ICYMI: Should You Diversify or Concentrate?
Whether to diversify or concentrate your portfolio to build wealth is one of the more challenging investment questions. Thankfully, I found the answer playing fantasy basketball.
What’s a Safe Retirement Spending Rate for 2025? by Morningstar
Morningstar used current equity valuations and bond yields to determine that the highest starting safe withdrawal rate for a retiree for the next 30 years is 3.7%. There are strategies to increase this number, which they discuss, and it’s important to point out that this number fluctuates based on what they think future expected returns will be so a long-term rule like the 4% rule isn’t necessarily contradicted by this.
Now You Can Avoid Taxes Like the Rich and Famous by The Wall Street Journal
Tax-savings approaches like direct indexing to harvest losses and algorithmic tax-loss selling are becoming more accessible to individual investors.
Three observations about uncertainty in the markets ???? by TKer
They say markets don’t like uncertainty. Sam points out that if we’re worried about it, it’s already priced into the markets, some risks are more priced in than others given concern levels, and what people aren’t worried about can cause the most volatility.
Why This Frothy Market Has Me Scared by The Wall Street Journal
This article’s timing is interesting, since we had a big down day today. But in general (and I’ve written about this before), when investors are wildly optimistic, it is much harder for the market to rise and much easier for it to fall on any hint that they might be wrong.
Third Straight Drop for Industrial Production in November by Wells Fargo
The hoped for increase in capex spending by corporations hasn’t arrived and policy uncertainty (tariffs in particular) are potentially setting up 2025 for another year where we don’t see the increase.
Sharing the Best of 2024 by Heritage Financial
Your actions have spoken! In case you missed them, we are recapping our most popular articles and podcast episodes over the past year, including retirement success and realities, credit cards, how to keep more of your hard-earned dollars, and more.
Book Recommendation
The Nvidia Way by Tae Kim
A deeply reported business history of the chip-designer Nvidia―from its founding in 1993 to its recent emergence as one of the most valuable corporations in the world―explaining how the company’s culture, overseen by cofounder and CEO Jensen Huang, has powered its incredible success.
Boston Corner
‘Nowhere to hide:’ Housing costs keep climbing in all corners of New England by Federal Reserve Bank of Boston
Prices have along been rising faster than incomes in the Boston area, but after the pandemic began people began driving prices higher around New England and not just near job centers. Since March 2020, home values in every New England State are up by more than the national average. It’s the same story with rents.
