The Market is Calmer than it Seems

Last year’s Brexit vote and presidential election results upset the stock market apple cart, giving hope to hedge fund managers and mutual fund stock pickers who claim that underperformance has been partly because “stocks have moved in lockstep.” However, according to an article in last week’s Wall Street Journal, the argument doesn’t really hold water. […]

Low Volatility Makes Chasing Yield Risky

In the current low-volatility, low-yield environment, investors are attempting to recoup lost revenue by betting that things will stay calm. This according to a recent article in The Wall Street Journal that says investors are “desperate to sell insurance” in the form of options to earn whatever premiums they can. Buyers of options insulate themselves […]

Your Emotions and the Stock Market

A critical element in successful investing is “how you react to feelings of both discomfort during the market’s fear cycle and invincibility when markets are booming,” writes Marty Leclerc earlier this month for Forbes. During periods when share prices drop, he says, data shows that most investors want to end the discomfort, which is the […]

Remember Ritholtz’s Advice During Next Market Sell-Off

“Something bad happens somewhere, and markets are unhinged. Once the noise subsides and the markets settles down, everyone wonders what the heck just happened,” writes Barry Ritholtz, chief investment officer of Ritholtz Wealth Management and columnist for The Washington Post. He references the Brexit vote and why it, or other macro events, shouldn’t affect your […]