…are also patient in our investment strategy. New, hot investment products can get a lot of attention quickly, and sometimes fall out of favor even quicker. We prefer to wait…
…on page six). The last time the Fed was raising short-term interest rates in 2004, the total-debt-to-GDP was 180 percent. When you look at public and private balance sheets today,…
…a heads-up. Last Question: Are the money market funds FDIC-insured? (Okay, he didn’t ask this either, but I wanted to put in a sentence about how they aren’t FDIC-insured). Nope,…
…price-to-book, price-to-sales, and price-to-cash-flow ratios all show that emerging markets stocks trade at a 38 to 53 percent discount to the S&P 500. In other words, investors are aware of…
…government made good on that promise. That doesn’t mean that mortgages are risk-free, though. As we’ve discussed before, the two primary risks in bonds (and there are many secondary and…
…sorting them by their relative cheapness using a measure like price-to-book, price-to-earnings or price-to-sales, and then buying the cheaper third of all of the companies. This process doesn’t take high…
…the Barclays Aggregate bond index gained 0.39 percent, which isn’t great, but isn’t terrible either. This year, in contrast, the bond index has dropped -1.82 percent. That’s not a huge…
…‘the market’ as a monolithic thing, but it’s a collection of 30, 500 or 1,000 companies depending on what index you’re using. And, investors being as fickle as they are,…
…that risk? It’s 11.75 percent, in this case. I don’t like that asymmetry. In a way, it’s the opposite of short-selling, where the upside is limited to 100 percent, and…
…0.33 (precise numbers come to 0.35, but this is a messy business). So, to have a Sharpe ratio for the S&P 500 last year of 1.65, that is almost five…
