The Seesaw of Finance
There are parallels between concepts in finance and concepts in physics. Let's take a look.
There are parallels between concepts in finance and concepts in physics. Let's take a look.
How Do Treasuries Lose Money? US Treasury bonds are generally regarded as safe. Sometimes they’re referred to as “risk-free” assets. This is a bit of a misnomer.
Increasing interest rates have many effects, not only on the economy, but also on stocks. Given the recent rally, we wanted to highlight that rising rates do not always mean that stocks will go down. While the stock market is not making new all-time highs just yet, the market has been resilient to a regime thought to be a drag on the markets.
Fitch, downgraded US government debt from its pristine AAA rating to one notch lower at AA+. The Fitch downgrade serves as a reminder of the necessity of diversification, as no investment is entirely risk-free.
In investing, a key consideration is the time horizon. There is a general perception that investing is a risky proposition, but this risk can be mitigated by holding investments for longer periods.
"Why would anyone buy a 5-year bond at 3.5% when you could get a 1-year bond at 4%?"
"Why don't I put all my money in a 4-month T-bill and make 4.9%?"
It's natural to sit down at the end of the year and reflect on what happened. Here is a short recap of what happened in the markets and the world in 2022.
For anyone invested right now, it feels like we’re sinking. But just as boats have lifejackets to keep you afloat, your financial life should have its own lifejackets in place to help keep you from sinking in bear market times like these.
Since the beginning of 2020, checkable deposits have quadrupled, giving consumers the ability to continue spending and withstand increased prices. What does this mean for inflation and prices in the future?
There are parallels between concepts in finance and concepts in physics. Let's take a look.
How Do Treasuries Lose Money? US Treasury bonds are generally regarded as safe. Sometimes they’re referred to as “risk-free” assets. This is a bit of a misnomer.
Increasing interest rates have many effects, not only on the economy, but also on stocks. Given the recent rally, we wanted to highlight that rising rates do not always mean that stocks will go down. While the stock market is not making new all-time highs just yet, the market has been resilient to a regime thought to be a drag on the markets.
Fitch, downgraded US government debt from its pristine AAA rating to one notch lower at AA+. The Fitch downgrade serves as a reminder of the necessity of diversification, as no investment is entirely risk-free.
In investing, a key consideration is the time horizon. There is a general perception that investing is a risky proposition, but this risk can be mitigated by holding investments for longer periods.
"Why would anyone buy a 5-year bond at 3.5% when you could get a 1-year bond at 4%?"
"Why don't I put all my money in a 4-month T-bill and make 4.9%?"
It's natural to sit down at the end of the year and reflect on what happened. Here is a short recap of what happened in the markets and the world in 2022.
For anyone invested right now, it feels like we’re sinking. But just as boats have lifejackets to keep you afloat, your financial life should have its own lifejackets in place to help keep you from sinking in bear market times like these.
Since the beginning of 2020, checkable deposits have quadrupled, giving consumers the ability to continue spending and withstand increased prices. What does this mean for inflation and prices in the future?
Investors are always on the lookout, it seems, for new and profitable ways to help make their dollars work for them. One that has come up quite often on our clients’ radars recently is Series I Bonds (or just I Bonds).
Are you feeling the pain at the pump? What is driving oil prices higher?
You know the old saying, “What goes up must come down.” Currently everything seems to be going up at the same time.