Gauging Against Benchmarks 101

Investment returns are generally compared against benchmarks to gauge performance. Yet, yesterday’s big gainer is rarely tomorrow’s winner, and comparison against a benchmark can do more harm than good. Whether its with indexing or individual equities setting up a plan, and ignoring the noise can be important for multiple reasons. A long term focus will … Read more

How Crypto Is Changing Banking

Crypto makes headlines readily, and I suspect this will occur for a long while as the asset is still in its young childhood, and hasn’t hit it’s full understanding.  A lot of it’s future comes with understanding where crypto currencies are in our society as a whole.   Today’s banking appears technologically advanced.  With the advent … Read more

Bitcoin Investcast

GWA Investcast 1.0 discussing Bitcoin and the digital currency revolution occuring. The digital coin acceptance is growing fast. Major institutions within the US are working with currency and governments are paying attention to it. This is a highly sophisticated new digital currency. Digital currency will change our banking future. Bitcoin and The Digital Currency Revolution … Read more

Upside Down Investing

Sometimes turning things upside down can give you a different perspective that you may not see otherwise.  With investing I’ll invert questions with regard to a business’s operations to see if it shows me something I may be missing.  I also sometimes turn charts upside down to see if it shows me something I may … Read more

Buyers, Sellers, and Traders

The other day, my son, who is twelve, was talking conceptually about traders buying or selling a stock.  In this case, he was referring to a share of Berkshire Hathaway A shares which trades over $370,000 per share as of this writing.  He was wondering how hard it would be for traders to sell a … Read more

Economy Charts 02-16-21

Here are a few economic charts that provide perspective on the economy and markets.  There are no surprises here.  The charts just affirm what’s happening.  Remember charts tell what has happened and not what is going to happen.  Most of these charts are available at longtermtrends.net. This first chart is the current liquid money supply … Read more

The 4 Hammers of Investing

An investor has four hammers in their tool box when investing.  These four hammers can transpire across many types of investments. The four hammers of investing are time, information, analytics, and diversification. When an investor understands the four hammers within investing it can make it much easier to decipher if the investor does have a … Read more

Vilfredo Pareto’s Discovery

Vilfredo Pareto, an Italian economist, civil engineer, and socialist, in 1906 made the observation that within Italy 80% of real estate was owned by 20% of the population.  Pareto discovered that this phenomena expanded beyond Italy’s borders occurring in neighboring countries as well.  In later years this research by Pareto was used by Joseph Juran … Read more

Index Investing’s Big 3

Index investing has been a hot topic for investors.  Most fund managers rarely beat their benchmark index, so investing with the index seems like the best route to take for those not interested in doing the investment research work.  Today, indexing has gotten so large that there are some concerns rising to the top that … Read more

90 Years and Bull Markets

Bull markets or long term upward price appreciation are the golden child.  They reflect the recoveries and expansions of the economic world.  Economic recoveries and growth push spending and investment forward and compound.  The simple act of spending and investing creates more of the same like that of an ant discovering a food source and … Read more