In this episode, Mark talks about how the economy has so much demand and over-regulation., The S&P 500 is up 7% already. He also discusses how most financial advisors don’t manage the money even though they are wealth managers. They guide you with the investments you have and then they hire someone to manage the money for their clients. Should you hire a financial advisor? Not everyone needs financial advisor. There are different kinds of advisors that offer different levels of expertise dependent upon the client. Mark also talks about the Dal bar study of 2015. The reason investors are not successful isomer behavioral in nature than it is imperial. In 9 out of 12 months investors guessed right about the market direction the following month. Despite guessing right 75% of the time the average MF investor was not able to keep pace with the market and timing of fund flows. Long term investing is not putting all your money in US stocks, even though US has performed better than EM or international. It gives you flexibility for rebalancing the portfolio.
March 1, 2017