la·gniappe (noun) something given as a bonus or extra gift. Although we would not define the information below as a “gift” we do hope that these brief reminders shed some light on often overlooked or forgotten items many of our clients have on their to-do list.
Expanding our content allows people to write about a wider range of topics like financial planning, current events, human behavior, and individual interests. This piece below is an example of this wider scope and is a book review from one of our Investment Advisors, Erin McMenemon. I hope you enjoy it and let us know if there is something you would like to hear more about.
Quick, without looking, what happened (financially) on August 6, 2011? No one today seems to remember. But judging by the news coverage at that time, you might have thought that the end of the financial world was at hand…
Considering the recent price declines in bonds due to rising interest rates, we thought this would be a good time to revisit the subject. We know this is a lot of info to digest, but it is important for us that you know some of the why behind what we are doing.
It’s been said that business expansions do not die of old age. Rather, they are typically (and inadvertently) murdered by an overactive Fed. Since interest rates bottomed in 2015, the Fed has moved to raise rates six times. Furthermore, they have publicly stated that there are likely two more rounds of increases scheduled for this year.
As we think about performance, there is one thing that stands out to us: It is often misunderstood. So, we decided to say a few things about performance starting with this blog post and continuing in our upcoming quarterly letter due out in early July.
It is well accepted that no one can both consistently and accurately forecast the stock market. The key word is forecast. That’s not to say that any given “guru” cannot get it right, at least once. Many have, and others certainly will. But, so far, the vast majority have all turned out to be one-hit wonders.
You may have heard stories in the news about “hidden” fees charged by advisors, brokers, and digital trading platforms. Because fees can erode an investor’s return over time, we thought it would be interesting to comment on this. To help, we will use a study by Personal Capital which came out last year highlighting some of the “hidden fees” charged to investors.