You have a piece of paper and a bunch of blue and red pens. Start with a blue pen and write down all the positive integers in order by spelling them out correctly using the English alphabet: ONE, TWO, THREE, FOUR, etc. Use the red pen the first time you encounter the letter “C.” Assuming that it takes 10 seconds on average to spell out each integer, how long will it before you need the red pen?
All advisors have access to the same information, but those seeking an edge look to more unusual data points. Here are eight unconventional metrics they combine with more traditional sources of information to shape their financial outlook and take the temperature of the economy.
You may think introverts are shy, but you'd be wrong. Shyness has nothing to do with it. The smarter you can be in recognizing how to make introverted and extroverted clients comfortable, the more successful you'll be in getting referrals. Here are six common misconceptions about introverts.
Why do we make decisions that aren’t always in our own best interest? This group of articles from the Investments & Wealth Monitor takes a fascinating look at behavioral finance and behavioral portfolio management....More
Though high yield is often considered one category, its two components—high yield bonds and leveraged loans—perform differently in rising rate environments. Bonds pay the same rate of interest regardless of the risk-free rate—a feature attractive in low or declining rate environments. Leveraged loans are generally safer investments that are more senior in the capital structure, have lower volatility and provide floating interest rate exposure...More
With the wind at their backs, sprinters have broken speed records. Similarly, the tailwind of a bull market has boosted the fortunes of equity investors over the past five years. In both cases, the pace cannot be sustained over a long period of time. Look back no further than the past 10 years for confirmation of the market’s lack of endurance....More
There are over a hundred behavioral biases that investors can be subject to, leading to poor investment decisions. To educate your clients and help counsel them to more appropriate investment decisions, you need an understanding of the market and how investor biases take root....More
With many client portfolios barely outperforming the market, and many investors still driven by fear-based thinking and irrationality, advisors need effective strategies for portfolio construction now more than ever....More
Technology is a critical differentiator in today's digital age for running an efficient and effective practice. Those entrepreneurial financial advisors and wealth managers who are leveraging technology in their firms are creating better client experiences, improving cash flow, generating new revenue streams, and scaling their services....More