Financially Speaking Blog

The Art of Assessing Risk Tolerance

August 14, 2013

Measuring risk of an investment is mathematical.  Measuring the risk tolerance of a human is art and experience. The biggest challenge of selling investment advice is the determination of a client’s risk tolerance.  Financial advisors...

"No Hiding Place? Unpleasesent thought: If Bonds revert to trend, bondholders will get hammered."

July 5, 2013

One of the most profound business decisions I made for my practice was to ‘go paperless’.  It took quite an investment in technology and cultural change to make that work, but the payoff has been worth it.  Before that time I...

Yogurt, Apples and Banana Splits

May 10, 2013

  The first TCBY Yogurt store I ever saw was in a shopping center on Rodney Parham Road in Little Rock.  It was on my way home after work and can remember the line of customers flowing out the front door and down the sidewalk.  “What...

Andy Hardy's Home Mortgage

February 26, 2013

For some reason I am fascinated by the way things used to be in contrast to how things are today.  When was the last time you watched an Andy Hardy movie?  Life in the 1940s seems so simple and less stressful.  I don’t know for...

The Perils of Extrapolation

February 7, 2013

Several years ago, I spoke to a group in Jonesboro on “Five Financial Mistakes Smart People Make”.   One of the points I made was the mistake of extrapolating current trends into long-term trends.  An example I gave related...

Archives

Tags

basic fiduciary principals behaviorial economics; investment decisions don't panic Dow Jones European Union Federal Reserve financial advisors; giving investment advice financial information technology global stock market; global economy insurance agent interest rates investing Investing 101 investing in 401(k) plans investment decisions; hiring financial advisors; behavioral economics investment predictions; investor decisions investments investor fears market forcasters mutual fund fees objective financial advice risk tolerance stay calm stock market stock market corrections stock market volatility Stock market worry technology; personal technology volatility

RSS Feed

Subscribe by Email

Enter your email address:

Delivered by FeedBurner

Sign Up for Our E-News

* indicates required