This audio lesson is on home country bias, which is the propensity of investors to have most of their portfolio exposure in their domestic stock and bond markets even if their home country comprises only a small percentage of the world's capital markets. For example, the Australian stock market comprises only 3% of the world's equity market capitalization (i.e. its size relative to the rest of the world), but Australian investors have 74% of their stock portfolio allocated to Australian … [Read more...]
What Would Happen If Greece Exited the Euro
In the short-term a Greece exit from the Eurozone could cause a severe panic with global stock markets selling off and a flight to quality. Currently, markets are quite placid and seem to expect Greece to successfully negotiate a third bailout even though talks have broken off. A Greek exit is one of those one-off events that one can't plan for in terms of their investment strategy. It is an example of why I usually keep a cash balance and never have an allocation to stocks above a level … [Read more...]
Use of Active Bond Funds
This audio lesson shares why I generally use active funds for bonds but passive funds and ETFs for stocks. The episode length is 6 minutes. … [Read more...]
How Have Bonds Performed Prior To and After The First Federal Reserve Policy Rate Increase
This audio lesson shares the performance of various bond sectors in the three months prior to and the three months after the first Federal Reserve policy rate change. The episode length is 8 minutes. … [Read more...]
Audio Six Pack 2: Performance, Momentum, Private Capital, Insurance and Professional Advisors
Audio Six Packs combine six audio lessons into one file so you can stream or download them without having to switch from one audio lesson to the next. This audio six pack covers the following topics in sequential order: How Detailed of Performance Records Should You Keep An Introduction To Private Capital - starts at 5:48 2014 Market Review - starts at 17:48 Should You Buy Insurance Or Self-Insure: The Case For Long-term Care Insurance - starts at 28:51 When Should You Use A … [Read more...]
The Powerful Impact of Momentum
This audio lesson shares a recent study that illustrates the powerful impact of momentum on investment performance. The episode length is 7 minutes. … [Read more...]
When Should You Use A Professional Financial Advisor
This audio lesson discusses the criteria to consider when deciding when to use a professional financial advisor such as a tax accountant or financial planner. The episode length is 6 minutes. … [Read more...]
Should You Buy Insurance or Self Insure? The Case of Long-term Care Insurance
This audio lesson discusses the criteria to consider when deciding whether to purchase insurance or to self-insure. It uses long-term care insurance as an example to walk through the insurance decision process. The episode length is 14 minutes. … [Read more...]
2014 Market Review
This audio lesson provides an overview of investment market returns in 2014, key takeaways and what went well and not so well in my own investment portfolio. The episode length is 11 minutes. … [Read more...]
An Introduction to Private Capital
This audio lesson is an introduction to private capital. Topics discussed include: What are the types of private capital. How are private capital funds structured. Who can invest. Why do institutions and individual investors invest in private capital. What are the return expectations for private capital. The episode length is 12 minutes. … [Read more...]
