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PFA Ponderings

PFA Ponderings
May 11, 2019

ETFs vs. Mutual Funds

The world of stocks and bonds has invaded the average household over the last 40 years, and the 401(k) is to blame.  Investing in the capital markets was long the territory of the Country Club set, but the shifting of investing responsibility onto the workers, largely in the form of…
PFA Ponderings
May 3, 2019

Slow down. You move too fast.

“Time is what we want most, but what we use worst" -William Penn Time is perhaps the most powerful force in money management. With enough of it, any of us can be the next Warren Buffett.  The “Oracle of Omaha” certainly has smarts to burn. But just as importantly, he’s…
PFA Ponderings
April 18, 2019

Snowballs, Avalanches and Psychology

This one will leave the quant guys and gals scratching their heads: Jeff and Kathy are both in the same exact situation.  They both have two credit cards where they carry the exact same balances:   Jeff and Kathy have the same minimum required payment.  And, both of them have…
PFA Ponderings
March 29, 2019

The SS Hedge

Faced with uncertainty in markets and the economy, asset managers, when possible try to hedge away unwanted risk.  They… uh, WE… focus on areas where we can add value through smart decisions; using all of the analytical tools we have at our side.  Sure, we get paid to take risk,…
PFA Ponderings
March 22, 2019

Honey, Where’s the cost basis?

We’re getting down to ‘crunch time’… just a few weeks to go before April 15 (or for those of us in the states that recognize Patriots’ Day as a holiday, April 16.)  It’s around this time that advisors across America start to get a steady stream of calls that go…