I'm asked periodically what I think of "market timing" or "active management" versus a straight buy and hold philosophy.

My first response is usually to ask for a definition of those terms.  While it may be obvious to the person asking the question, if you ask 3 people you'll get 3 different answers.

In this week's video, I propose some definitions, but also share that while I think active management is preferable over your traditional buy & hold, market timing is great in theory but hard to execute in the real world.

Click to watch my video. 

2012 04 25 - Active Management - Market Timing

 

If you've ever had the unpleasant task of putting a loved ones affairs in order after their death, then you've probably thought "I wish they'd done this or that to make things easier.  If only they'd known!"

Well, now is the chance for you to do something different with your estate.

This article is a pretty good list of things you can start today

1.  Physical Items Inventory
2.  Non-Physical items Inventory
3.  Credit Cards and Debts List
4.  ...........

Click for the Full Article

 

Estate Planning - 16 Things to Do Before You Die 

Defeating the Myth You Must Win on Every Trade  

If you've been following my newsletters over the years, you know I believe in diversification and that one of the key ingredients to reaching your goals is to avoid catastrophic financial events.

It's important to note, as the table above illustrates, that not every investment has to make money.  Limiting the size and number of the losses is important, and if avoiding any kind of loss at any time is your strategy, then you'll always be on the sidelines.

Risk management is key, and with that it is understanding some investments will do different things at different times, and not all will be winners in each time frame.  Keeping your eye on both winners and losers and replacing them when necessary is a standard ingredient in prudent portfolio management.

Boulder, CO Housing