The only problem with market timing is getting the timing right. ~ Peter Lynch When I was young, I remember looking at the business section of a newspaper and asking: “Why don’t people just buy at the 52-week low?” Now that I’ve worked in the investment industry for decades, I better understand the facts about market...Read More

How much should we trust stock market predictions? One particular memory stands out.  The most common complaint in 2000? I sold my Nortel too soon! The most common complaint in 2001: I wish I sold my Nortel sooner! A Case Study Following predictions can be very problematic. Dr. Michael Burry became famous for predicting the eventual 2008...Read More

Inflation changes everything. Investment portfolios can be affected by inflation in three crucial ways: 1) Portfolio Correlations     2) Real Returns   3) Sector Outlooks It is important to have a game plan for investing during periods of inflation. Portfolio Correlations Portfolio diversification is weakened (gold line) if stocks and bonds move together. Inflation can cause stocks and...Read More

“It is important to realize that sensational predictions rarely come true.” ~Ben Carlson Failed forecasts are prevalent in the financial industry. But is anyone keeping score?   This article, Some Things That Didn’t Happen, by Ben Carlson, previews his upcoming book which catalogues many dire warnings of impending doom.     Just take a look at some of these...Read More

“Don’t simply retire from something; have something to retire to.”~ C.S. Lewis The Fidelity Retirement Report found that attitudes towards retirement have changed over the last twenty years as the number of Canadians over the age of 65 has increased 86% compared with the 27% increase in the general population.   In fact, Fidelity reports that...Read More

In an environment where the media bundles business news with sports, we are conditioned to hearing stock market price updates along with the scores of games.  When a sports match is very exciting, we pay attention.  Likewise, when stock markets are volatile, we are captivated.  However, it is vital to maintain a balanced perspective so that...Read More

“You get recessions, you have stock market declines. If you don’t understand that’s going to happen, then you’re not ready, you won’t do well in the markets.”  ~ Peter Lynch, Fidelity Investments When stock markets go up for a long period of time investors naturally tend to become complacent.  We forget what it feels like...Read More

“The most important quality for an investor is temperament, not intellect. You need a temperament that neither derives great pleasure from being with the crowd or against the crowd.” ~Warren Buffett One of the greatest investors of all time, Warren Buffet, will retire at the end of this year. What made him so successful was, in part, his...Read More

You become a business owner when you invest in stocks, so naturally you are interested in the profitability of your businesses. This chart demonstrates how S&P500 corporations have overcome tremendous economic challenges. They grew by creating new products, inventing more efficient technologies, and developing new markets.   Although profits cycle up and down, over the long...Read More

Everyone is happy when stock markets rise and, fortunately, they do achieve positive returns most years.  Yet, the longer you invest, the more likely it is you will encounter challenging markets. Still, the only way for investors to fully enjoy their attractive long-term gains is to stay the course during market dips.  Our “pension-style” portfolios...Read More