Warren Buffett doesn’t dump his positions very often, so when he gets rid of all of his airline stocks, because he thinks they are just that bad, this is going to alarm some people. Warren Buffet once swore he’d never own an airline stock again. Back in 2007, he told investors that “if a farsighted […]
Warren Buffett wants investors to turn away from their massive losses in Q1, calling them “unrealized gains and losses.” His shareholders are certainly realizing them though. We typically do not show any favor for those who don’t do a very good job in the investment world, as it’s at least as important to show how […]
Schwab’s chief investment strategist is telling us that we need to be wary of big growth stocks because they are riskier in bear markets. We’re seeing the opposite though. We often speak of all the misunderstanding that there is out there about risk with holding stocks, which mostly occurs from our looking to view risk […]
Given that the economy has taken such a hammering lately, many have already feasted on the rebound in stocks. The rebound in treasury yields is more exciting if we play this right. If we are serious about achieving success with investing, we need to always be comparing the desirability of various approaches. Investors and the […]
The idea with long-term investing in stocks is to see significant price growth. GE stock is down 90% over the last 20 years, and this trend does not look like it will end anytime soon. Investors love to hold on to stocks over the long term and turn their eyes away from the normal ups […]
We sometimes hear concern about how top weighted the S&P is, with 20% of its value in the top 5 out of 500 stocks. This actually makes sense, and is not a misrepresentation. The S&P 500 has been around for 63 years now, and a lot of people have invested in it and continue to […]
Most investors tend to build their strategies not so much for sunny days, but to prepare for when the rain comes. It’s raining hard now, which provides some valuable perspective. While the goal with investing surely is to make money over time, a lot of investors tend to be guided instead by confusion, which can […]
As paltry as the returns from municipal bonds are, at least compared to stocks, they still attract a lot of investment, due to investors thinking that they are so safe. Think again. We’ve been worried for a while about the potential hit that municipal bonds, or munis, could take from this economic shutdown, and we’re […]
ETFs can be a nice tool for investors to participate in markets that they normally wouldn’t, like WTI oil futures. We need to look at the ingredients of these ETFs first. Your average investor doesn’t pay much attention to the futures markets, whether this be oil futures or any of the many other commodities and […]
How well the stock market has done in the month of April so far, in the face of all the very dark clouds in the economic sky, have people scratching their heads. When we look at the current economic picture, it sure looks like all bad news, all very bad news in fact. Unemployment claims […]