Last Friday I wrote a market commentary to reiterate my concerns about market valuations but primarily focused on the fact that some technical (short-term) indicators were hitting historical extremes implying the potential for short-term problems in the market.
Last Thursday the S&P 500 closed at $3,386…an all-time high. Today the S&P 500 closed at $2,978 for over a 12% loss in a week. That’s a truly historic move. It’s the fastest correction in history for the S&P 500 and the fastest for the Dow since 1928 just a few months before the Great Depression. The Dow and the S&P 500 are on track for their worst weekly performance since the Great Financial Crisis in 2008. Continue reading “Fastest Correction In History…And The Importance of Financial Projections”
Executive Summary: The price you pay for an asset determines your return.
I came across this chart over the weekend from @OddStats. The chart shows the returns of the S&P 500 by decade.
Continue reading “U.S. Stock Market Returns by Decade”
Executive Summary: I work out at a gym whose motto painted on the wall is “Stronger Than Yesterday.” This motto has nothing to do with anyone else. It’s solely about being better than you were the day before. It’s about constantly improving and doing the right things each day to continue moving in the right direction. Focus on the process. Enjoy the journey. It’s the same when it comes to your finances. Don’t worry about anyone else. What they are doing is irrelevant. Get your plan in place and then do the right things everyday to keep marching towards the goal of true financial independence…financial freedom…whatever that may mean for you. Continue reading ““Comparison is the thief of joy.””