Investors often think they are doing better than they actually are. But the reality is that most investors are actually underperforming their benchmark. Two recent articles regarding behavioral finance — Which Investor Personality Best Describes You? and 8 Common Investor Biases That Impact Investment Decisions — detail a concept which is the thought that our…
Investors often choose big banks and investment firms over smaller financial advisors because they think the brand name and size makes the service and product offerings better. In actuality, it’s often the reverse. Unless your firm is a Fiduciary, chances are there are sales quotas and contests for the non fiduciary, “suitability” reps, who are…
Whether you realize it or not, chances are good that you are prone to something called Recency Bias, which is the common tendency to think that what has been happening recently will continue to happen in the near future. If you, like many investors, are shocked and concerned about February’s sudden market volatility, it’s probably…
Sign of the Times It wasn’t too long ago that every teenager was fawning over the boy-band One Direction. Now, only a few years later, the band members are all pursuing their own solo careers. In his 2017 solo debut album, the former One Direction member Harry Styles sings the hook “Just stop your crying,…
Our summer intern turned part-time associate Dan McKenna wrote a great piece about his experience being new to the biz that I thought was worth sharing. ___________________________________________________ I’m new here. The best word I can think of for explaining the experience of being a freshly-graduated analyst entering this market is… baffling. Every week I…
When you think of your financial advisor or financial plan, how do you feel? Gratified? Anxious? Indifferent? How much would you say your advisor has contributed to your sense of emotional and financial well being? Most of us probably don’t ask ourselves those questions and yet, according to a 2016 Morningstar study, When More Is…
You’ve made the commitment to start “adult-ing,” a very important first step. Don’t start to build from the roof down, though: make sure that you’re laying a strong financial foundation. In our last post we talked about 8 Financial Mistakes to Avoid in Your 20s and 30s. Here are five more money mistakes to watch…
Your 20s and 30s are an exciting time. You’re starting to build the life you envision for yourself, or perhaps you’re still seeking out new experiences to learn more about yourself and your goals. These are years when we expect to learn and grow by exploring jobs and careers, cultural experiences, social experiences and other…
Your Financial Plan We live in a time of great personal freedom when we have the opportunity to choose our own life goals and paths. While it’s true that very few 26-year-olds are likely to be retiring, you might be that lucky one who just sold an app to Facebook and is considering philanthropy. While…
Of the many common sayings in the finance industry, the most popular is undoubtedly “buy low and sell high.” While it sounds simple enough, it’s actually significantly more complex than it seems. Not Following the Herd Buying low comes from an investment philosophy known as value investing. The basic concept of value investing is to…