Expected returns: a review of 2019 and looking ahead to the 2020s
Each year large Wall Street firms post their expected returns for the next decade. A year ago, we saw the following forecasts: * Denotes a seven-year forecast The biggest thing that stands out here is the poor performance expected by U.S. Equities. Despite 93 years of annualized returns in excess of 9.5%, the best research […]
Putting the national debt in context for investors
The following article by Ethan Gilbert was recently published on Jim Cramer’s website, “TheStreet”, in their retirement section. Ethan began being a guest contributor in 2019. With recent headlines around the increasing national debt, our firm has had clients reach out to ask if they owned Treasuries and if the national debt is something that […]
Three upside-down investment insights
Often, all you need to be an excellent investor is a healthy dose of common sense: A penny saved is a penny earned. Buy low, sell high. Don’t put all your eggs in one basket. That said, the best way to achieve these simple goals isn’t always as obvious. In fact, many of our favorite […]
You, your investments, and the coronavirus
Although we believe it is reasonable to say that few of us know much (if anything at all) about the Coronavirus, it has quickly grabbed global headlines. As the viral news has spread, so too has financial uncertainty. What’s going to happen next? Will it infect our economy? So far, U.S. markets have remained relatively […]
Changes to retirement rules – implications of the SECURE Act
The SECURE Act was passed last month as part of a larger government spending bill. The new law is wide ranging, affecting retirees, heirs, those with 401(k)s, and 529 holders. The following are the most impactful sections of the new law. New Rules on Inherited IRAs IRAs inherited from people who die after 1/1/2020 can […]
Market commentary – January 2020
Stock Markets Stocks were up nicely this quarter except for Real Estate Investment Trusts (REIT) which is quite a turnaround from last year’s fourth quarter. The one-year numbers including REITs, are well above what it is reasonable to expect over the long run but are necessary from time to time to make up for the […]
Reassessing volatility
2018 was a less pleasant time to be an investor. In the four trading days leading up to last Christmas, the market dropped 7.7%, capping off what was a nerve-racking year for investors. But when we delved deeper, we found that 2018’s volatility wasn’t that unusual. One measure of market volatility is looking at the […]
Rockbridge names Chief Executive Officer (CEO)
You may spot the good news in the press sometime soon, but we wanted you to be among the first to hear it, straight from us! Please join us in congratulating Patrick Rohe, CFP® as we name him Chief Executive Officer of Rockbridge Investment Management. Why the change? It’s an opportunity to recognize Patrick for […]
Active vs. passive fund management
Every six months, Morningstar releases their “Active/Passive Barometer.” We feel Morningstar is a good source of data as they tend to be unbiased. While Vanguard or Dimensional Fund Advisors will always tell you passive is better, and active fund managers will always mine data that trumpets the benefits of active management, Morningstar is close to […]
What happens when you fail at market timing
Trying to time the market is nearly impossible; there is no way to predict when the market is going to perform well and above what we expect it to. However, by buying and holding a low-cost, globally diversified portfolio, we know that we will not miss out on the returns of the top performing days […]