Category Special Topics

Risk perspectives: What is risk? Its measurement, dimensions, modeling (asset classes, risk factors and regimes)

Risk perspectives: What is risk? Its measurement, dimensions, modeling (asset classes, risk factors and regimes) In a nutshell  After getting walloped twice in a decade with massive market crashes, suddenly everybody is interested in the subject of risk. You’ll find below a collection of perspectives on risk: what it is and attempts at measuring and […]

Estate planning

Estate Planning You should consider the following as purely a very short introduction to Estate Planning. If you have any assets or dependents you need an estate plan, otherwise you’ll have to rely on the wisdom of legislation and the courts, operating at the speed of government bureaucracies and speed of the courts. I will […]

Behavioral Finance

Behavioral Finance Some of the pioneers of behavioral finance are Kahneman, Twersky and Thaler. This short introduction to the subject is based on John Nofsinger’s little book entitled “Psychology of Investing” , an excellent quick read for anyone who is interested in learning more about behavioral finance. Much of modern finance is built on the […]

Life-cycle investing

Life-Cycle Investing: Revolution or Evolution-Are you ready for its implications? Background    The planning and investment advice, much like that offered at this website, has been rolling along on a framework based on wealth accumulation by saving and investing for the long-term. The emphasis is generally heavily slanted toward equities, which historically delivered much higher […]

Cross-Border Living

Cross-Border Living If you are a Canadian and own property in the U.S., or if you spend or planning to spend significant portion of your time in the U.S., or are working in the U.S. you must read Bob Keats’s “Border Guide – A guide to living, working and investing across the border”  N-th Edition […]

Good(?) news, mutual funds perform better in recessions than expansions

Good(?) news, mutual funds perform better in recessions than expansions Before we get to the good(?) news let’s run through what we know about mutual funds: 1. Studies have shown that actively managed mutual funds have a structural    disadvantage as compared to index funds or (index) ETFs. The mutual fund manager must overcome the […]