Looking Back is 20/20…22 While both stocks and bonds have been recovering since the trough in October of last year, it is the performance of the US stock market that warrants more discussion, in particular: 1) market sentiment and 2) market concentration. Sentiment Market sentiment is the dominant attitude of investors, and it can be…
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…