Blog

 

July 2016

Is it too exciting?

Generally, I think that an investment portfolio should be kind of boring.  I like low-cost index funds since they are inexpensive over time and help avoid a drag on returns, and they can provide a lot of market diversification.  Below are a few keys to build a boring portfolio:

*  Scrutinize management expenses of a fund.

*  Check on portfolio taxes, such as capital gains and capital losses in taxable accounts.

*  Try to manage retirement accounts for tax minimization.

*  Don't have too many funds it can produce lots of unnecessary redundancy.

*  Have you done an assessment of your risk tolerance?  Do this before establishing your target asset allocation.

Market volatility, the jumps up and down in stock market prices, is exciting.  Just listen to the media, especially when prices are falling.  A reasonable goal is to manage market volatility and not get too excited about your portfolio at any time.  I think it should work for you and your life, not be a source of entertainment.

 

 

How to Handle a Windfall

05/06/2015
Many times when people come into a windfall of sudden money, it can be an exhilarating yet scary experience. Why scary? Maybe just because it’s a new experience. Maybe because additional money creates a chain reaction of decisions to be made.

Taxes and Anxiety

03/14/2015
It’s tax time and for many taxpayers it’s an anxious time. To ease the worries, breathe deeply and organize your tax paperwork. Make sure you have your ducks lined up when you visit your tax preparer. Have all your tax forms ready. This is the main task in helping tax prep go smoothly.