"Don't put all your eggs in one basket" is a trite phrase with profound wisdom. Some advisors diversify their clients' assets between stocks and bonds. Others use packaged portfolios (and everybody gets the same package). Our international experience and computer skills allow us to customize your portfolio to your exact specifications with a level of diversification well beyond the knowledge level of most advisors.

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1. Reflecting on 2009 Returns Provides Lessons Going Forward (2010-01-18)
   Review your investment returns in light of what occurred in the broader asset classes.
   
   
2. Compute Your Net Worth Once a Year (2010-01-04)
   Since the end of last year the markets are up about 25%. You may not have been on track at the beginning of last year, but now you should reevaluate again. The wave has propelled you miles toward your goal, and at least once a year you should measure your progress.
   
   
3. Portfolio Recommendation Beats S&P 500 by 9.4% (2009-10-26)
   Exactly a year ago I encouraged you to avoid another lost decade in the markets. I recommended a specific balanced portfolio that today is beating the S&P 500 by 9.4%.
   
   
4. Time to Rebalance Your Portfolio Again (2009-09-21)
   You have had smooth sailing and are beginning to feel comfortable again. Don't. Given everything that has occurred in the markets, now is a good time to rebalance your portfolio.
   
   
5. Compute Your Net Worth Once a Year (2009-01-05)
   Last year's storm has blown you miles off course, and not making any adjustments is destined to end in a shipwreck. Computing your net worth annually is like taking a sextant reading to chart your course toward financial security.
   
   
6. Investment Strategies Part 5: In Defense of Diversification (2009-08-10)
   Diversifying your asset allocation among investments with a low correlation can and should reduce your portfolio's volatility and boost your returns. But critics are claiming this strategy is no longer valid. That's because they don't understand the nature of what happened in 2008.
   
   
7. Getting Started With Investing (2009-04-20)
   There isn't a better time to invest than today. Getting started can be intimidating, but these simple steps will help you through your first few years of investing.
   
   
8. Investment Strategies Part 2: Use Correlation to Define Asset Classes (2009-06-01)
   Generally, a correlation that can drop below 0.6 with other asset classes is a good candidate to become its own asset class.
   
   
9. Investment Strategies Part 4: Don't Rebalance at the Sector Level (2009-06-15)
   Rebalancing between asset classes boosts returns and decreases volatility. But setting your asset classes based on sectors of the economy is not an effective strategy.
   
   
10. Investment Strategies Part 1: Rebalance into Stable Investments in an Appreciating Market (2009-05-25)
    Diversifying your portfolio means finding assets that have value on their own merits but do not move exactly alike. A critical investment metric called "correlation" is used to construct a portfolio most likely to meet your personal financial goals.
    
    
11. The Seven Steps of Financial Preparedness (2008-10-06)
    When a hurricane threatens, making a plan and gearing up for emergencies is imperative. Economic emergencies happen too, but it may be less obvious how to prepare. Here are seven steps you should take to weather any financial storm.
    
    
12. When Will the Markets Stop Dropping? (2008-12-01)
    For the many investors glued to the news, the markets doesn't appear rational, and they worry it could go to zero. From high to low, losses have halved account values. Waiting appears foolish, and selling seems cowardly.
    
    
13. The Whip Cracks Both Ways (2009-09-28)
    Volatility, therefore, is a matter of perspective. Like the crack of a whip.
    
    
14. Blending Index Funds to Achieve Higher Returns (2007-07-23)
    If you have been following my investment advice closely, you can probably guess that I don't favor stock-picking as the best way to meet your financial goals. But even if you favor index funds, as I do, that doesn't mean you have to use them exclusively.
    
    
15. IPS: Build Your Financial Dream Home with a Good Blueprint (2007-02-05)
    Without a financial plan, your investments are controlling your dreams, not the other way around. You need a blueprint for your financial dreams to come true. That blueprint in sound financial planning is called an Investment Policy Statement (IPS).
    
    
16. Investment Strategies Part 3: Rebalance Regularly Between Asset Classes and Subcategories (2009-06-08)
    In this formula is deep wisdom, both for portfolio construction and for determining which categories are worth regular rebalancing.
    
