When you discover you have more money than time, you should stop pursuing money and focus on getting the most out of your time.
NO. 18: SUSTAINED happiness lies not in winning the approval of others—by collecting promotions and status symbols—but in devoting our days to activities we’re personally passionate about.
NO. 17: IT’S OBVIOUS—in retrospect. Looking back, we forget about all the financial uncertainty that existed at the time. Instead, what happened in the economy and the financial markets seems all too predictable. This so-called hindsight bias encourages us to act on today’s investment forecasts and it could lead us to make overly bold financial bets.
INSTINCTS. Our brain’s instinctual side makes most decisions. That’s usually a plus: It tells us to jump out of the way, even before we’re fully aware of the speeding car. But our instincts can also lead us to overspend and to panic when markets tumble. Making money decisions? Try pausing, so your brain’s slower-moving, contemplative side can weigh in.
AUTOMATE YOUR bill paying. That way, you’ll avoid late payments—crucial to maintaining a good credit score. The downside: You need to be vigilant about keeping enough in your bank account, so you don’t trigger fees for overdrafts or insufficient funds. This is a particular concern with credit card bills, which can vary so much from one month to the next.
NO. 18: SUSTAINED happiness lies not in winning the approval of others—by collecting promotions and status symbols—but in devoting our days to activities we’re personally passionate about.
FINANCIAL MARKETS had a lot to digest in recent days: Retail analysts are keeping a close eye on holiday spending, economists got their latest dose of employment data—and traders are coming to grips with the current bout of volatility.
The VIX, the S&P 500 Volatility Index or “fear gauge,” surged above 30 on Friday. That was the highest end-of-week close since January. For perspective, the VIX climbed to 80 during 2020’s COVID-19 stock market crash.
AS OF YESTERDAY’S market close, the S&P 500 was down 25% from year-end 2019 and off 29% from Feb. 19’s all-time high. Worse yet, interest rates are near zero, with the 10-year Treasury note yielding a paltry 1.15%. In a few short weeks, the markets have turned from euphoric to disastrous—and there seems to be no end in sight.
At age 43, I consider myself fairly young. But as I watch the markets, what’s been most surprising to me is how many times I’ve seen this situation before.
WE CAN VIEW INVESTING as an argument between two competing opinions: What we think an investment ought to be worth—and what the market currently says. It’s an argument the market usually wins.
While we can be highly confident what, say, a certificate of deposit or a Treasury note is worth, it’s much harder to put a value on stocks, gold, high-yield junk bonds and other riskier investments (and, I’d argue, all but impossible with bitcoin).
IN THE WEEK SINCE Silicon Valley Bank (SVB) failed, a debate has raged: Did the government do the right thing when it decided to guarantee all of SVB’s depositors, including those that exceeded FDIC limits?
On one side of this debate are those who view the government’s action as an inappropriate and undeserved bailout. In an article titled “You Should Be Outraged About Silicon Valley Bank,” The Atlantic argued that the bank’s failure was the predictable result of incompetent risk management.
I HEAR SO MANY compelling investment arguments. That U.S. stocks are destined to generate lackluster returns because valuations are so rich. That there’s no need to own foreign stocks because you get enough international exposure with U.S. multinationals. That interest rates have nowhere to go but up.
And yet U.S. stocks keep clocking gains, U.S. and foreign shares often generate radically different annual results, and interest rates show no signs of heading significantly higher.
401k participants want annuities – some form of guarantee – RDQ
It’s The Little Things That Scare Me Now by Dennis Friedman
Missouri Eliminating Capital Gains Tax on Stocks
Sad news about T. V. Narayanan, a writer for HD
The Victim Might Be You
The current state of Social Security and something to consider in your planning.
Getting Back into the Market Now
Our Chosen Road
Kenyon Sayler | Apr 12, 2022
Ignore Valuations? By Jonathan Clements
The Silent Compounding Cost of a 1% Fee
Ch-Ch-Changes?
Bengen’s updated 4 pct rule