In Plus episode 501, we review why Federal Reserve Chair Powell said the Fed isn't in a hurry to lower its policy rate. We revisit why interest rates are increasing. David shares the expected return, ranges, and maximum drawdown of his portfolio. We analyze why buffer ETFs can lag the underlying reference assets when the stock market is appreciating. … [Read more...]
356 Plus: September 2021 Investment Conditions, Valuing Pensions, and Maximum Drawdowns
In Plus Episode 356, we review economic trends, asset class valuations, and market internals as of early September 2021. We consider how to value a pension and how to incorporate it into an asset allocation. Finally, we review how maximum drawdown calculations are determined for the Money For the Rest of Us Plus asset allocation model and how frequently maximum drawdowns occur, using the S&P 500 Index as an example. … [Read more...]
