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What’s on our mind? You can read about it in our blog. Whether it’s ideas from the industry or emerging trends, you can read about it here. And once in a while, we may throw in a commentary that is not market related. So keep checking in. We’re glad to have you reading along.
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How Your Dollar Shrinks

Back in May of 2021, I was concerned the following may come true: Predicting future prices is difficult. But recent inflation numbers (see past blogs) show a strong trend towards rising prices in certain sectors of our economy. My...
Read MoreBuild Back Bitter

This morning the news is covering the idea put forth by Janet Yellen on behalf of the Biden Administration to tax unrealized gains. Bottom line up front is that this will not pass any time soon. But it will still have ramifications and...
Read MoreDiet Cola: The Sequel

A picture is worth a thousand words. That's it. That's the blog. If you'd like some financial behavioral therapy click here. //
Read MoreSocial Security’s Diet COLA

Great news! Social Security in their generosity and wisdom have given retirees the biggest bump in their payouts in over 40 years. That’s right, folks, a 5.9% increase! Just like a Christmas tree, 2022 is going to be lit. Source...
Read MoreEvergrande Fairyland

In response to several calls I've received regarding Evergrande I thought I'd get you up to date about what you can do in response. Turns out this real-estate behemoth is into electric cars and Fairyland theme parks. First read this...
Read MoreEmmy Award Winners

In the spirit of last night’s Emmy awards, I’d like to share three videos with you. Unlike Netflix, there is no subscription necessary to view. It’s scripted reality, not fiction. The star of these videos is not quite...
Read MorePalantir Calling for a Black Swan

Just in time for the 20th anniversary of September 11, several news agencies have noticed that Palantir is calling for a Black Swan Event. That brings up two questions. What is a Black Swan Event and who in the world is Palantir? First...
Read MoreIf It’s Free, You’re the Product

I enjoy social media. I can keep in touch with family half way around the globe and let them know what I ate for lunch. Furthermore, I can share funny cat videos with friends from high school. Good times. One of the great things about...
Read MoreThe Easy Money Indicator

As I've written ad nauseum in previous blogs, we here at Privada Wealth Management believe that technical indicators provide a useful, albeit imperfect, discipline to help manage your portfolio. Using mathematics to help us with our...
Read MoreInflation? What Inflation?

Note: This is meant to illustrate how your lifestyle is impacted by inflation. This picture does not illustrate current or predict future Federal Reserve inflation target of 2%. Nor is it mocking their valiant efforts to date.
Read MoreThe Thundering Herd of Lemmings

There's nothing wrong with internet stocks or mortgages. And yet, internet stock mania came crashing down in 2001 and structured credit helped cause the Great Recession of 2008. In both cases a normal asset class became "the next big...
Read MoreMr. Burns Goes to Washington: "Excellent!"

I once wrote a blog about common-man laborer, Homer Simpson and his capitalist boss, Mr. Burns. Click here to read it. It was a long-winded parable about the rise in asset prices vs. the stagnation in income growth for most Americans....
Read MoreLeaving and Receiving an Inherited IRA

I ran across a sad story this morning that can illustrate several points, both financial and behavioral. It's a story of parents who left behind money and children who made one wrong move. A father past away and left a large IRA to his...
Read MoreHere’s How Inflation Can Lead to Deflation

This is a difficult blog to write without oversimplifying things. Predicting the economy is like predicting the weather. We know the seasons will have certain characteristics, but we don’t know if the hurricane comes on September...
Read MoreThe Sun Also Rises

The first historical graph shows a bunch of lines that have little to no emotional impact. That’s good. We need to approach the data with a cold, hard scientific mind. However, we are but flesh and blood. So the next two...
Read MoreEnjoy Retirement: Turn off the News

Typically, I write blogs that are loquacious literary masterpieces of wit and wisdom. For instance, I've covered why we should fade the news when it comes to financial planning, click here. But I also want to start posting articles I...
Read MoreA Deer in the Headlines

You’ve heard the phrase "a deer in the headlights." It's when a deer is mesmerized and confused by the headlines lights of your oncoming car. There he stands as you hurtle towards him at over 60 miles per hour in your two-ton...
Read MoreThe Brighter Side of Inflation

