All investors know they need to take risks in order to achieve returns higher than cash. If you asked ten investors if equities were more risky than cash, most would agree; but that depends on how one understands risk. The investment industry has done a poor job of explaining risk as it relates to an […]
‘Tis the season to make forecasts. As we approach the end of the year, newsroom staffing dwindles and editors look for space fillers to keep the readers happy. Yes, here come the investment “outlooks” again. Each year at this time, the financial pages are filled with “investment outlooks” that tell us what we can expect […]
Volatility is back. Just as many people were starting to think markets only ever move in one direction, the pendulum has swung back the other way. Anxiety is a completely natural response to these events. Acting on those emotions, though, can end up doing us more harm than good.
You may have been hearing lately about an alternative currency known as bitcoins, and the stories tend to be bizarre. Like, for example, the person who traded in his computer for a newer model and later realised (too late, as it turned out) that the hard drive contained $7.5 million worth of bitcoin currency in […]
Bad news sells. It sells because fear is a more powerful emotion than greed. Newspaper editors know that, which is why the front pages are often so depressing. But sometimes you need to dig inside the paper for a more balanced view. The bad news has been dominant in global markets in recent years, starting […]