Yada, yada, yada. The retail investment industry has spent decades reeducating and redirecting the masses – away from stock and bond trading to asset allocation-based asset management. One reason is self-preservation. Trading is transactional and commoditized. The emergence of discount brokerages initiated a race to the bottom for trading commissions. The other reason, the one…
What a Deal!As of May 25th, Money Market Funds can be purchased with yields of 5%; 3-month CDs and T-Bills can be purchased to yield 5.3%. What a deal! This is great news for savers and risk-averse investors. (It’s bad news for banks losing demand deposits to these higher-yielding cash equivalents, but’s that another story…
The recent past and present have been challenging for investorsIn 2020 stock markets were roiled by the COVID pandemic and lockdowns. On a single day, March 16th, the S&P 500 fell 12%! The US stock market declined 34% peak-to-trough before eventually recovering and pushing to all-time highs. The Fed took the Fed Funds rate back…