In every crisis there is danger and opportunity. So while I've droned on and on regarding the evils of inflation and tried to scare you, I have to be fair and balanced. In an age of faux news, it's my responsibility to share with you...
Read MoreThomas Jefferson: Conspiracy Theorist

You may have heard of Thomas Jefferson in history class. He did a few things to help get the good old US of A up and running. What you may not know is that he was one of those conspiracy theorists. I don't know if they had tin foil...
Read MoreCutting In the Middle Man

Remember when you had to go the store to buy a computer. Ah, yes, the good old days. You'd get in your car and sweat as the air conditioner started to finally cool things down. Then you'd fight for a parking space as you dodged...
Read MoreInflation: America Runs on Donuts

It's late May of 2021 as I write this. Peering out my window, I wonder what could happen a few months hence in terms of real-world inflation. You see my concern is two-fold. I help my clients invest their money in a way that takes...
Read MoreThe Economic Cycle: A Play in 6 Acts

In my last blog, I noted that inflation as measured by CPI had jumped from 2.6 to 4.2% in April. The obvious significance to you in the next few weeks and months are higher prices. But there's a course of events that have happened in...
Read MoreStagflation: And so it Begins

After 13 years of planning for inflation for my clients, I finally feel vindicated. But I'm not patting myself on the back. I'm actually sad to be right. After printing money into a goldilocks environment, it seems inflation may be a...
Read MoreMathset versus Mindset

Let's say you're going to retire next month. You need $5,000 a month to live your current lifestyle. You owe $100,000 on your mortgage with 12 years left until it's paid off. The interest rate is 3.75%. Your mortgage is $1,400 a month...
Read MoreSteps to Choosing a Financial Planner

Who can you trust in a pandemic? First, they said masks weren't necessary. Then they said they were mandated. Then they came out with possible treatments. Then those possible treatments were debunked or tossed aside. And why was...
Read MoreWhy Does a Stock Price go Up or Down?

I'll be quick here today and get to the point. You and I have no idea why a stock price is going up or down. It just is happening. Deal with it. Several years from now we may have the clarity to know why a stock price rises or falls....
Read MoreHSA: Now and Later

I just got off the phone with a couple in their late 30’s and early 40’s. After discussing several financial planning decisions and updates we talked about the weather in Colorado where they are vs. Florida where I am....
Read MoreCover Your Assets: 8 Lessons from a Scam

My client has given me permission to share this story. I've changed his name and some details to protect his privacy but the important lessons remain. On a busy Sunday of running errands, John's phone rang while he was driving. It was...
Read MoreThe K Shaped Recovery

Several weeks ago a couple came in to visit me, we’ll call them Mr. and Mrs. K. Mr. K had retired from the military and was working part time at a national home improvement store. Mrs. K was working full time in the healthcare...
Read MoreZombie Apocalypse Preparedness

Over ten years ago, zombie movies and TV shows sprung to life as the genre became a dominant trope in collective consciousness. Ten years later, our sweat-soaked tax dollars were spent on a tongue-in-cheek campaign at the CDC....
Read MoreThe Noble Art of Tax Avoidance

With the recent NY Times expose on Donald Trump's leaked tax returns, I thought it appropriate to focus once again on taxes and their impact on retirement. Let me get straight to the point. You will pay taxes either now or later....
Read MoreFarmer Bill and his Three Sons

The tale is told of a farmer named Bill and his three sons. There are several lessons that can be learned. You see Bill was a successful farmer because of his three sons, even though they were very different in temperament and ability....
Read MoreThe Critical Retirement Rule Change

One of the challenges of financial planning, specifically retirement income planning, is the fact that the rules continuously change. Taxes laws change with each administration and the Trump tax code was no exception. By now, you're...
Read MoreThirty Two Years and Eleven Days

One of the hidden dangers in retirement is tax instability. In other words, you don't know what your future tax burden will be. In financial planning, as in life, it's best to plan for the worst and hope for the best. Unfortunately, my...
Read MoreThe Lighter Side of Mental Accounting

Mental accounting is a behavioral economics concept introduced in 1999 by Nobel Prize-winning economist Richard Thaler. He pointed out the different values people place on money, based on subjective criteria. Typically, mental...
Read MoreEntering the Stratosphere

