Category: Investment Strategy and Investment Security Due Diligence
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A One-Page Financial Plan for a New College Graduate
I took a stab at putting together a one-page financial plan for a typical college graduate. The second page is to encourage further self-development, via readings, videos to watch, and concepts to master. Any suggestions, recommendations, comments are welcome! Thank you.
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Should You Invest in the United States or Foreign Equity Markets?
The Spirit of Entrepreneurship I’m a big fan of the United States, the future of its economy, and, as a result, to possessing a home bias with respect to U.S. stocks (versus foreign stocks). Why? Because in the U.S. we have an attitude that makes things happen. In other words, we are a country of…
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Revisiting the Expected Returns of Various Asset Classes
September 30, 2023 After a stellar first half of 2023, the third quarter of 2023 saw losses in most U.S. stock asset classes, and even more significant losses in many U.S. real estate-related asset classes. Despite a dismal September, for the quarter foreign developed markets and emerging markets fared generally better. While there are many…
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Fiduciary Papers #12: The Prudent Investor Rule’s Requirement for Tax Efficient-Investing
OVERVIEW: THE PRUDENT INVESTOR RULE The Uniform Prudent Investor Act (UPIA) (1995), adopted in some form by all 50 states, applies to the investment of private trust funds. The Prudent Investor Rule, which forms the core of the UPIA, also applies in other contexts, such as to guardians, conservators, executors of estates, trustees of charitable…
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Fiduciary Papers #11: Benchmarks for Comparing Investment Portfolio Strategies
Before choosing specific securities (stocks, bonds, mutual funds, etc.), a preliminary step in portfolio design is discerning the investment strategies that should be utilized. The choice of investment strategies, in turn, should be analyzed against a proper benchmark. At its very core, investing is either about owning a portion of companies (equity investing, or stocks),…
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Fiduciary Paper #10: Is Proper Tax-Efficient Portfolio Design and Management a Duty, and is it Scalable?
I have increasingly witnessed registered investment adviser (RIA) firms, as well as brokerage firms, generally disavow (often in their client services agreement) any duty to manage the investment portfolios of their clients tax-efficiently, often through a blanket statement that “tax advice is not provided.” This post seeks to ask, and generally answer, two questions: First,…