What is Your Financial Professional–A Broker or Fiduciary?

Summary:  Athletes understand “off-the-field” distractions.  None are probably worse than those of the financial variety.  Last April, the Department of Labor (DOL) decided that financial professionals giving advice for retirement assets must act in their client’s “best interest”.  Yes. You heard me right. Well, you may be thinking, “I thought my advisor was already acting in my […]

Don’t Ignore the Importance of Human Capital!

Recently I was revisiting a very interesting parallel drawn between human capital and financial capital as they both relate to building a portfolio. In 1980, R.A. Campbell developed a framework for life insurance that involves the trade-off between risky vs. non-risky assets. The parallel when applied to how financial wealth is derived is actually pretty […]

How Financially Literate are You? No, Really…

April is Financial Literacy month in America.  The real impetus behind this effort of a whole month of promoting financial literacy is to increase awareness around the subject.  Espousing healthy financial habits are just as necessary as having healthy eating and physical habits.  Can it be said that Americans care as much about their physical […]

Let “Un-Common” Sense Prevail

Sometimes I allow my mind to wander on topics such as, if different successful personalities were able to implement some of their strategies for our nation or the economy as a whole.  For example, what if Congress were required to exemplify the financial discipline Dave Ramsey espouses?  Or , what if all defined-benefit plans were converted to defined […]

Revisiting the Rules of Engagement

In the last few decades with the advent of self-directed defined contribution plans (versus defined benefit), it has become more necessary to engage a financial professional to assist in future spending needs.  In the 2013 Risks and Process of Retirement Survey report, it states that “in 1974, defined benefit plans covered 44% of private sector workers, but today […]

5 Things Investors Should Do Now

Recently I read a beautifully written article by WSJ’s Jason Zweig entitled 5 Things Investors Shouldn’t Do Now.  So, I thought I’d piggy back on that idea and express what I feel investors should do now.  These are steps that can be taken by any investors at any level.  So here goes… 1) Deploy additional capital.  As an […]

Is Tax Loss Harvesting an Oxymoron?

In grade school oxymoron was one of those words that could make you giggle after someone uttered it.  If I heard any word with “moron” in it, it sent me chuckling, so maybe that was just me. Funny though, I find that often enough individuals focus too intensely on “part” of something and miss considering the “whole” […]