Understanding Risk

Few terms in personal finance are as important, or used as frequently, as “risk.” Nevertheless, few terms are as imprecisely defined. Generally, when financial advisors or the media talk about investment risk, their focus is on the historical price volatility of the asset or investment under discussion. Advisors label as aggressive or risky an investment…

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2018 Q3 Market Commentary

After watching the market yo-yo higher and lower in the first 6 months of 2018, it finally gained some traction on the heels of a stronger economy and fantastic earnings announcements.  It seemed like every day during earnings season we got news of another company beating the analyst estimate and raising their outlook.  Additionally, strong…

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2018 Q2Market Commentary

Looking back on our commentary written in early January we see that the S&P 500 closed at 2,673.61.  It now stands at 2,718.37 as of the close of the 2nd quarter – up a whopping 1.7% for the year.  It’s hard to put a positive spin on that kind of return but in all reality,…

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2017 Q4 Market Commentary

It was quite a year driven by earnings growth and the hope and realization of deregulation and tax-reform. We began the year at 2,238.83 on the S&P 500 following earnings of $106.26 for 2016. In 2017 those earnings rose to $124.94 – an increase of 17.6% which is stellar by any measure. As we approach…

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3rd Quarter 2017 Market Commentary

The Dow Jones Industrial Average posted a gain of 4.9% during this past quarter. It was the eighth consecutive quarter with a gain. This is the first time this has happened in 20 years. During this eight quarter period, the Dow posted a gain of 37.6%. That compares to a gain of 65.9% for the…

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2Q 2017 Market Commentary

The markets continued to march higher into the 2nd quarter.  With the strong finish, it marked the eighth straight month of gains for the Dow Jones Industrial Average.  The Dow is now enjoying a rise of 8.0% for the year while the S&P 500 is up 8.2%. While those two indices have had impressive returns…

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Bear Markets Come and Go

The longest bull market in history lasted almost 11 years before coronavirus fears and the realities of a seriously disrupted U.S. economy brought it to an end.   If you are losing sleep over volatility driven by a cascade of disheartening news, it may help to remember that the stock market is historically cyclical. There…

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