Vanguard Growth Underperformed the S&P 500 Over 40 Years

Posted Leave a commentPosted in Charts

Following the last post’s chart showing how 75% of the returns investing in the S&P 500 came from dividends, this chart by how much Vanguard Growth Underperformed the S&P 500 over the past 40 years. Not only did the growth fund provide turn an investor’s 1980 $100 into a significantly lower sum ($2,222 vs $5,280 […]

75% of S&P 500 Returns Come From Dividends: 1980-2019

Posted Leave a commentPosted in Charts

In the short term, stock returns are dominated by the ups and downs of price movements, in the long run, stock returns are dominated by dividends. A common question is “what percentage of stock returns come from dividends over the long run?”, to which I have a simple answer using the past 40 years of […]

Hong Kong vs Singapore

Opening an Investment Account: US vs Hong Kong vs Singapore

Posted Leave a commentPosted in Investing, Personal finance

Although recent protests have drawn more international news cameras than usual, international wealth management clients have compared opening an investment account Hong Kong to having one in Switzerland, Singapore, or South Florida (Miami) for decades if not since the World Wars. While Hong Kong vs Singapore may be the most overdone comparison in Asia, this […]

Stocks or bonds

Buy stocks or bonds? 3 numbers to help decide

Posted Leave a commentPosted in Education, Investing

It is widely repeated in the investment community that the biggest difference in whether you earn high or low rates of return as a long-term investor is not your choice of an individual stock or bond, but how much you allocated overall to stocks vs bonds. The more you put in stocks, the more likely […]

ten investment advisors

If you go to ten investment advisors and they tell you the same asset, you better stay away from it!

Posted Leave a commentPosted in Web finds

One way I keep my education on market history fresh is by finding and watching decades-old videos of interviews with investing legends. In this one, Louis Rukeyser interviews Peter Lynch and Sir John Templeton. 4:40 into the interview, Templeton says one of the most quotable truths about the difference between investment advisors vs doctors and […]

Zuckerberg Russia Facebook is Not a Democracy

Facebook is not a democracy. Does that matter to shareholders?

Posted Leave a commentPosted in Investing

68% of shareholders want to replace Mark Zuckerberg as chairman of Facebook Inc (NASDAQ: FB), but Mark Zuckerberg still holds the majority of voting shares (source: Facebook March 2019 Quarterly Report, page 54). As much talk as there is about Facebook’s role IN democracy, this is a reminder that the corporate structure of Facebook IS […]

How different investments have performed during recessions

How different investments have performed during recessions

Posted Leave a commentPosted in data, Economics, Investing

While I am often asked “is now a good time to invest?” in both booming and declining economic times, I have recently been asked more and more about whether the economy is due for its first global recession since 2008-2009, and how to invest in preparation for the next recession.  I recently wrote a short […]

How to make money in stocks

How to make money in stocks: The only two basic ways

Posted Leave a commentPosted in Education, Investing

The main reason to buy a stock is to get significantly more money out of it than you put into it.  By “significantly more”, the profit you make from a stock should not only be more than interest you would have earned putting the same money into a bank deposit or bond, but also compensate […]

Oldest Mutual Funds

List of Oldest Mutual Funds

Posted Leave a commentPosted in Lists

The mutual fund as we know it today is almost 100 years old, and following important steps in 1934 and 1940 and then in 1974, mutual funds can be thanked for helping a large percentage of average working individuals save trillions of dollars for retirement in ways pre 20th century history might not have imagined. […]

Where to invest $1,000,000

Where to Invest $1,000,000 – Depending on Who You Ask

Posted Leave a commentPosted in Investing, Personal finance, Web finds

Bloomberg recently published another article titled “Where to Invest $1,000,000 right now“, where six different experts provided six different opinions on where they would invest the million. Not surprisingly, the experts they asked tended to recommend investing in assets their companies sold or serviced (for example, the one who said investing in Vietnamese property was […]