Investment Strategy
This article provides three diversified investment portfolios based entirely on index ETFs for passive, hands-off investors. Personally, I find that a combination of index funds and individual stock selections works best for me, and is what I often recommend. Between one-half and two-thirds of my net worth is in index funds while the rest is in … [Read more...]
Gold stocks, meaning companies that mine gold or finance gold production, are currently out of favor. That's why it's not a bad idea to add a little gold and/or gold stock exposure to your portfolio as a hedge while it's cheap in my opinion. This article takes a look at the role of gold stocks in a portfolio, and explains why there are four … [Read more...]
Micron Technology (MU) is a highly cyclical semiconductor company that produces dynamic random access memory (DRAM) and flash memory (NAND), and is working on emerging new memory technology as well. The stock recently fell from over $60/share to nearly $30/share, and is trading roughly at book value now. The company has a trailing … [Read more...]
Economic bubbles are weird because they seem so obvious in hindsight, and yet most people don't see them while they're happening. There's almost always one somewhere. When one deflates, the next one comes along like clockwork. The most educated and experienced among us all, those in the central banks, in the prestigious investment firms, in … [Read more...]
Asset allocation refers to the investment strategy of balancing risk and reward by determining what percentage of your portfolio or net worth to put into various asset classes. For most investors, a smart approach to asset allocation is a lot more important than individual stock selection. It's a key thing to get right, and an area where a lot … [Read more...]