December 2024 - Why Bonds? A Three-Part Series on Fixed-Income Investing
December 17, 2024
Dear Investors and Friends, This month, we begin a three-part series designed to explore the fundamentals of fixed-income investing. Today’s letter, Why Bonds, lays the groundwork by addressing their role in balancing risk and reward in a portfolio. Future letters will cover What Bond …
November 2024 - Give Smart: The Case for Donating Appreciated Stock
November 19, 2024
Dear Investors and Friends, In our newsletters, we typically focus on fixed income products, investment strategies, market outlooks, and managing risk effectively. However, with the season of giving upon us, we’re taking a slight departure to discuss an opportunity that can benefit bo …
October 2024 - Rates Have Fallen, But Have Yields?
October 22, 2024
Dear Investors and Friends, As we reflect on the Federal Reserve’s latest decision, which saw a 50-basis point cut to the Fed Funds rate, it is clear the market largely anticipated this move. However, while many have assumed this means interest rates have broadly declined, the reality …
September 2024 - Is It Time to Extend Duration?
September 17, 2024
Dear Investors and Friends, As the Federal Reserve meets today, it is widely expected that, after 11 rate hikes between March 2022 and July 2023, we may be approaching a turning point. In his recent remarks at Jackson Hole, Fed Chair Powell stated, "[t]he time has come for policy to a …
August 2024 - The Dangers of Following the Herd in Fixed Income Investing
August 28, 2024
Dear Investors and Friends, In the world of investing, there’s often a temptation to follow the crowd, especially when it comes to popular funds. The Vanguard Total Bond Market Fund, the largest bond fund available with approximately $300 Billion in assets, is a prime example. With it …
July 2024 - Outperforming the Bond Market
July 23, 2024
Dear Investors and Friends, Every month Mike and I put out a newsletter where we try to inform our readers not only about financial topics that are timely and relevant but also endeavor to provide our perspective on those topics and how that perspective informs our investment decision …
June 2024 - Not All Returns Are Created Equal: Taxes, Time and After-Tax Returns
June 25, 2024
Dear Investors and Friends, The impact of taxes on portfolio performance is an important but not exclusive consideration when making investment decisions. Unfortunately, like so much else that we see when clients bring us their current portfolios for analysis, their existing advisors …
May 2024 - Active vs. Passive Investing
May 29, 2024
Dear Investors and Friends, As we navigate the complexities of the financial markets, Mike and I want to share insights from two highly respected studies that shed light on the ongoing debate between active and passive investing strategies: the S&P SPIVA (S&P Indices Versus Ac …
April 2024 - The Pitfalls of Money Market Funds: A Case for US Treasuries
April 24, 2024
Dear Investors and Friends, One of the most pressing inquiries we encounter is the question of whether money market funds harbor risks. While it's true that investors have historically not experienced significant losses in such funds in the United States, it would be remiss to assume …
March 2024 - Navigating Market Timing and Fear-Driven Selling
March 26, 2024
Dear Investors and Friends, In the complex world of investing, one of the most prevalent and costly errors individuals make is succumbing to the allure of market timing and allowing fear to steer their decisions. A recent Morningstar report (the full report can be found by clicking he …