In Plus Episode 327, we first review some new Plus membership options for existing members. Then we evaluate whether a member should sell her individual taxable stocks as she prepares for retirement. We help a couple decide how to invest savings that will be used for a downpayment on a house at an uncertain future date. Finally, we assist a member in analyzing what it means for his employee stock and options holdings now that his employer has announced a 10-to-1 reverse stock split. … [Read more...]
216 Plus: Predictive Valuations, A Timing Rule, Equal Sectors and Stock Splits
This week August 11, 2018, we revisit valuation indicators in terms of their predictive ability for 10 year stock market returns. We review a simple rule for exiting the stock market when it falls 10% and reenter when it rises 15% from its bottom. We analyze the performance of equal weighted sector indexing. Finally, we look at stock splits and why companies do or don't split their stocks. … [Read more...]