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Dollar cost averaging is a simple, efficient way to invest that can possibly lower your market risk.  Whether you realize it or not, if you are utilizing a company sponsored retirement plan, you are already dollar cost averaging.  I will quickly explain what this is, how it’s beneficial and some scenario’s that it is used.  Dollar cost averaging is the practice of investing an equal number of dollars into the market at regular intervals.  For example, someone migh

A question that I am often asked, especially in the early stages of working with a new client, is what stocks that I recommend.  Typically, the people that ask this are looking for the next big idea, such as the next Amazon or Apple with the hopes of earning a return that is much larger than the market provides.  Sometimes they of know someone or have read stories about someone that invested all of their money in a stock like this before it was well known and then made a fortune. 

Inflation is something that most people have some level of familiarity with but has gotten extra attention in the last couple of years while it has been high.  I am often asked about inflation, if it’s bad and how much it should be so I wanted to share a few thoughts on the topic.Inflation is simply the rising of prices over time.  A loaf of bread that might have cost 5 cents many years ago now costs $2.50.  The price didn’t increase that much overnight but instead too

Diversification is a term used to describe the variety of assets in a portfolio and how the assets have performed historically relative to each other.  Most people believe that diversification as a good thing; however, I am frequently asked to describe what it is and how to achieve it.  To touch on the latter portion first, it is relatively simple these days to diversify your portfolio.  Diversification can be achieved by having different types of assets in your portfolio that hav

I view Asset “Location” as a practice that is a step beyond strategic asset allocation and something that only sophisticated investors practice.  Asset location the concept of where you place your various investment assets in your various investment accounts.  Every asset has different characteristics from a risk/return perspective and also from a tax perspective.  Investment accounts also vary with their rules and characteristics.  Being thoughtful with your asse

I previously wrote about asset allocation being the mix of different types of assets in a portfolio.  If we take that down to a deeper level, there is also a difference between “strategic” asset allocation and “tactical” asset allocation.  Strategic asset allocation is your longer-term mix of assets in your portfolio.  The determination of this allocation is made based on the investor’s goals, time horizon, willingness and ability take portfolio risk.

There is a basic relationship between risk and return that is important to understand.  This relationship does not always hold perfectly over every time period, but it is a good way to think about building your asset allocation.  In theory, the greater risk you assume with your assets, the greater return you should expect to be compensated with.  This simple knowledge can go a long way towards helping you avoid common errors with your portfolio.There are some basic real-life scena

Asset Allocation is a phrase that you’ve probably heard if you’ve ever considered any sort of financial planning or have done some investment research on your own.  To put it simply, it is the mix of assets that make up your investment portfolio.  To take it down one level further, it can be looked at as the mix of “growth” assets vs “safer” assets in your portfolio.  One example of growth assets are stocks, which have the ability to appreciate

I am regularly asked about a random “best practice” that someone has read about or been told, seeking my opinion on whether or not it is accurate.  There have been books written on these things and I'll admit that I agree with some of them and disagree with others.  On that note, here are just a few thoughts that I feel are a few “Best Practices” for a well-rounded financial life. Start saving and investing early.  Whether you are thinking ahead to your

I started in this business to help people feel comfortable with their financial lives, acting as a fiduciary helping clients make financial decisions that are in their best interests. I’m confident that I provide good resources to those that I serve, however I wanted to attempt an efficient way to do even more. Each week, if you’re interested enough to take a quick minute out of your day to learn something new, I am excited to be able to provide some content for you. If you’re