    
17. Rebalance Accounts Regularly (2008-07-07)
    A year ago when the markets were all setting new highs, people were asking what they should do with their retirement portfolio. I answered, "Rebalance." Now that the market is setting new lows, I get the same question, and my response hasn't changed.
    
    
18. Avoiding Another Lost Decade (2008-10-27)
    Don't wait for an undiversified portfolio to recover. You can't afford to miss another decade.
    
    
19. Breaking Spaghetti: A Seven-Year Financial History (2007-04-09)
    For the past seven years US markets have experienced the ripple effects of the tech sector's correction in 2000. The latest waves have been in the slow decline of the housing market and, now, in the weakening of the commercial real estate market. While economists can't always explain the timing of these ripple effects, the corrections in the market are much like the physics of spaghetti.
    
    
20. Portfolio Allocation: Risk - Return Mix (2007-03-26)
    Portfolio construction begins with the most basic allocation between investments that offer a greater chance of appreciation (stocks) and those that provide portfolio stability (bonds). Decisions made at this level are the most important in determining how well-behaved your portfolio returns will be.
    
    
21. Keeping Expenses Low While Building Your Portfolio (2007-07-30)
    Q: I enjoyed reading about your "Rocks and Sand" technique to keep expense ratios low. I own iShares EAFE (EFA) for my foreign rock. What no-transaction fee foreign mutual fund that tracks the EAFE index do you recommend for monthly deposits until I purchase another "rock?" - Steve
    
    
22. First Quarter Review 2008 (2008-04-28)
    The first quarter of 2008 made the difference between well-designed portfolios and poorly designed portfolios obvious. Check your quarterly statement to see which category describes your portfolio.
    
    
23. Creating A Ladder for Retirement Income (2006-01-16)
    Laddered bonds are an effective means of finishing that climb to financial success. For the 75 million baby boomers who begin turning 60 this year, this simple investment tool can help America's soon-to-be retirees maintain financial health in the years to come. If you are retired or planning on retiring soon, a tailor-made laddered bond portfolio can provide a dependable income stream without compromising your growth investments - even during your retirement years!
    
    
24. How safe is your money market? (2008-01-07)
    Money market funds are a type of mutual fund that usually sells and redeems their shares for $1. The value to the consumer is the interest earnings plus the stability of getting their principal back.
    
    
25. The Dow Jones Industrial Average (2006-10-09)
    The Dow set a new all-time high last Tuesday. While most investors follow the numbers from the Dow Jones Industrial Average index, they are most likely invested in funds that mimic the S&P 500. However, neither index represents a diversified portfolio. Understanding just how the Dow works allows savvy investors to see past this index when evaluating the performance of their investments.
    
    
26. Gold Mining Companies Glitter More Than Bullion (2008-03-24)
    Last week gold broke $1,000 an ounce. Gold advertisers and gold investment newsletters are touting their wares as though gold only goes up in value. Nothing could be further from the truth. Gold may glitter, but it is still better to own the mine.
    
    
27. Foundation Series - 4 Asset Allocation (2006-05-29)
    When it comes to predicting your investment returns, nothing influences returns more than your portfolio's asset allocation mix. It will determine most of your investment outcome. Endowment funds are no exception to this rule. For board members and trustees, choosing an appropriate asset mix is part of fulfilling fiduciary responsibility.
    
    
28. Familiarity Breeds Concentration (2007-04-16)
    Investors have been told, "Invest in what you know." While this may have been a good adage for avoiding investing in companies with no business models, it is a poor rule of thumb to use when building diversified portfolios.
    
    
29. Ignore Daily Financial Noise (2008-03-31)
    Investors are fickle. Investing should not be. When your investments go down, even slightly, you may be tempted to make poor choices.
    
    
30. George Marotta: What Is A Contrarian? (2006-08-07)
    A contrarian is one who takes a side different from the masses. When everyone is going in one direction, a contrarian chooses to go in the other direction. I confess. I am a contrarian. In investment terms, it is difficult to be a contrarian.
    
