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Hold On To Catch the Upside
Today's Chart of the Day is from S&P Global, and it shows the weekly returns of the S&P 500 year to date. Yes, cumulatively the market is down, but..
Recessions are Painful; Expansions are Powerful
This chart comes from the Visual Capitalist. Since 1950, the average economic expansion lasts 67 months. The average recession, though painful, only..
Small- and Mid- vs. Large-Cap Stocks
As of today, small- and mid-cap stocks on a year-to-date basis are performing better than their large-cap counterparts by 3% and 2%, respectively...
The "Chiclets Chart"
One of our clients calls this the “Chiclets Chart” because of its resemblance to that classic brand of candy-coated chewing gum.
Active vs. Passive Funds
Today’s chart from Morningstar shows annual net flows into passive funds (in purple) vs. active funds (in orange), and their dominance for the last..
37 Years of Retirement
Today’s chart from BlackRock shows that from 1940 to 2015 life expectancy went up 15 years and the average years spent in retirement went from six to..
Top Heavy = Top Losses
This chart is from today’s Wall Street Journal. Because of their heavy weights in the S&P 500 index, eight companies make up half of the stock..
Diversification Saves in Down Markets
The Russell 3000 Index is made up of the largest 2,750 stocks in the United States.
Daily Median Income for World
From 2001 to 2017, the daily median income doubled for everyone in the world.
Winning is Hard, Staying a Winner is Even Harder
S&P Dow Jones Indices has published their updated U.S. Persistence Scorecard. A mere 2.2% of actively managed U.S. domestic equity funds in the top..
Real Estate vs. Stock Market
Past performance is no predictor of future success, but it is interesting to compare the past performance of different investments. These charts show..
Sale and Dividends
There are two ways to make money in stocks:
100% of the Time
I think about this chart often during discussions with clients on having too much exposure to single stocks.
Real Estate Prices vs. Income
Real estate is unique since humans need a physical place to live and work. Economics says the price of those physical places is constrained by the..
On Our Minds
Recessions are Painful; Expansions are Powerful
This chart comes from the Visual Capitalist. Since 1950, the average economic expansion lasts 67 months. The average recession, though painful, only lasts 11 months.
Small- and Mid- vs. Large-Cap Stocks
As of today, small- and mid-cap stocks on a year-to-date basis are performing better than their large-cap counterparts by 3% and 2%, respectively.
There is an ebb and flow but going all the way back to 1994 small- and mid-cap stocks have outperformed large-cap stocks by an annual 0.66% and 1.49%, respectively. Financial theory supports, and so far this year it is also true, that when you add them to your portfolio they lower your risk due to the additional diversification.
Since this follows our motto of obtaining the “highest returns, for the least amount of risk,” we include small- and mid-cap stocks in all our portfolios.
The "Chiclets Chart"
One of our clients calls this the “Chiclets Chart” because of its resemblance to that classic brand of candy-coated chewing gum.
Active vs. Passive Funds
Today’s chart from Morningstar shows annual net flows into passive funds (in purple) vs. active funds (in orange), and their dominance for the last 11 years.
37 Years of Retirement
Today’s chart from BlackRock shows that from 1940 to 2015 life expectancy went up 15 years and the average years spent in retirement went from six to 37.
Top Heavy = Top Losses
This chart is from today’s Wall Street Journal. Because of their heavy weights in the S&P 500 index, eight companies make up half of the stock market’s 14% decline year to date. It is notable that the value index was only down 3%, while the technology-heavy growth indexes are down 25%. As usual, the S&P 500, which includes both, splits the difference.
Diversification Saves in Down Markets
The Russell 3000 Index is made up of the largest 2,750 stocks in the United States.
Daily Median Income for World
From 2001 to 2017, the daily median income doubled for everyone in the world.
Winning is Hard, Staying a Winner is Even Harder
S&P Dow Jones Indices has published their updated U.S. Persistence Scorecard. A mere 2.2% of actively managed U.S. domestic equity funds in the top quartile for 12 months performance at the end of 2019 stayed ahead of three-quarters of their peers when measured two years later.
Real Estate vs. Stock Market
Past performance is no predictor of future success, but it is interesting to compare the past performance of different investments.
These charts show the value of $100 invested in real estate (red) and the stock market (blue.)
The chart above shows that over the last 15 years, the stock market was the place to be.
100% of the Time
I think about this chart often during discussions with clients on having too much exposure to single stocks.
Real Estate Prices vs. Income
Real estate is unique since humans need a physical place to live and work. Economics says the price of those physical places is constrained by the cost of the physical labor to build them.
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