Zen Buddhism has a concept called mujo, or impermanence – constant change. It is in fact the only constant that investors can rely on. Change is, and always has been inevitable. As investors, we have to accept and accommodate change, understanding that we...
Table Stakes In 1999, at the height of the last technology-telecom-media bubble, the Nasdaq index rose by 84%. By comparison, the Russell Large Cap Value index returned 6.7% while Warren Buffett’s Berkshire Hathaway actually declined by 25%. Following that year, where...
Legend has it that long ago in India, there lived a Raja who believed that he was wise and fair. He wasn’t. Every year he kept nearly all of the people’s rice for himself. Then when famine came, the Raja refused to share the rice, and his people went hungry....
Look closely at the graph below. The grey bars are the annual stock market returns since 1980. The red dots are the mid-year (and transitory) sell-offs. There is a red dot associated with every single year. Yes, even as stocks usually have full-year positive returns,...
The financial and economic world has changed. The US economy and the financial markets are now in a new paradigm where fiscal policies (money creation and government spending), rather than monetary policies (managing the level of interest rates) affect and drive...