    
31. Economic Freedom Part 2: Let Freedom Ka-Ching (2004-04-19)
    Freedom matters. Those countries with the most economic freedom provide the best place for your foreign investments.
    
    
32. Bush policy taxes wealth by devaluing the dollar (2004-09-06)
    "The art of taxation," said the French finance minister Jean Baptist Colbert, "consists in so plucking the goose as to get the most feathers with the least hissing." The Republicans have proven themselves the better pluckers.
    
    
33. David John Marotta: What Is A Contrarian? (2006-08-14)
    Much of my financial instincts were developed watching my parents manage money on a daily basis. Even now, one of the highest compliments that I can be paid is for someone to say, "The apple didn't fall far from the tree." Last week my father authored specific examples of contrarian investing. This week I'd like to show how contrarian investing is at work when you regularly rebalance your portfolio.
    
    
34. Loss Aversion (2008-03-03)
    Psychologists suggest we feel a loss about 2.5 times as much as an equivalent gain. Even with a brilliant investment plan, it takes diligence to overcome our emotional biases and avoid making investing mistakes.
    
    
35. Using S&P 500 Index Funds Contains Hidden Risks (2004-10-18)
    Many investors tend to make the S&P 500 Index the backbone of their investment portfolio. Others use the S&P 500 as a benchmark to measure the health of the market or their own portfolio. Doing so is a very risky strategy that greatly increases the danger of failing to meet your financial goals.
    
    
36. How Your Children Can Win the Stock Market Game (2006-02-20)
    Good things do come from France. Frenchman Antoine Deneriaz captured Olympic gold in the men's downhill skiing event beating out favorites Austria's Michael Walchhofer and America's Bode Miller. His win meant flying madly off jumps and being determined to finish first or break every bone in his body. Your investments shouldn't be like that.
    
    
37. Portfolio Rebalancing Boosts Returns (2007-05-28)
    Rebalancing your investments can help boost your returns and minimize risk. This simple contrarian move can help you compound your investment gains over time. With the markets at an all-time high, this may be a good time to rebalance your portfolio.
    
    
38. NAPFA Consumer Education Foundation (2006-10-16)
    The non-profit NAPFA Consumer Education Foundation is offering a series of monthly presentations in Charlottesville, beginning this Saturday. The Foundation is dedicated to bringing consumer financial education to communities across America.
    
    
39. Eighty - Twenty Rule of Asset Allocation (2006-03-13)
    In 1906, Italian economist Vilfredo Pareto created a mathematical formula to describe the unequal distribution of wealth in his country, observing that twenty percent of the people owned eighty percent of the wealth. The 80/20 rule has been recognized by many as a universal principle of life. Its application even wins a place in the logic of asset allocation.
    
    
40. Immediate Fixed Annuities Part 3 - Additional Questions (2004-07-19)
    Living below your means is the best financial security. With 30 or more years to live, retirees should invest for growth and diversify for stability.
    
    
41. Market Volatility Is Back (2008-01-28)
    Normal market volatility has returned, and with it investors are tempted once again to jump in and out of the markets.
    
    
42. The Value of Emphasizing Value Stocks (2005-02-21)
    Value stocks should be over emphasized in your holdings of US stocks both because of their historical averages and the current economic climate. Value stocks are those that have a lower-than-average price as measured by such metrics as price-to-earnings or price-to-book ratios.
    
    
43. Timing the Market Isn't All Fun and Games (2005-12-19)
    Market timing is the attempt to switch a significant portion of your assets between different types of investments in an effort to maximize profits. If this is your investment strategy, good luck, because you'll need it.
    
    
44. The Celtic Tiger: The Greening of Ireland (2007-03-12)
    The Republic of Ireland and its economic boom period knows as the "Celtic Tiger" is another textbook case study in economic freedom. Ireland's strong economic performance is a direct result of its increased economic freedom and reduced government regulation.
    
    
45. Bond Basics (2006-10-23)
    Bonds are boring. But smart investors use them for diversification. Understanding some basics will help you evaluate the risks and rewards of owning bonds in your portfolio.
    
