Since the 1950s, there have been numerous breakthroughs in the field of financial economics that have benefited both society and investors. One early example, resulting from research in the 1950s, is the insight that diversification can increase an investor's wealth. Another example, resulting from research in the 1960s, is that market prices contain up-to-the-minute, relevant information about an investment's expected return and risk. This means that market prices provide our best estimate of … [Read more...] about Evolution of Financial Research: The Profitability Premium
Insights
Protecting Your Identity, Data, and Assets: How You Can Protect Your Data
IDENTITY THEFT IS EVERYONE'S PROBLEM WAYS YOU CAN PROTECT YOUR DATA BE STRATEGIC WITH USERNAMES/PASSWORDS DO: Create passwords that are long and strong, using 8-12 characters, upper- and lowercase letters, numbers, and symbols. Use a unique password for each account to prevent a quick and invasive attack on all of your accounts, known as credential replay. Change your password often. (General rule of thumb: Change passwords every 90 days.) Where available, … [Read more...] about Protecting Your Identity, Data, and Assets: How You Can Protect Your Data
Protecting Your Identity, Data, and Assets: Understanding Cyber Threats
When it comes to cybercrime, it's not a matter of if, but when: At Scottsdale Wealth Planning, your security is our priority. In Part 1 of our series Protecting Your Identity, Data, and Assets, we identify common cyber threats you should be aware of. COMMON CYBER THREATS EMAIL ACCOUNT TAKEOVER What is it? A cybercriminal hacks an email account and reads emails to learn about the victim and their habits so they can pose as the victim to steal money. What does it look … [Read more...] about Protecting Your Identity, Data, and Assets: Understanding Cyber Threats
Going Global: A Look at Public Company Listings
Trivia time: how many stocks make up the Wilshire 5000 Total Market Index (a widely used benchmark for the US equity market)? While the logical guess might be 5,000, as of December 31, 2016, the index actually contained around 3,600 names. In fact, the last time this index contained 5,000 or more companies was at the end of 2005.[1] This mirrors the overall trend in the US stock market. In the past two decades there has been a decline in the number of US-listed, publicly traded companies. … [Read more...] about Going Global: A Look at Public Company Listings
Investment Shock Absorbers
Ever ridden in a car with worn-out shock absorbers? Every bump is jarring, every corner stomach-churning, and every red light an excuse to assume the brace position. Owning an undiversified portfolio can trigger similar reactions. Explore how spreading your portfolio across different securities, sectors, and countries can smooth the bumpy and unpredictable ride that lies between you and your long-term investment goals, with Dimensional Funds VP Jim Parker in the attached article "Investment … [Read more...] about Investment Shock Absorbers
The Reality of Models
Checking the weather? Looking at a map of the world to plan your next vacation? Guess what—you're using a model. While models can be useful for gaining insights that can help us make good decisions, they are simplifications of reality. One example of a model is a weather forecast. Using data on current and past weather conditions, a meteorologist makes a number of assumptions and attempts to approximate what the weather will be in the future. This model may help you decide if you … [Read more...] about The Reality of Models