28 Feb 2014

Posted at 15:24h in The Friday Brief by
One of Wall Street's wisest admonishments is to avoid positioning one's investments contrary to Fed guidance or actions. After all, they are the only buyer or seller in the US with an unlimited supply of money for their purposes. Since the Great Recession our Federal Reserve has been bent and determined to stimulate employment, with few references to the inflation it might cause. In fact, they have been far more concerned with deflation than with the threat of too much money driving up prices.

21 Feb 2014

Posted at 13:57h in The Friday Brief by
One of today's hottest topics for people over 50 is Social Security; its viability and its potential to offer substantially more in benefits than the average retiree will see. Studies show that almost half of recipients receive just the minimum benefit, while less than 2% receive the maximum. The difference can be as high as $100,000 over a person's lifetime.

13 Feb 2014

Posted at 17:32h in The Friday Brief by
As financial advisors we are often asked, "how much cash should we set aside?" while others wonder, "why hold it at all, given such low returns relative to equities and fixed assets?" A proper answer to the second question requires a discussion of Modern Portfolio Theory - an involved topic for another day.  Today, we look at the question more fundamentally, in human terms. Cash means different things to different people.