    
46. Socially Responsible Investing (2006-07-17)
    Seeking to use your investment selection in order to be socially responsible is misguided. Though it may assuage a guilty conscience, it is an ineffective tool for corporate change. If you put so many constraints on your portfolio that you cannot meet your financial responsibilities, then you have taken the speck out of your brother's eye but failed to notice the log in your own eye.
    
    
47. Narrowly Framed Questions Fail to Meet Life Goals (2006-10-30)
    The marketing of financial products has caused investors to focus too narrowly on the details of specific investments. As a result, most investors fixate on asking the wrong questions and fail to ask the strategic questions necessary to tailor their investments to best reach their life goals.
    
    
48. Immediate Fixed Annuities Part 2 - Immediate Fixed Annuities - The Hidden Risks (2004-07-12)
    Because you can't change your mind, and you can't spend your money ahead of time, the best use of an immediate fixed annuity is to protect you from yourself. Call me wild and crazy, but this is not the risk I am worried about.
    
    
49. Immediate Fixed Annuities Part 1 -Immediate Fixed Annuities Aren't Really "Fixed" (2004-07-05)
    The returns offered by immediate fixed annuities aren't as good as they sound. The slight of hand in this case is the immediate loss of 100% of your principal. They are "fixed" for you to lose and the insurance company to win.
    
    
50. 2005 in Review (2006-01-30)
    If your returns were poor last year, you were in good company. The S&P 500 gained only 4.9% and the Dow was down 1.4%. Indexes, however, are poor indicators of what wisely invested balanced portfolios should return. A better diversified portfolio would have earned over 10% in 2005.
    
    
51. Outlook May 2006 (2006-05-08)
    Recently, I received a letter asking for advice on whether an investor should sell a particular bond fund and reinvest the money in an appreciating stock fund. Questions like that are unanswerable without comprehensive financial planning, but I suspect the answer should be to keep the bond fund.
    
    
52. Am I Diversified? (2003-08-18)
    While everyone agrees that you should be diversified, it is important to know what your manager means by the term "diversified."
    
    
53. Economic Freedom Part 1: Invest in Countries with Economic Freedom (2004-04-12)
    Protectionism doesn't work. Trade, not aid makes countries better off. And countries with economic freedom will experience the most lucrative trade.
    
    
54. Speed is not critical when investing (2004-01-26)
    An investor is like an orchard farmer who goes to the store to buy some peach trees. A speculator buys some peach trees because he sees that the store is running out, and then stands in the parking lot hoping to resell at a profit.
    
    
55. Atkins Investing Part 1: Low-Carb Trend Has Caused Some Companies to Lose Weight (2004-06-21)
    About one in five Americans are practicing some version of a low-carb diet. Investors in food companies would have done much better had they foreseen this trend.
    
    
56. Five Reasons to Invest Outside the US (2003-08-25)
    Here are five reasons why you need to continue to have a significant foreign stock investment.
    
    
57. Atkins Investing Part 2: Low-Carb Investing Has Resulted in Healthy Profits (2004-06-28)
    Ever since the term "Atkins" first appeared on the Lycos 50 at the end of 2002 those companies (see http://50.lycos.com) that catered to the Atkins diet outperformed the S&P 500, which earned 25%.
    
    
58. Managing cash is key to meeting goals (2003-10-20)
    Managing your family's cash is key to meeting your financial goals.
    
    
59. Careful records can result in capital gains (2004-02-16)
    Keeping a careful accounting of your investment's cost basis isn't glamorous, but it can help you save time and money when it comes time to sell.
    
    
60. The Implications of A Sharply Rising Money Supply (2003-09-08)
    A policy of accelerated money growth by the Fed will have some significant consequences. Renamed: "Gauge economy by keeping track of money supply."
    
    
61. The Use of Covered Call Options (2003-09-01)
    This week we will explain one of the safe forms of options: "Selling covered call options." Renamed: "Best to buy when exercising options."
    
    
62. How Risky Do You Want To Be? (2003-09-15)
    Greed and fear give way to doing what it takes to have the best chance reach your financial goals. Renamed: "Investment plans require clear goals."
    
    
63. Twenty Stock Market Tips (2004-09-27)
    Twenty simple rules for investing.
    
    

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