A Wealth of Common Sense had a great post about the Sequence of Returns which is a must read because it fits into a theme I’ve been writing about for a while now. The Sequence of Returns post makes the argument that the time to buy stocks is when they’re getting hammered because ultimately, when…
Category: Asset Valuation
AI: Analyzing Asset Class & Sector Performance Returns With AI
Here’s another quick and amazing way to analyze data with AI. I visited this website and found the chart below. I wanted to know quickly which asset class had the best returns during the time period. Normally I would type the data into excel and start running averages but I decided to let AI do…
CNBC’s “Official” NFL Team Valuations – Wrong!
Regular readers of this blog know that I like to dive into the numbers behind different things such as this recent post on Olympic gold medals, or this one on stock market exchanges or this one about U.S. state’s prosperity. All three of those posts have something in common, it’s the Pareto Distribution. When I…
Evaluating Municipal Bonds
I’ve been writing about municipal bonds lately largely because I love the tax free interest these bonds generate and it helps with taxes so I’m writing about munis yet again. This time I am going to write about my decision making process for which bonds to buy. Lately, I am getting a flood of municipal…
How I Pick Stocks To Invest (Tax Deferred)
I think the stock market, in general, is very over-valued but that doesn’t mean there isn’t value in the market. I have a methodology I use to find the best stocks for me to invest in but before we get to that let’s cover a few topics. Free Cash Flow The best valuation method for…
My Favorite Market Valuation Tool
Warren Buffett sold 100 million shares of Apple stock recently and while taxation was supposedly the main driver of the decision, it wouldn’t surprise me one bit if the entire stock market corrected 20 to 40 percent over the next 12 to 18 month. You Gotta Know When To Hold’em I consider myself primarily a…
How To Do Due Diligence On Stocks
In yesterday’s post, I wrote that doing due diligence on a particular stock is the best risk management strategy. If you can avoid making a bad investment decision from the very beginning, there is no need for further strategy to avoid losses. Stock Equity Due Diligence So how do you perform due diligence on stock…
Mortgage Rates At 21 Year Highs, Wait Till They Go Higher Before You Buy!
I am in the market for a new home but the home is not for me, it’s for one of my kids. My kid has been renting for the past two years and it pains me to see him throw money away each month. What I mean by “throw away” is that he isn’t building…