When you leave your server a tip, do you round it to a whole-dollar amount and often in multiples of $5? Does a 60th birthday seem more significant than a 59th? If you answer yes to these questions, you’re
Continue reading...Some investors use bond ladders for fixed income exposure. A portfolio of bonds with maturities spaced out across a range of years provides a stream of cash flows that decreases the uncertainty around
Continue reading...Investment opportunities exist all around the globe, but the randomness of global stock returns makes it exceedingly difficult to figure out which markets are likely to be outperformers. How should investors
Continue reading...The Magnificent 7 stocks1 continue to capture the focus of investors as these large growth names have outpaced the bulk of global equities. Their outperformance is notable because eye-popping returns for
Continue reading...US government debt reached 121% of the value of the country’s gross domestic product (GDP) last year.1 Many investors have expressed concern over the impact that servicing this level of debt could have
Continue reading...What do vacations and bond portfolios have in common? Expanding beyond opportunities in your home country may be the ticket to enhanced experiences.Yield curves for bonds issued in different currencies
Continue reading...Aggregate stock market valuation ratios have not been strong predictors of broad market returns. And yet, high stock valuations sit near the top of concerns cited by investors about the state of equity
Continue reading...The impact of being out of the market for just a short period of time can be profound, as shown by this hypothetical investment in the stocks that make up the Russell 3000 Index, a broad US stock market
Continue reading...When consumer prices rise, as they did last year, some investors may want to hedge against unexpected spikes in inflation. History shows Treasury Inflation-Protected Securities (TIPS) can be a useful tool
Continue reading...The SECURE Act offers useful information, but only if you can understand it.If you’re an American worker who hasn’t been living under a rock since you started earning a paycheck, you know that saving
Continue reading...Ah, we restless humans. Sometimes, it pays to strive for greener grass. But as an investor, second-guessing a stable strategy can leave you in the weeds. Trading in reaction to excitement or fear tricks
Continue reading...Many investors may think a market high is a signal stocks are overvalued or have reached a ceiling. But they may be surprised to find out that the average returns for the S&P 500 Index one, three,
Continue reading...Historically, value stocks have outperformed growth stocks in the US, often by a striking amount. Data covering nearly a century backs up the notion that value stocks—those with lower relative prices—have
Continue reading...Investment Resource: The S&P 500® rose by 16.9% in the first six months of 2023, marking a sharp rebound from its decline of 18.1% in 2022. The rally extended to smaller stocks, although less emphatically,
Continue reading...We started Dimensional in 1981 around a set of beliefs.1 These ideas remain core to our business and key to the experience we deliver.1. INVESTING IS A SCIENCEProfessional money managers have offered their
Continue reading...KEY TAKEAWAYS: We believe that concerns of decreasing price efficiency due to the growth of ETF investing are overstated.ETF trading volume exceeds ETF flow by a wide margin: For every $1 flowing into
Continue reading...In a bit of a paradox, you’ll find the following two titles on our recommended reading list:● The Wisdom of Crowds, James Surowiecki (2005)● Memoirs of Extraordinary Popular Delusions and the Madness
Continue reading...No matter how familiar we are with investing, we’ve all navigated uncertainty, weighed risks and rewards, and made carefully considered tradeoff decisions. Just by being human, we’ve been compelled
Continue reading...Nobody wants to make investment mistakes. And yet, we’re human; mistakes happen. Here’s how to minimize the ones that matter the most, and make the most of the ones that remain.Bad Decisions vs. Bad
Continue reading...Stock market slides over a few days or months may lead investors to anticipate a down year. But the US stock market had positive returns, despite some notable dips in many of those years. Intrayear declines
Continue reading...When you go shopping for pants, do you buy one pair in every size available? Most people do not, presumably because only one size is the most appropriate fit.1For many investors, bond portfolios should
Continue reading...Sudden market downturns can be unsettling. But historically, US equity returns following sharp declines have, on average, been positive. A broad market index tracking data since 1926 in the US shows that
Continue reading...In 1716, Christopher Bullock wrote, “Tis impossible to be sure of any thing but death and taxes.” Two centuries later, researchers keep trying to disprove the first, while Washington DC seems intent
Continue reading...Dad was several years older than Mom, and toward the end of their lives, in poorer health than hers. I tried asking Mom if they had plans in place to take care of her when dad passed away.For obvious emotional
Continue reading...Actively managed ETFs were first launched in the U.S. in 2008 offering benefits previously unavailable to investors. But their popularity remained limited until 2019 due to portfolio disclosure requirements
Continue reading...Should you contribute to a traditional IRA or a Roth IRA?What we refer to today as a traditional IRA (Individual Retirement Account) came into existence in the ‘70s as part of the Employee Retirement
Continue reading...Investing and health can be two of the most important things in life, but sometimes they also can be the most confusing. There’s so much data and advice, so many articles—and unfortunately, they often
Continue reading...Risks Amidst the RewardsIn our last piece, click here we summarized the ways a successful stock buyback can deliver powerful, tax-efficient value to shareholders, without stunting future growth. But stock
Continue reading...Social Security is a critical part of making retirement even somewhat affordable for many Americans.According to Fool.com, Social Security can replace over half of career-average wages for low-income Americans,
Continue reading...Sustaining Current and Future ValueIn our last piece, click here, we explained how stock buybacks generally work, and why we prefer investing in a globally diversified investment portfolio over chasing
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