Don’t Force Decisions; Just Back Off and Adjust. Or Go for a Walk
I love rock climbing. Looking from the ground up, it seems almost impossible for climbers to balance themselves and find handholds where none seem to exist. And sure enough, even the most talented climbers can end up getting stuck on...
Looking Inward to Determine Your Financial Values
By Carl Richards I’ve been surprised by a lot of things as a financial adviser. One of the biggest surprises has ended up playing a critical role in my development: the process of self-examination. It has mattered both professionally and...
What is the difference between a bond’s coupon rate and yield to maturity?
Quick Take on Fixed Income April 2015 Q: What is the difference between a bond’s coupon rate and yield to maturity? A: The coupon rate tells you the annual amount of interest paid by a fixed income security. For example,...
How Much Are You Paying for Your Size and Value Tilt?
It’s becoming clear that the price for overall U.S. equity market exposure is close to zero. Many market-cap weighted index funds and exchange-traded funds from Vanguard and others are charging expense ratios of five basis points (bps) or less. An...
Money Talk: A Lifetime of Learning
As a regular contributor to The New York Times and the author of two books, Carl Richards knows the value of a good story. Here’s one he loves. It comes courtesy of Ron Lieber’s new book, The Opposite of Spoiled....
Simple Financial Solutions Often Beat the Complex Ones
“Can it really be that simple?” Over my career, I’ve heard these words from so many people. Clients, friends and family all just assumed that the process of financial planning needed to be complex. This assumption doesn’t surprise me. The...
What is prime broker?
Quick Take on Fixed Income April 2015 Q: What is prime broker? A: A prime broker essentially allows clients to trade through an omnibus account at the various custodians. Trading through such an account allows clients to remain anonymous, not...
Three Ways to Write Your Own Story, Like Baseball’s Daniel Norris
Yesterday, a bearded 21-year-old surfer who lives in a 1978 VW bus, and on a self-imposed annual allowance of $10,000, mowed down my beloved Orioles with a 96-mile-per-hour fastball. Blue Jays pitcher Daniel Norris isn’t striving to make a statement...
What is the difference between the new issue and the secondary municipal bond market?
Quick Take on Fixed Income April 2015 Q: What is the difference between the new issue and the secondary municipal bond market? A: Essentially, there is little difference between the two markets. Their structure is identical in terms of credit...
Comparing DFA Small Value to Vanguard Small Value
Over the past few months, the difference in historical performance between DFA Small Value (ticker: DFSVX) and Vanguard Small Value (VISVX) has narrowed. For example, for the 10-year period ending December 2014, the compound annual return of DFSVX was 7.9...
