What if everything you’ve been sold by “financial experts” about index investing is an elaborate lie? Shocking right? Source: Midjourney. You’ve probably heard that small-caps are high risk and high reward. This part is true. Then, “the experts” go on to say that if you diversify your holdings, it makes it less likely that any […]
More Risk = More Reward Every great investor, from Warren Buffett to Michael Burry, understands this principle. Otherwise, we wouldn’t know them by name. We want to maximize the payout for every dollar we risk. The concept is pretty straightforward. Yet, two things stand in our way, both of which are intertwined: greed and perspective. […]
The Fed loves to pretend it matters. For two days, its members cloister in a conference room, gibbering nonsense. When they finally emerge from their lair, they say exactly what the market told them to. These interest rate announcements are nothing more than a dog and pony show that attempts to hide the Fed’s incompetence… […]
We can predict the future. This article is being written before the Fed meets for its June interest rate decision. And we can say with 100% CERTAINTY that the Federal Open Market Committee (FOMC) will make the wrong decision. How could we possibly know this? Despite a show of independence, the Fed, and especially Chairman […]
Imagine you start a home-based business selling stuffed teddy bears online. Your product is a hit, with sales growing every month. One day you’re sitting at your desk, packing up the latest order, when federal agents for the U.S. Fish and Wildlife Service kick down your door, tossing in a smoke grenade for good measure. […]
300 years ago, a man who would reshape global markets and politics with one simple idea — capitalism — entered the world. Adam Smith wrote “The Wealth of Nations,” arguably the single most influential piece of economic literature ever published. He argued that free markets were the most effective way to allocate resources and foster […]