The 200-day moving average is used by many technicians to differentiate between long-term uptrends and downtrends. Above the moving average is considered bullish, and below is considered bearish. This line can often act as support or...
Read MoreCartoon World Has the Greats Perplexed

What do the following great investor minds, ranked in no particular order, have in common? Warren Buffet Jared Coffin Stanley Druckenmiller Rey Descalso Seth Klarman Ray Dalio They are all perplexed by the current market conditions. In...
Read MoreA Temporary Pause May be Needed

The market rally off the March 2020 low has been stunning to say the least. It has mostly been a technology led rally with the top 5 largest stocks doing most of the heavy lifting. Rey Descalso and I have touched on this multiple times...
Read MoreRevenge of the Giant Five

Back on April 28, Jared Coffin and I shared a blog explaining the hidden weakness of the equity market. It's worth a read again as the situation is more acute now than ever. Several weeks later, Wolf Richter has an interesting update...
Read MoreQuestioning Financial Advertising

My colleague and Chartered Market Technician, Jared Coffin, pointed out an interesting piece of advertising this morning. We spend an inordinate of time discussing the trends in our industry. When commission-free trading was introduced...
Read MoreThe Coming Index Fund Pandemic

"If everybody indexed, the only word you could use is chaos, catastrophe...The markets would fail." - John Bogle, May 2017 Ask yourself why John Bogle, the creator of the first index fund, would say such a thing. He said this in May of...
Read MoreIs the Stock Market Detached from Reality?

The stock market feels broken. Currently, more than 108,000 Americans have lost their lives to the coronavirus. Unemployment has now reached 42+ million Americans. Stimulus checks have been mailed to many just to keep them afloat in...
Read MoreWhy I’m A Passionate Financial Planner

What Started it All In my first career, I was a minister. Eventually I became the co-senior pastor of a wonderful congregation just up the road from my office. It was a great experience that equipped me to have the heart of a teacher....
Read MoreRow Row Row your Boat

From Rey: We are lucky to have a Chartered Market Technician on staff here at Privada Wealth Management. In our morning market debrief, Jared shared some data with me I thought was imperative to pass on. His insight and data points...
Read MoreThe 3 E’s: How We Help Our Clients

During an unprecedented global pandemic and historic market volatility, I've found some time to reflect on my place in all of this as a financial planner. Perhaps I can summarize how we help our clients in the following three ways:...
Read MoreCoronavirus: Glimmers of Hope

In the midst of this Coronavirus emergency, I wanted to quickly send a message out of hope that we will get through this as individuals, communities and a nation. Naturally, nothing here should be taken as medical or legal advice. So...
Read MoreNot so Fast

The past few weeks have brought about some of the wildest price action in a long time. The other day while grabbing my morning coffee, the barista asked me if she should be worried. She mentioned reading a headline that said something...
Read MoreWhat a Difference a Week Makes

Last week wasn't for the faint of heart. The market had a horrible week, and that's being kind. Half of the rally from the December 2018 low was evaporated in seven trading sessions. The sell-off itself wasn't all that surprising due...
Read MoreBezos: Amazon Will Go Bankrupt

The richest man in the world is Jeff Bezos. He is the largest stakeholder in Amazon and also it’s founder. Although he built Amazon, he’s open to the idea that eventually it will go belly up. He realizes great companies can...
Read MoreTwo Hacks for Delaying Gratification

Delaying Gratification: Systems over GoalsUnfortunately, retirement planning will take hard work and discipline. If you are approaching retirement, that means working hard to earn the money that you use to fund your retirement accounts...
Read MoreIs the Coronavirus a Black Swan?

Happy Chinese New Year and welcome to the year of the Rat! For those of us in the United States, we may follow the solar new year and it's easy to miss the celebrations. As you may have heard, celebrations in China have been muted...
Read MoreNew Year: New Lessons

The year 2019 ended up being an impressive year for the stock market. If you had told me on December 24, 2018, that within a year we'd be trading above 3,200 in the S&P 500, I would've considered such projections as overly optimistic....
Read MoreThe Secure Act of 2019 and What it Means for You

On Tuesday, December 17th, the Secure Act of 2019 was attached to a spending bill. This piggyback effect meant that the Secure Act would be passed or the government would be shut down. While the dust is still settling on some of the...
Read MoreCorporate Debt Storm Clouds

In high school science class, we learn about cause and effect. The sun shines, water evaporates, clouds form and it rains. These cycles of cause and effect happen in the economy as well. Over ten years have passed since the Great...
Read MoreDoes 2020 Rhyme with 1937?

