It’s fun to talk about “risk” and “return” because these are measurables and people are comfortable with the tangible world. But none of that touches upon what really matters. Worse, it can distract you from achieving what you want most.
Tag "Robert R. Johnson"
Despite the better intentions of finance professors a generation ago, the market regularly fails the efficiency test. The scary reality is not a question of what degree of market inefficiency exists, it’s that market inefficiency exists at all. And that can harm investors.
A good fiduciary must keep a level head and know when emotions drive investors. After all, if they’re not careful, emotion will drive investors right off the cliff.
Quite the opposite from being “over the hill,” those in their forties may find they’re still slogging up hill in terms of saving for retirement.
Ultimately, to survive, Social Security must evolve into a defined contribution system and away from its current Ponzi Scheme structure.
Perhaps, when planning for retirement, self-security is more important than Social Security.
Are our expectations of Asset Allocation too high?
