Featured post
Bitcoin is not an investment — I’m glad I sold it
By JONATHAN HOLLOW Fidelity, the US investment powerhouse, has announced that people saving for their retirement in 401(k) accounts will be able to buy and save in Bitcoin. The custody fee will be high: at least 75 basis points, or 0.75%. Part of me thinks that if people are going to...
More evidence that alpha generation is shrinking
By LARRY SWEDROE For investors in actively managed funds, the holy grail is finding the fund manager who will in the future be able to exploit market mispricings — buying undervalued stocks and perhaps shorting those that are overvalued. While...
Low returns ahead: the harsh reality investors face
By ROBIN POWELL Equity investing is very hard for pessimists. You have to be an optimist to some degree to put money in the stock market at all. You need to have faith in human enterprise and resilience. You have...
Every investor should think in terms of odds
By JOE WIGGINS Last week I stumbled upon an old Grantland article by David Hill entitled Can’t Knock the Hustle. It is a fascinating examination of the two faces of competitive pool in the US. On one side was the...
SPACs evolving, becoming even worse investments
By LARRY SWEDROE My May 7, 2021, article for The Evidence-Based Investor, Spac or Spam?, warned investors about investing in special purpose acquisition companies (SPACs). It presented the evidence demonstrating that SPACs were highly likely to be losing propositions to...
Overpaying to invest can cost you a third of your returns
By ROBIN POWELL Overpaying for anything is a bad idea. But that’s especially the case with investing. Paying unnecessary fees and charges could reduce your eventual returns by a third or more. Expressed as percentages, asset management fees seem small....
What if you could predict the future?
The pre-mortem is a behavioural technique that can help investors imagine what might happen in future.
