The Ups & Downs of Diversification

2014 and the first month of 2015 have told two different tales of the ups and downs of diversification.  In 2014, U.S. large company performance was strong, but dragged down by poor performance in international and emerging market companies.  So far this year, the opposite is true, with emerging markets and international companies slightly outperforming their American counterparts. In any given moment or time frame, even those of a decade or more, it can sometimes be difficult to “feel” the benefits of diversification.  This week, we turn to two recent blogs to help explain.  The… [read more]
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TAAG’s 2015 Investment Outlook

At the beginning of each year, we’re inundated with economic outlooks and projections for financial markets.  Virtually everyone discusses what they read, what they saw on TV, and how ‘their guy’ told them to reposition their portfolio to benefit from what’s ahead. Our inner drive to determine what’s about to happen and prepare for it were essential for our ancestor’s survival.  While we no longer have to worry about being eaten by a predator, our need to know the future is still hardwired in us.  And when it comes to our money, that drive has… [read more]
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Another Fad Bites the Dust…Again

Popular in the 1980s before regulations limited some benefits, Master Limited Partnerships (MLPs) fell out of favor in the 1990s as multiple brokerage houses lost settlements to investors who sued claiming they were misled as to the risk of the investment. By 2009, decade long poor performance by large U.S. companies, rock bottom interest rates and surging energy prices made for perfect timing in marketing MLPs.  Ever since, the search for higher yield without additional risk has been a common, but misguided theme for investors. What was it that George Santayana famously said about those… [read more]
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Is Your “Check Nest Egg” Light On?

The first thing you need to know about me is that I know absolutely nothing about cars.  Well, ok – I know how to drive a car, a stick shift at that, but for me a car is simply a way to get from A to B.  I can’t tell a Tesla from a Toyota and when it comes to maintaining a car, I’m really in the dark.  So, when little orange lights come on indicating that I need…something, I get a twinge of anxiety. This happened recently when the maintenance light came on reminding… [read more]
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