Read more about the article Play It Again, Steve – Timeless Financial Tips #5: Trust the Evidence

Play It Again, Steve – Timeless Financial Tips #5: Trust the Evidence

If I could, I would grant amazing investment returns to every investor across every market. Unfortunately, that’s just not how it works. In real life, we must aim toward our financial ideals, knowing we won’t hit the bullseye every time. That’s why I recommend evidence-based investing—or investing according to our best understanding of how markets have actually delivered available returns over time, versus how we wish they would. Our “best understanding” may still be imperfect, but it sure beats ignoring reality entirely. Let’s look at why evidence-based investing based luck-based investing…

Continue ReadingPlay It Again, Steve – Timeless Financial Tips #5: Trust the Evidence
Read more about the article Q&A: What should I do – or NOT do – during the next Bear Market? Maintain long-term investing mindset while waiting patiently for market recovery

Q&A: What should I do – or NOT do – during the next Bear Market? Maintain long-term investing mindset while waiting patiently for market recovery

As we are revisiting and updating this piece in early February 2022, we are starting to see some volatility in bond and stock markets. Not surprising given the strong equity returns over the past 18 months and the fact that most central banks have stated publicly that they will be raising interest rates to tackle inflation. Before we get into any specifics about what one should or shouldn’t’ do during a bear market, I think it is very important to define exactly what sort of investor you are. Remember, our investment advice is aimed at helping you successfully complete your long-term, multi-generational financial journey. So, if you are a long-term, patient, multi-generational investor then read on so you can get some tips on how you can weather any market storm while you persevere and wait for the inevitable recovery. If you are a short-term trader, then you probably won’t find these pointers helpful. So, let's look back at my thoughts from April 2018…

Continue ReadingQ&A: What should I do – or NOT do – during the next Bear Market? Maintain long-term investing mindset while waiting patiently for market recovery