchmarked to the Standard & Poor’s 500 Composite Index, including $1.6 trillion in index assets?¹The S&P 500 is ubiquitous—we see it on the TV news, read about it in the newspapers and very likely see some of our own investments’ performance compared against it. […]
As the Federal Reserve winds down its massive bond-buying program, the widely predicted after effects — rising interest rates and inflation — have thus far failed to materialize. The yield on the bond market’s bellwether 10-year Treasury note, which started 2014 at 3.03%, had fallen to 2.33% as of October 29.1 Similarly, inflation, as measured […]
It is fairly common knowledge that a retirement portfolio’s carefully constructed asset allocation can become unbalanced in two cases: When you alter your investment strategy and when market performance causes the value of some funds in your portfolio to rise or fall more dramatically than others. But did you know there is also a third […]
In an ideal world, emotions would play a very small role in the way people invest and manage their money. Everyone would thoroughly research their options, maintain realistic expectations, and keep counterproductive habits under control.[images style=”2″ image=”http%3A%2F%2Frebelfinancialllc.com%2Fwp-content%2Fuploads%2FInvestor-Behaviour-250×250.png” width=”250″ align=”right” top_margin=”20″ bottom_margin=”20″ left_margin=”20″ right_margin=”20″ alt_text=”Investor%20Behavior” full_width=”Y”] But in the real world, even well-informed investors sometimes make […]