The Randomness of Global Equity ReturnsJune 20, 2019
Investment opportunities exist all around the globe. Across more than 40 countries, there are over 15,000 publicly traded companies.1 If you listen to the news, however, some countries may seem like better places to invest than others based on how their economies and stock markets are doing at the time. Fluctuations in performance from year to year only add to the complexity, providing little useful information about future returns.
Midterm Elections—What Do They Mean for Markets?November 5, 2018
For the upcoming midterms, commentators are likely to offer opinions on who will win and what impact the vote will have on markets. Looking at returns since 1926 shows that months when midterm elections took place did not tend to have returns that different than any other month.
The ABC's of Education InvestingSeptember 24, 2018
With school back in session, many parents are likely thinking about how best to prepare for their children’s future college expenses. Now is a good time to sharpen one’s pencil for a few important lessons before heading back into the investing classroom to tackle the issue.
The Impact of InflationJuly 27, 2018
This erosion of the real purchasing power of wealth is called inflation. Inflation is an important element of investing. In many cases, the reason for saving today is to support future spending. Therefore, keeping pace with inflation is a crucial goal for many investors. To help understand inflation’s impact on purchasing power, consider the following illustration of the effects of inflation over time.
Tuning Out The NoiseJune 19, 2018
For investors, it can be easy to feel overwhelmed by the relentless stream of news about markets. Being bombarded with data and headlines presented as impactful to your financial well-being can evoke strong emotional responses from even the most experienced investors.
Reminder: Market Volatility Is Normal & ExpectedJune 5, 2018
While it may be difficult to remain calm during a substantial market decline, it is important to remember that volatility is a normal part of investing.
Home Bias and Global DiversificationFebruary 7, 2018
Every day we enjoy the benefits of an interconnected world. We might start our day with a cup of coffee that originated in South America, check our email on a smartphone designed in California and manufactured in Taiwan, then shower and change into clothes woven from Egyptian fabrics before driving a German-made car or riding in a French-built train to work.
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Tips For Preventing FraudNovember 21, 2017
Cybercrime and fraud are serious threats and constant vigilance is key. While TDC Investment Advisory plays an important role in helping protect your assets, you can also take action to protect yourself and help secure your information. This checklist summarizes common cyber fraud tactics, along with tips and best practices. Many suggestions may be things you’re doing now, while others may be new. We also cover actions to take if you suspect that your personal information has...
TDC Issue Briefs: Lessons for the Next CrisisSeptember 27, 2017
It will soon be the 10-year anniversary of when, in early October 2007, the S&P 500 Index hit what was its highest point before losing more than half its value over the next year and a half during the global financial crisis.
Over the coming weeks and months, as other anniversaries of major crisis-related events pass (for example, 10 years since the bank run on Northern Rock or 10 years...
TDC Issue Briefs: Quit Monkeying Around!August 23, 2017
In the world of investment management there is an oft-discussed idea that blindfolded monkeys throwing darts at pages of stock listings can select portfolios that will do just as well, if not better, than both the market and the average portfolio constructed by professional money managers. If this is true, why might it be the case?
THE DART BOARD
Exhibit 1 shows the components of the Russell 3000 Index (regarded...
TDC Issue Briefs: The Uncertainty ParadoxJuly 12, 2017
“The market hates uncertainty” has been a common enough saying in recent years, but how logical is it? There are many different aspects to uncertainty, some that can be measured and some that cannot. Uncertainty is an unchangeable condition of existence. As individuals, we can feel more or less uncertain, but that is a distinctly human phenomenon. Rather than ebbing and flowing with investor sentiment, uncertainty is an inherent and...
TDC Issue Briefs: School is in SessionMay 31, 2017
With the school year nearing its end, and summer break on the horizon, many are likely thinking about how best to prepare for their children’s and/or grandchildren’s college expenses now that they are one year closer to college life.
Now is a good time to sharpen one’s pencil for a few important lessons heading into the summer to help tackle the issue.
THE CALCULUS OF PLANNING FOR FUTURE COLLEGE..