Financial Planning More Difficult for Women
Financial planning for women must account for gender inequality, writes Peter Watson. Women face financial obstacles to being financially secure. In a perfect world there would be no difference to the financial challenge between men and women. That is not the case. Women are more often underpaid when compared to equally qualified men. Earning less […]
New Investor Regulations are an Upgrade
Pending investor regulations are designed to ensure investments purchased are suitable, writes Peter Watson. Investors will benefit from changes that will be implemented at the end of this year. The central focus of new regulations is meant to ensure that investment products being recommended to you are consistent with your investment objectives and risk profile. […]
Federal Election 2021: Will it Affect My Investments?
Investors wonder how the federal election results will affect their investment, writes Peter Watson. Investors have two questions. Who will win the federal election and how will this affect my investments? We will look at the United States for some insight. It has a two-party system. Democrats are considered more socialistic and the Republicans more […]
Successful Investing Requires a Long-Term Approach
Investors are advised to take a long-term approach to investing writes Peter Watson. Patience, patience, patience. That is a key to successful investing. Over the years I have heard many stories of people making investment decisions that ended up to be very damaging to their investment returns. In hindsight, their decision to buy or sell […]
Invest in Stocks – Prepare to Lose
There will be a time when you lose money. That is a certainty. The assumption is based on a broadly diversified portfolio versus owning just a few stocks. Information is taken from the S&P 500, a US stock index. Yes, some years you win when your stock portfolio increases in value. Winning is easy. Anyone […]
Investment Predictions Often Do Not Come True
Using predictions to make investment decisions can lead to disappointing outcomes, writes Peter Watson. Making investment predictions can be dangerous. A rhetorical question. Looking back to last year in March, would an investor liked to have predicted the pandemic was coming? With the knowledge of a pending COVID-19 crises, most investors would have sold all […]
Languishing can be Damaging to Your Personal Finances
Languishing after COVID-19 could be harmful to earning an income. That can be detrimental to your ability to be financially self-sufficient, writes Peter Watson. Your financial success has a new potential obstacle to overcome. This obstacle was discussed in a New York Times article earlier this year on languishing. Early research suggests that languishing could […]
Stocks and Bonds: What to Expect
Let’s talk investments. Specifically, how the volatility of stocks and the returns of stocks are related. Many investors dislike volatility. A stock can be worth $10 a share, increase to $15, decreased to $8, and then back up to $11. Most would prefer a $10 a share price to increase gradually to $11. Perfect. A […]
Investment Returns are Based on Expected and Unexpected Factors
The fundamentals of investing are logical. In many cases investing can seem anything but logical. Investing in FAANG stocks produced extraordinarily high returns during the last decade. A return was expected, the extraordinary high return was unexpected. Over the last decade FAANG stocks did exceptionally well. FAANG represents Facebook, Amazon, Apple, Netflix, and Google’s parent […]
COVID-19 Chaos Disconnected from Stock Market Performance
This year has been the most confusing time that many investors have experienced during their lifetime, writes Peter Watson. S&P 500 Index performance in 2020 seems disconnected to the damaging impact COVID-19 has had on the economy. Early in the year COVID-19 spread around the globe, accelerating change in many areas of the world economy. […]