Year-End 2012 SPIVA Scorecard in
Passive investors have some new ammo with the YEAR-END 2012 SPIVA Scorecard. This keeps track of the percentage of U.S. Mutual Funds that are outperformed by their respective benchmarks. Out of all the U.S. Equity funds, 66.08% were beaten by the index.
Boomer Balance Sheets a Mess
Morningstar has a great article summarizing a study by the AARP Public Policy Institute with research based on the Federal Reserve Survey of Consumer Finances.
Great Fund Bad Investor
One of our core beliefs is that market timing is mostly counterproductive. Although some market timing is based on strategy, fear and greed rule the hearts and minds of most investors. Because of this, investors, even professional ones, can under-perform the actual funds they are invested in.* This is called the Behavior Gap.
Essential Math for All Investors
Great video for basic math concepts relating to investing!
Charleston Financial Advisors, LLC on News Channel 4
Our own William C. Prewitt, M.S. CFP® talks to Eric Egan at News 4 about the fiscal cliff here.
Passive Investing: The Evidence
This 54 minute video PASSIVE INVESTING: The Evidence (© sensibleinvesting.tv) offers a great explanation of the virtues and rewards of passive investing. Enjoy!
An Old Quote
An old quote from an old favorite: Benjamin Graham's "The Intelligent Investor."
Small Changes, Big Difference
There are primarily two factors which determine how much wealth you will have by the time you reach your golden years: your savings rate and your return. All accumulators should be aware of their savings rate and the implications of small changes. Here is a link to a calculator which shows just that:
Market Shocks and Long-Term Performance
Here's a great video from David Booth, CEO of DImensional Fund Advisors, about long-term discipline and current market sentiment.
Fee-Based v. Fee-Only
Good Morningstar article about fee-based v. fee-only advisors: