Insights

First Quarter 2021|Jim Williams| Just this last month, the CFP Board announced, based on a Practice Analysis Study (which describes what planners are actually doing in their practices), the addition of a new Principal Knowledge Topic: The Psychology of Financial Planning. As a Principal Knowledge Topic, the Psychology of Financial Planning will be included in the Body of Knowledge required of CFP Professionals. The topic will be included in examination starting in 2022. This topic has grown up from the roots of the financial planning profession and it is good news and none too soon.

Dimensional Co-CEO and Chief Investment Officer, Gerard O'Reilly, offers an update on the performance of value stocks relative to growth stocks across the global markets, addressing the theory and data supporting a positive value premium over longer periods of time and recent premiums in the context of last year's (2020) market downturn.

Fourth Quarter 2020|Jim Williams| A year ago, I wrote about the then-current state of the evolution in the company and the progress of the transition here. This will be more about my personal transition and my immediate plans.

With the U.S. presidential election called, and promising news of a COVID-19 vaccine announced, a U.S. market surge reminds us how keen investors are for a sense of closure. That said, who knows how long the mood will last? Come what may between the U.S. presidential election just ended and the inauguration yet to occur, the results will undoubtedly be attention-grabbing and action-paced. To counter all the excitement, we offer three calming insights.

In a recent piece, we explored how to invest available cash: Should you invest it all right away as a lump sum? Or are you better off wading in more gradually with dollar-cost averaging? In round one, we discussed why lump-sum investing is generally expected to generate the highest returns over time. That said, general rules don't always apply to you. Let’s look at when dollar-cost averaging may be preferred after all.

Good news – you have an extra $24,000, and you’ve decided to invest it in the stock market. It’s always nice to have investable cash on hand. But you also might feel as if the pressure is on. Nobody enjoys seeing the market take a dive shortly after they jump in. Unfortunately, we never know when it might do exactly that. What's an investor to do?