If you are reading this you've probably heard of Warren Buffet. But have you heard of Ray Dalio? You can learn a lot about him here. Suffice it to say he's an investment guru who founded the largest hedge fund in the world, managing...
Read MoreThe Heart of a Teacher

In back to back appointments, I’ve talked to two potential clients. They are not clients yet. They are interviewing me to see if I may be able to help them with their financial planning. At the same time, I’m trying to...
Read MoreThe Asset Allocation Tug of War

The Asset Allocation Tug of War In general, I’m a firm believer in sticking with what works for you. Don’t blindly follow what works for others. We’re all different, and many of us have different goals to achieve on...
Read MoreThe Magical Shrinking Social Security Check

Recently, the Social Security Administration announced that the cost of living adjustments (COLA) for 2020 would be 1.6%. That means if you make $1500 in 2019 per month, your 2020 checks will be about $1524. And that's the good news....
Read MoreWill ETFs Dethrone Mutual Funds?

Several times a year, I hold an educational workshop called Taxes in Retirement. If you're interested in attending our upcoming workshop click here. During the class, I mention the tax-efficiency of exchange-traded funds (ETFs) as...
Read MoreEat the Rich!

Taxes aren't your fault, but they are your problem. You better muscle up, butter cup. I've struggled my whole life to not gain more weight and to lose about 30 pounds that I shouldn't be carrying. When you look at the Body Mass Index...
Read MoreThe Federal Reserve’s Third Mandate

Historically, the Federal Reserve has had a dual mandate: Keep unemployment and inflation low. The idea is that lower interest rates mean it's easier for businesses to borrow capital to hire more workers. This increases production. As...
Read MoreAlways Remember...

"Time is passing. Yet, for the United States of America, there will be no forgetting September the 11th. We will remember every rescuer who died in honor. We will remember every family that lives in grief. We will remember the fire and...
Read MoreSocial Security Catch 22

Too often, Social Security timing is taken for granted when planning for retirement. Consider the following: If you look at the Social Security Handbook describing all the provisions about Social Security benefits, it has 2,728 rules....
Read MoreIn Defense of Trade Wars

You'll recall in 2018, I wrote a blog about the folly of tariffs. Any thorough analysis of the issue, however, requires me to see things from the other side. In fact, if you can't clearly understand both sides of an issue chances are...
Read MoreBooks: A Wealth of Knowledge at Your Fingertips

It's funny how things change over time. I remember in grade school and throughout college how much I disliked reading books. Occasionally I would read an entire book, but it was rare. I seldom enjoyed the subject matter I was forced to...
Read MoreExcuses Don’t Make Money

I've had the privilege of meeting and speaking with some great traders. I've been able to soak up a wealth of knowledge from our discussions ─ knowledge which can't be taught by a textbook. We've challenged each other's research and...
Read MoreIs Your Holy Grail for Investing a Myth?

For a brief period when I first began trading, I went down the rabbit hole of thinking there was some magical strategy – some holy grail ─ that would just print money nonstop. I thought I could find some method, I could continue...
Read MoreHigher or Lower: Do You Have a Plan?

Recently I've been hearing more and more from market participants about how impressive the returns have been thus far in 2019. However, it's all relative, based on your starting point. Those who implemented a portfolio at the beginning...
Read MoreOur Philosophy on Model Portfolios

One of the approaches we advocate is the use of model portfolios. We use our own and third-party asset managers. Our model portfolio is a culmination of our best ideas based upon time-tested investment principles and an understanding...
Read MoreThe ABC’s of Power Spending

A certain large bank received ridicule for an advertising campaign that encouraged saving over frivolous spending. Critics alleged that they were poor-shaming Americans who found their bank accounts too low. Essentially, the bank...
Read More90 Days of Inversion

