Is the stock rally eclipsing market risk?

Is the stock rally eclipsing market risk?

It was July 1991. My wife and I were leading a band of more than 100 shadow chasers to the Big Island of Hawaii. We were journeying there to watch a solar eclipse from American soil. At the same time, to the southwest of us, the travel company that I owned a part of,...
Are you underestimating the risk in stocks?

Are you underestimating the risk in stocks?

Do you underestimate risk? Most people seem to think you, and even most experts, do. Research the phrase on the internet, and the headlines leap off the screen. According to the stories, we underestimate women’s risk of having a heart attack, risks to our health from...
One way to beat the market

One way to beat the market

Reading Edward Thorp’s 1967 book “Beat the Market” in the summer of 1968 changed my life. I had picked the book up as a summer read while home from college. I was intrigued. Years before, I had read a Life magazine account of how Professor Thorp had created the system...
A Summer of Fear for Stocks?

A Summer of Fear for Stocks?

Last week, guest columnist, David Wismer, editor of Proactive Advisor Magazine, took us back in time to the “Summer of Love” that kicked off 50 years ago. It was a time of drugs, music, and a freedom from authority and responsibility that still echoes through the...
Will this be a “Summer of Love” for stocks?

Will this be a “Summer of Love” for stocks?

I never made it to San Francisco’s Haight-Ashbury district 50 years ago, but I did spend a good amount of time in New York City and Boston, where the “Summer of Love” was also in full swing. I have many fond memories of tooling around in the evenings that summer in my...
Midyear report card

Midyear report card

School’s out, but can investors afford to be away on vacation? S&P 500 volatility (daily standard deviation) has turned up, with second-quarter volatility more than 10% higher than it was in the first quarter. The S&P VIX (fear index) had been trending higher...