Did Geithner Tell Americans That A 10% Or Better Return On Investments Is An Illusion?
Did Timothy Geithner really tell Americans a 10% or better return is an illusion? I’ll let you decide after hearing exactly what he did say in a recent interview on Meet the Press. Timothy Geithner was interviewed by David Gregory on Meet the Press on Sunday (click on link for video and transcript) where Gregory asked the following question; “What is a fair expectation for Americans...
Read MoreMoney Magazine and a CFA Criticize Gold With Flawed Analysis
Money Magazine joined the ranks of gold critics recently when journalist Stephen Gandel wrote an article “Coming Down With Gold Fever.” Also recently, a CFA wrote an article for Investopedia “5 Reasons Gold Is The Next Bubble To Burst.” As is typical of those who try and criticize gold as a necessary ingredient of a well diversified portfolio, they use flawed analysis in...
Read MoreIs Prechter’s "Conquer the Crash" Now Relevant? Maybe So… In a Perfect World
Robert Prechter, president of Elliott Wave International, which publishes analysis of global stock, bond, currency, metals and energy markets, and author of the 2002 book “Conquer the Crash” came out with his revised edition of his book with 180 or so pages of real time calls he has made. I’m sure he wouldn’t write the book if what he said in those newly added pages...
Read MoreModern Portfolio Theory’s Biggest Flaw
Modern Portfolio Theory (MPT) had one major flaw from the beginning. The assumption that there is such a thing as a “risk-free” asset. It is the same flaw that exists for most portfolios today. Before I get into the flaw, a little background on MPT In a nutshell, MPT attempts to create an optimal portfolio by identifying a client’s risk tolerance. To do so, would take care...
Read MoreFrom Green Shoots to Drought? Making Economic Sense of Investing
It’s not easy to stick your neck out and call a top when the stock market has some good momentum going for it. But calling the exact top isn’t what’s important. Keeping and growing your wealth is. To do this, you must make sense of the economic data that are causing the green shoots and decipher for yourself whether they will blossom from here or wither and die from a potential...
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