It's June 17, 2019. Today the yield curve has been inverted for a full 90 days. According to professor Harvey Campbell of Duke University, that means a recession is coming in 12 to 18 months. He wrote a dissertation in 1986 and the...
Read MoreThe Ideal Work Environment: Candidly Sharing Feedback

Before I got into financial services, I worked as a camera assistant in the film industry for several years. I worked and lived in both Orlando, Florida, and Los Angeles, California. Whether I was working on commercials, television...
Read MoreBrace Yourself: 401k Changes are Coming

Friday, May 24, the Wall Street Journal reported on sweeping legislative changes passed by the House regarding your 401k and IRA. While the legislation still needs to be passed by the Senate before reaching the President's desk, the...
Read MoreBuy and Hold: Much Harder Than It Sounds

I've often come across articles and studies about the positive benefits or negative side effects of various products. One year I'll read that a given product is good for you. Later, I may read a conflicting study that states this...
Read MoreThe Game of Risk

Last night, our Ring spotlight camera went off. Something went bump in the night. Turns out it was a feral cat scaling our porch screen. Could have been worse. We installed the cameras because there is a risk that our Amazon package...
Read MoreThere's More to Investing than Beating a Benchmark

When you tune into a financial news network, you often hear, "the Dow Jones has gained or lost x percentage today." Or, "the S&P 500 has gained or lost x percentage.” These are indices that we commonly hear referenced. Many times...
Read MoreQuotes: Free Advice Worth Listening To

One thing I've learned over the years: Learn from other people's mistakes to avoid making them yourself. Given that I have a passion for anything related to the stock market, I've studied the words and habits of some well-known traders...
Read MoreDon't Let Hindsight Fool You

I remember years ago when I first decided to trade stocks. I looked at a few charts and thought: How hard can this possibly be? I will buy stocks when they're going up, and sell - or short sell - stocks that are going down. I was...
Read MoreHomer Simpson vs Mr. Burns

The Simpsons used to be viewed as a portrait of a lower-middle class family. You remember Homer, Marge, Bart, Lisa and Lisa, don't you? They had a house, car, job security, and a single wage-earner who didn’t graduate college....
Read More3/9/09: Never Forget

I remember where I was on March 9, 2009. I was in a hotel on Maho Beach not far from where the 747's land on a small strip of land in the middle of the Caribbean. The weather was perfect, the water was every shade of blue. After...
Read MoreEndless Opportunities: Don't Get FOMO'd

I remember that back in my early twenties I never missed a weekend of socializing with friends. It was a well-established routine. I would work all week, hang out all weekend - and I mean every weekend. Obviously, I loved being around...
Read MoreObey the Rules

If I were to ask someone what their ideal investment portfolio is, I would expect their response to be, "I want 100 percent of the upside with zero drawdowns." Well, that quite frankly is impossible. However, I want to explain a little...
Read MoreIs This Time Any Different? Or Did We Forget What It's Like?

My nephew recently turned 5 years old. My younger brother and his wife were visiting from California at the time and suggested taking him to Chuck E. Cheese for his birthday. I remember going there when I was younger and thinking it...
Read MoreFinancial Planning Upgrades

My smartphone has slowly and imperceptibly become an integrated tool of my everyday life. Perhaps you've noticed the same. It slices, it dices and makes Julienne fries. What a wonderful time to be alive. In fact, when my smartphone...
Read MoreIs There Traffic Ahead?

I have often heard my colleague, Rey Descalso, use the analogy that investing is similar to driving a car. On highways, with minimal traffic, we go the full speed limit. Maybe slightly faster, depending on the type of drivers we are....
Read MoreData over Emotion

I'll never forget the first trade I made in my personal brokerage account. I was sitting in my apartment in Los Angeles, California, at 6:30am when the opening bell rang in New York City. I had a plan in place and my order queued up...
Read MoreThe Daily Grind

Holiday festivities give way to New Year's resolutions. "New Year, New Me!" Is parroted all over social media as we declare our best intentions and goals for 2019. It's a tale as old as time. We write down our goals, create lists of...
Read MoreSophia, the Wise

