It was a year of uncertainty and anticipation, of hopes for a return to a degree of normalcy following the onset of the COVID-19 pandemic in 2020. And it was a year that showed, again, the difficulty of
Continue reading...This is no surprise. The world is enormous. To cope with information overload, we engage in what behavioral psychologists refer to as heuristics. These are rules of thumb or mental shortcuts that take
Continue reading...How do you invest your money over the long term? If you’ve read much of our work, you’ve probably noticed we embrace evidence-based investing. But what does that mean?
Continue reading...Reaching a new high doesn’t mean the market will retreat. Stocks are priced to deliver a positive expected return for investors, so reaching record highs regularly is the outcome one would expect.
Continue reading...While both simulated and real-world data suggest momentum may not be suitable as a driver of long-term asset allocations, we believe momentum considerations can be integrated in a cost-effective way to
Continue reading...Market valuation ratios are, therefore, analogous to sundials: They’re fine as a rough gauge for the passage of time, but using one as an oven timer may leave you with an inedible casserole.
Continue reading...Many investors want their portfolios to do more than just pursue reliable premiums. They may also want to seek tax efficiency; reflect their environmental, social, and governance (ESG) values; respect
Continue reading...Yields reflect the aggregate expectations of all market participants, including opinions on how and when the Fed will act. And even if a crystal ball could reveal the timing and direction of the Fed’s
Continue reading...“News is, by definition, something that doesn’t last. It exists for only a moment before it changes. … It’s not important to living a good life. It’s not going to help you make better decisions.
Continue reading...Financial journalists periodically stoke investors’ record-high anxiety by suggesting the laws of physics apply to financial markets—that what goes up must come down.
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