INVEST WITH FUNDS AND FIRMS THAT ARE COMMITTED TO PATIENT INVESTING Short-term oriented world Investors under pressure to fire underperforming funds and hire outperforming funds Most investment managers and firms don’t have patience, ability or desire to stick with long-term strategy Watch the related WEALTHTRACK episode.
ACTION POINT
OWN SOME U.S. TREASURIES
OWN SOME U.S. TREASURIES Safe haven asset class in recession eras U.S. rates higher than other developed markets Longer maturity = more dramatic price moves Every 1% decline in yield: – 2-yr Treasury note value + 1.9% – 10-yr Treasury note value + 8.6% – 30-yr Treasury bond value +19.1% Watch the related […]
PAY ATTENTION TO THE FEDERAL RESERVE
PAY ATTENTION TO THE FEDERAL RESERVE U.S Central Bank is the most powerful financial institution in the world Fed increasingly open about its policies What Fed Chairman and Fed policy statements say matter Fed decisions affect financial markets and economic conditions globally Follow Fed policies on their website www.federalreserve.gov Watch the related WEALTHTRACK episode.
NORLEY: PLANNED PHILANTHROPY Make charitable giving part of your financial plan Americans give away hundreds of billions a year Need to plan for it financially USNIK: VALUABLE ADVICE CEOs and philanthropists should create a sounding board of millennials Get their views on issues that matter to you Millennials are the employees, customers and […]
TAKE ADVANTAGE OF THE HIGHER INTEREST RATES AVAILABLE IN CASH
TAKE ADVANTAGE OF THE HIGHER INTEREST RATES AVAILABLE IN CASH CASH COUNTS Best performing asset class 2018 3 month T bills +1.9% Cash can provide a positive return Competitive rates available RAISE YOUR OWN RATES Higher rates available than savings accounts at commercial banks and most brokerage firm cash accounts YIELD BOOSTERS Savings […]
NO MATTER HOW TEMPTING, AVOID MARKET TIMING
NO MATTER HOW TEMPTING, AVOID MARKET TIMING MISSING OUT If out of U.S. stock market for 25 best days between 1970 and 2015 returns reduced from +1,910% to +371% If out of UK stock market for just 2 quarters since 1900 cumulative real returns reduced by + 50% If out of U.S. market […]