Disclaimer: This is a made up story, a parable. It never happened and probably never will. Any resemblance to actual humans is coincidental and besides the point. What follows is not a description of a specific security nor is it the...
Read MoreThanatopsis

My uncle Steve died unexpectedly and we had his funeral service the Sunday before Thanksgiving. He was a gentle giant of a man and only 54 years young. His passing was deeply painful to my family and it jarred me out of the hypnotic...
Read MoreThe Fruit of all Hubris

It has been said that the love of money is the root of all evil. Can I be so bold as to add a corollary to that axiomatic statement? The love of a stock is the fruit of all hubris. Let me explain. Sears has filed for bankruptcy. The...
Read MoreConsumerism: Planned Obsolescence

I recently upgraded to the most recent operating system and I’m just waiting for the inevitable slowdown. Turns out Apple purposely slows your phone down if it gets too old. They say it’s to save you from ruining your phone...
Read MoreAsset Allocation and Why Leverage is Good

I know what you’re thinking, dear reader: “Oh great! Another boring, vanilla blog on asset allocation. Only now, my advisor is so bullish he things we should use leverage (investing with borrowed money).” Well,...
Read MorePrimary Care or the Emergency Room

The Annals of Internal Medicine published a study that showed that approximately over 30% of prescriptions go unfilled. If you drill down a bit more you find that about 80% of bronchitis and 74% of skin irritation prescriptions go...
Read MoreThe Domesticated Consumer

There are over 12,000 wild wolves roaming North America. There are over 89 million dogs. So the question is, why are there so many dogs, and so few wolves? I ask this question, because I'm wondering who domesticated who? Did we...
Read MoreFacebook, FOMO and Financial Pressure: Part 2

Sorry for the delay in bringing you the much anticipated second installment of this blog post. You can catch up with where our hero left off here by clicking here. I discovered the evils of peer pressure in fifth grade. It led good...
Read MoreHeart Palpitations below 200

My drive into work consists of satellite radio and podcasts. I don't listen to rock 'n' roll to get pumped up for the workday that lies ahead. Instead, I flip back and forth between CNBC, Bloomberg and investment related podcasts....
Read MoreBreaking Up: It’s not You, It’s GE

Love is a funny thing. Statues and sonnets are dedicated to this most primal of human emotions. The infatuation, the depth, the betrayal and the heartbreak are the stuff of legends. But this, dear reader, is a financial blog, not an...
Read MoreDesigning a Flight Path for Investing

On any given day approximately 8 million people hop aboard an airplane to a predetermined destination. There're two types of passengers. Those that enjoy the excitement of the adventure. Then there's the unfortunate bunch that must do...
Read MoreYou’ve Got a Fiduciary in Me

Behind the scenes our industry, the SEC, FINRA and the Department of Labor are parsing what it means to be a fiduciary. It’s a worthwhile conversation. For me, the debate doesn't matter. As an Accredited Investment Fiduciary®...
Read MoreFacebook, FOMO and Financial Pressure: Part 1

A few days ago, I was sick. Achy, stuffy with a painful sore throat. It was gray and raining outside and had been for a few days. It was a tropical depression in more ways than one. Being a domesticated snowflake I made an appointment...
Read MoreEating Your Own Advice

Let's say you are looking for advice on what to eat. You have two friends that are good friends. You know them well and trust their ethics and intelligence. In separate conversations you tell them your health goals, frustrations, and...
Read MoreNever Buy a New Car Again

Americans love the open road and the freedom that cars provide. Cars are an emotional possession that reflect what we value and how we see ourselves. But having a car is a necessary evil when you look at the financials. You must get to...
Read MoreYou Sunk My Battleship

During World War II, Winston Churchill gave many rousing speeches to the English people as they were fighting in the air, land and sea. If you ever have the chance to watch Gary Oldman's portrayal of the Bulldog, I highly recommend it....
Read MoreThe Business Owner’s Fountain of Youth

Business owners inspire me. I’m lucky to have several successful, smart business owners as clients. When we meet to review their financial plan inevitably I find myself learning something new about how to be a better business...
Read MoreHow to Be One of My Favorite Clients

