Hi Reader, The U.S. stock market just hit another all-time high. Every time this occurs, many investors inevitably assume that a decline must be around the corner. However, this belief stands in complete opposition to the entirety of our investing lives. In today's email: S&P 500 Price History Frequency of market corrections Risks of all-time highs (short and long-term) Let's dive in. It doesn't matter if you're still working or already taking RMDs. If you want to reduce taxes and improve...
8 days ago • 2 min read
Hi Reader, We are officially halfway through 2024. 🎉 To celebrate, in today's email, I'm sharing some updates and commentary on: The State of Consumers The State of Companies The State of Investing I'm also sharing two reasons investors should remain optimistic. Let's dive in. 👇 The State of Consumers 1. Household Net Worth Is at All-Time Highs After rising by more than $12 trillion in 2023, household net worth growth continued its torrid pace in the first quarter of 2024 (this is the most...
16 days ago • 5 min read
Hi Reader, Happy 4th of July! When this email hits your inbox, I'll be drinking cervezas shirley temples on the beach in Mexico with the family. It's not the most patriotic way to celebrate, but I won't say no to warm weather, tacos, and surfing with the kids. Mexico, 2023 Thank you for continuing to read and support my work. I appreciate you, and I hope you have a great holiday! Stay safe, and wealthy. 😊 ~Taylor Concentration Risk When negative news is scarce, the media often manufactures...
23 days ago • 2 min read
Hi Reader, In the book The Geometry of Wealth, author Brian Portnoy defined wealth as "funded contentment." He further clarified this term to mean: "The ability to underwrite a meaningful life." I think this is an excellent definition of wealth. Without meaning or purpose, our money is mostly directionless. Without money, the pursuit of meaning and purpose is nearly impossible. So, as much as we may not like to acknowledge this, money, meaning, and purpose are all interconnected. In today's...
30 days ago • 3 min read
Hi Reader, Whenever an asset class performs well over a short period of time, investors inevitably start asking whether or not they should buy some (or more) of the high performer. Given the recent performance of Bitcoin, Ethereum, gold, and silver, I wanted to share some thoughts on these assets. The Past It's difficult to provide a detailed historical analysis of Bitcoin and Ethereum because they are relatively new (2009 and 2013, respectively). However, their performance since inception...
about 1 month ago • 2 min read
Hi Reader, There's often a disconnect between what we think is happening in the economy and what is ACTUALLY happening. I think of this as the difference between facts and feelings. In today's email, I'm sharing: How consumers currently feel about the economy What the actual economic data says Why the disconnect between facts and feelings exists Before we dive in...did you catch this week's podcast episode? Dividend Investing (Part 3) In this week's episode, I'm discussing Stock Buybacks...
about 2 months ago • 3 min read
Hi Reader, Today, I’m sharing five of my favorite investing and economic charts from the past month. These charts cover topics like: The Futility of Forecasting Emerging Market Stocks Predicting Interest Rates...and More! Let's dive in.👇 #1 - Predicting The Future Is Hard An inverted yield curve is widely touted as the mother of all “recession indicators.” In other words, when the yield curve "inverts," it indicates that a recession may be near. 💡 What Is An Inverted Yield Curve? It's when...
about 2 months ago • 3 min read
Hi Reader, Everyone wants to know what the market will do next. Will it continue to rise, or are we destined for a decline? If it declines, how bad will it be? It’s natural to want to know these answers because living in an unpredictable world is incredibly difficult. Surprisingly, uncertainty might even be more difficult to deal with than knowing that chaos is coming. It sounds odd, but we can see this phenomenon in action all over the place. Dividend Investing (Part 2) In this week's...
2 months ago • 2 min read
Hi Reader, Social Security is a touchy subject. Over the years, I've observed the attitude toward Social Security becoming increasingly negative due to its perceived insolvency. Due to this perception, it's not uncommon for retirement savers to question if (or how) they should include it in their future planning. While the overall health of the Social Security program is not great, it's still better than many people realize. In today's email, I want to share some important updates about the...
2 months ago • 3 min read