In this week's Money For the Rest of Us Plus episode, I discuss a variety of topics including: Liquidity and your home, Are hedge funds as a group smarter than the crowd, Current stock market valuations as measured by cyclically adjusted P/E ratios and the challenges of using valuations as a timing vehicle, The fate of the eurozone. The episode length is 16 minutes. … [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...]