December 31, 2014

Ask Your Financial Guy Why Your Money Didn't Grow at 11% in 2014!

2014 is in the books.  How did your portfolio do compared to the indexes?  All three major indexes did pretty well and probably did too (if you didn't sell during one of the three major pullbacks).
These numbers do not include dividends.

DJIA 7.5%.
S&P 500 11.4%.
Nasdaq 13.4%.

I've said it a thousand times.  If you use a financial guy for advice, that's fine but do not expect to beat or even match the averages.  This is simply because he or she has to get paid.  And guess what, that is you.  Every quarter, your financial advisor takes money out of your account as a fee or your stockbroker takes commissions every transaction.  Either way, there is no free lunch and those fees and or commissions cut into your returns, period.

Now is the time to look at your statement to see how you did.  Let me know.

December 1, 2014

Santa Claus Rally?

The Santa Claus rally seems more like a gamble than an investment strategy.  Please read USA Today article and note that 94% of fund managers are trailing the simple S&P 500 index!