Every day you hear more news about robots and computer systems replacing humans. The same holds true in the financial industry. But is this a good or bad thing? As this article from the Wall Street Journal suggests, it can be a little bit of both.
The 40% bond allocation has killed the 60/40 balanced portfolio. Most investors have heard the saying, “Don’t put all your eggs in one basket.” This is a catchy phrase to encourage investors to diversify their portfolio. And what do they typically do? The majority embrace the standard asset allocation model of 60% stocks and 40% bonds.
Tradition diversifies with Reinsurance to take advantage of low correlations and solid expected return. Attached white paper explains why this is wise - see more.
Tradition Adviser Chip Wieczorek, CFP® was recently quoted in the article “What you need to know about buying an annuity."
Read it here.
When it comes to investing, people can be their own worst enemy. Nearly all of the mistakes made by investors can be attributed to their behaviour, which is typically dictated by their emotions. Fear and greed have ways of influencing the investing decisions of even the most rational people; which is why most investors typically underperform the markets.