The Dow Jones Industrial Average closed the other day (March 22nd) down 700 points. Checking through my email, I saw that Julia had sent me an email. Paraphrasing, she said, "I'm freaking out. Should I be scared, or should I stop...
Read MoreVirgin Steel, Vulcanized Rubber and Chicken Parts

Perhaps you've heard that President Donald Trump is proposing aluminum and steel tariffs on all foreign imports to the United States of America. There's a couple things that I'd like to talk about when it comes to this policy. On my...
Read MoreA Tale of Two Sentiments

It was the best of times it was the worst of times… Don’t worry this blog won’t be as long as the classic from which it borrows nothing but a title and opening line. I just wanted to take your temperature, so to...
Read MoreAre 529 Plans a Waste of Money?

This morning I dropped my wife's car off at the auto body shop. Then I walked over to the Starbucks next door. As I sipped a venti coffee, I listened to an interview with George Mason University economics professor Bryan Caplan. He's...
Read MoreThe Velocity of Money Episode 2: The Phantom Menace

In Part 1, we learned about the heroic efforts of the Federal Reserve to keep inflation manageable and unemployment low. They don't do this with the Force or Jedi mind tricks, per se. Instead they lower rates to ignite the economy and...
Read MoreThe Velocity of Money Episode 1: A New Hope

I started my career in the financial world in 2005 at what was then AG Edwards. Naive and idealistic, I devoured the standard text to pass my Series 7 securities licensing. Because I'm a nerd, many of the broad concepts were familiar...
Read MorePlanning to get Punched

Poet, philosopher and pugilist Mike Tyson once opined, "Everyone has a plan 'till they get punched in the mouth." After a steep decline of over 8% of the Dow Jones Industrial Average from January 29 to February 5, many investors feel...
Read MoreYour Mortgage Pride and Prejudice

We all have our preconceived opinions not based on reason or actual experience. It's called a prejudice. That's a bad word in today's culture and I'm accusing you of being prejudiced. Once you stop clutching your Victorian pearls in...
Read MoreFinancial Peace is a Myth

British Prime Minister Neville Chamberlain stood outside of 10 Downing Street in London and declared to those gathered,"I have returned from Germany with peace for our time." A year later, Hitler's Germany invaded Poland. The rest is...
Read MoreEfficient vs Effective Retirement Planning

In life we often have to choose between efficient and effective. Efficient is quicker and easier. Effective gets the job done, albeit with varying convenience. Let me give you an example. When you order clothes from Amazon you take a...
Read MoreYour Financial Crystal Ball

After circling the sun, human nature likes to look back at the last 365 days and look forward to the next. It's very healthy to take stock of the last year and solidify your plans going forward. However, there's also a propensity. We...
Read MoreHey Man, Premature Retirement Kills

I came across this study by Cornell economists Maria Fitzpatrick and Timothy Moore and want to share it with you, dear reader. The gist is that US Census figures reveal a clear correlation between premature death and premature...
Read MoreThree Hacks for your Financial Resolutions

As I write this, everyone around me has thrown off the shackles of self-restraint and entered full-on holiday feast mode. And why not? It's a festive time of year where every excuse is given to eat, drink and be merry. Besides, on New...
Read MoreThe Wheel In The Sky

Have you ever noticed how fads come and go? Hula hoops were a thing once. Pet rocks, lava lamps and beanie babies, too. I can remember thinking I was to coolest guy ever rocking my mullet and parachute pants. And some fads even come...
Read MoreThe Most Familiar Bias

When was the last time you ordered a brand-new dish at your favorite restaurant? I ask because I've noticed that there is a spectrum from adventurous to fearful when it comes to the people I often dine with. I'm the adventurous type...
Read MoreAn 18 Year Breakout?

