Blog Entries - 2014

Why People Invest Using Underperforming Strategies

Posted on: December 3, 2014 10:00 am
Tags: Investment performance, Academic evidence, Portfolio mri, High fees

Why it’s Rational for Investors to Rely on Active Investment Management Despite a History of Underperformance.

A quick refresher:

Active Management focuses on profiting by the buying and selling of mispriced investments. The goal is to beat the market with the same or lower level of risk.

Passive Management acknowledges most managers fail to beat the market with the same or lower level of risk. The goal here is to replicate the markets in whole or part through the use of index funds.

For me, this article by 

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5 401(k) Traps That Can Damage Your Retirement and What You Can Do About It

Posted on: November 21, 2014 10:00 am
Tags: 401k traps, Improve my 401k

In 1980, Ted Benna, an employee benefits consultant, started the first known 401(k) plan at his own employer, The Johnson Companies. Ted found an obscure provision written into law in 1978 enabling companies to help their employees save on a pre-tax basis for retirement. Over time, companies found 401(k) Plans to be

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Market Crashing? Are You Prepared?

Posted on: September 26, 2014 10:00 am
Tags: Market crash, Prudent investing

What to do NOW to Prepare for the Next Market Crash Everyone has his or her own definition of a crash. At Diem Wealth we define a crash as ‘a sudden dramatic decline of stock prices across a significant cross section of the stock market of 20% or more’. Since 1926 the S&P 500 has experienced 26 drops of 20% or more. 7 of these 26 drops were 30% or more. During the same period there have been 64 up years for an average return of 21.67% and 24 down years for an average return of

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Why Not Gold?

Posted on: September 20, 2014 12:00 pm
Tags: Gold, Commodities,

I AM A BULLY!

Or maybe not…

We as a society have been rightfully taught that one should never pick on anyone who is incapable of intellectual self-defense. Only a bully would do that. We also assume that we all are striving to be of an ethical sort. One who wants to serve society in their own way to make it better for whomever they touch.

For this post my bullying guilt lies in my brazen attack on those...

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Choose Your Investment Philosophy Wisely

When you constructed your investment portfolio you invariably followed one of three schools of thought. Active Management, Passive Management and a Passive variant called Structured Portfolio served as the main contenders for your money.

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