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It’s important to note that past performance cannot predict the future. However, historical information can help you set reasonable market expectations.
You could be the brightest stock-picker in the land, but outperforming the market would still be incredibly difficult.
While there is no crystal ball to reveal what’s on the horizon, taking an objective approach to today’s top retirement woes can help you feel more at ease.
I’m a longtime fan of Professor Jeremy Siegel and his book, Stocks for the Long Run, but new research from a retired professor named Edward McQuarrie extends Siegel’s analysis of stocks versus bonds performance; finding that the two may be closer in returns than originally thought.
Stocks and bonds come with their own “risk premium” to investors, and the riskier an asset is, “the stronger the trend in the Random Walk”. To see that trend in a Random Walk assert itself, you have to stick around for the long run.
English philosopher Carveth Read once said, “It is better to be vaguely right, than exactly wrong.” While applicable to anything, this concept can also lend guidance to your financial planning approach.
Even if you’re not one to pay attention to investment forecasts, we’re all likely curious of what 2023 will bring to our wallets.
Of course you want to know what sort of return you might expect upon investing your money, but how possible is that when it comes to a stocks and bonds portfolio?
Market investors are primarily focused on market returns, as you should be; but another major component worth considering is how taxes impact your returns.
What can you take away from volatile times? Many investing lessons; Not just for 2023, but for life.
A quick Google search will relay many myths about investing, but when you understand fact from fiction, you can make wiser, more calculated decisions.
Instead of sitting on the sidelines in fear, you may want to consider short-term investment options that can help put your dollars to work.