As a 44-year old man, I'm dealing with male pattern baldness and acne. That doesn't seem fair. It should be one or the other. Acne breakouts in my teens makes sense. Thinning hair and an expanding waistline in my forties is to be...
Read MoreOxymorons and Roller Coasters

There are phrases and terms that don’t make sense together. Jumbo Shrimp. Freezer Burn. Army Intelligence. You get the idea. When it comes to your investments one oxymoron stands out: Standard Deviation. Before we talk about...
Read More6 Reasons to Fear a Financial Planner

Today is Halloween as I put these thoughts to paper. Tonight, I’ll take my wife and daughter around the neighborhood to scare the candy out of the neighbors. My costume will be easy; I am FrankenPlanner. That’s right,...
Read MoreThe Emotional Math of Losses

Warren Buffet has been credited with the following quote: “Rule Number 1: Never Lose Money. Rule Number 2: Never Forget Rule Number 1.” If only investing were that simple. Even Warren Buffett, in the short term, experiences...
Read MoreLongevity, Lifestyle, Legacy and Oxygen Masks

There are three goals when it comes to retirement planning: longevity, lifestyle and legacy. Longevity is the goal of running out of life before you run out of money (and not the other way around). It is the primary, non-negotiable...
Read MorePlaying Favorites

We all have favorites. There’s a familiarity and dependability when you order your favorite food at your favorite restaurant while sitting at your favorite restaurant. In fact, now that I have a three-year-old, we rarely venture...
Read MoreDoes Your Doctor Work for You?

Imagine going to a Primary Care Physician for the first time. You discover that recently she’s changed her practice. Instead of Dr. Feelgood, MD the name has changed to Big Pharma Doctors, Inc. Her practice is no longer...
Read MoreThe Dangerous Descent into Retirement

Let’s say you want to climb a mountain. What’s your goal? “To get to the top, of course,” your reply. Wrong! The goal is to get to the summit and safely get back down. When I was in college a guy named Jason...
Read MoreThe Love Affair with Liquidity

The Four Factors℠ are: Growth/Yield, Liquidity, Fees and Volatility. Every investment option can be analyzed for each of The Four Factors℠. An example would be investing in raw land. There’s no yield, but there is growth...
Read MoreThe Four Factors 101

What’s The Four FactorsSM? When I speak with clients, I like to remind them that every investment has positive and negative attributes, depending on your goal. Over the years, I developed The Four FactorsSM. These four factors...
Read MoreDisconnecting During and After Divorce

Winston Churchill once said, “Never, never, never give up.” I think that’s good advice for women at each stage of divorce. You see, it’s easy to tire and take your eye off the prize. But keep going. Dot every...
Read MoreFour Reasons to Ignore the Financial News for Seven Days

I’d like you to consider taking a 7-day financial news fast challenge. That’s right. Seven days with no financial news, televised or online. Weather and traffic updates are okay, but other than that try 7 days. Here’s...
Read MoreShould I fund a Roth or Traditional IRA/401k?

There is a debate whether you should contribute to a traditional or Roth IRA or 401k (if your company even has a Roth 401k option). Choose Ye This Day This is an important decision, now more than ever. A growing number of work...
Read MoreWomen and Financial Strategies

Forty-four percent of American women are the primary breadwinner in their house.1 Yet only 10% of women feel very confident in their ability to fully retire with a comfortable lifestyle.2 Although more women are providing for their...
Read MoreThe 3C’s of Coping

In times of transition and stress, we look for coping mechanisms. We need something to gives us a shot of dopamine to calm our frazzled nerves. What’s your drug of choice? Consumption Mine is Amazon Prime. When I’ve got a...
Read MoreSharks vs. Dolphins

My family once spent the day with a guide who took us to swim with dolphins in the Florida Keys. This wasn’t a tourist trap fish tank where some poor captured mammal entertains visitors from Hoboken. We were out in the wild,...
Read MoreForgiveness as a Financial Planning Tool

Do you remember that song, “That’s Just the Way it Is?” I’m listening to it now as I write this. I was in 6th grade when it came out. It topped the charts and made me wish I never quit piano lessons in 4th grade...
Read MoreBudget Making Takes Longer Than You Think

First, a confession. I don’t like budgets, I don’t like tracking my spending. Just like most normal people. But if you are in the midst of the loss of a spouse due to death setting up your new budget is even more complex....
Read MoreA Bucket Plan to Go with Your Bucket List

Consider a bucket plan to go with your bucket list. The baby boomers have re-defined everything they’ve touched, from music to marriage to parenting and, more lately, to what “old” means—60 is the new 50! Longer...
Read MoreInflation & Your Money

The CPI has shown low inflation since '09. Are your prices rising faster than the average? Read the rest of the story.
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