A number of indexes incorporate changes in market prices at infrequent intervals during the year. This decision can have an impact on the expected return of an index. Click HERE to read "What You Pay, What You Get: Connecting Price and Expected Returns", by Dimensional Fund Advisors Vice President Jake DeKinder. … [Read more...] about What You Pay, What You Get: Connecting Price and Expected Returns
In many cases, the reason for saving today is to support future spending. Therefore, keeping pace with inflation is a crucial goal for many investors. When the prices of goods and services increase over time, consumers can buy fewer of them with every dollar they have saved. This erosion of the real purchasing power of wealth is called inflation. Inflation is an important element of investing. In many cases, the reason for saving today is to support future spending. Therefore, keeping pace with … [Read more...] about The Impact of Inflation
When faced with short-term noise, it is easy to lose sight of the potential long-term benefits of staying invested. For investors, it can be easy to feel overwhelmed by the relentless stream of news about markets. Being bombarded with data and headlines presented as impactful to your financial well-being can evoke strong emotional responses from even the most experienced investors. Headlines from the "lost decade" can help illustrate several periods that may have led market participants to … [Read more...] about Tuning Out the Noise
Combining an enduring investment philosophy with a simple formula that helps maintain investment discipline can increase the odds of having a positive financial experience. Click HERE to read "E+R=O, a Formula for Success", Dimensional Vice President David Jones's latest piece in his Front Foot Advisor series. … [Read more...] about E+R=O, a Formula for Success
Investors can express their sustainability preferences through participation in global capital markets. Growing interest in the impact of fossil fuels on the global climate may spark questions about whether individuals can integrate their values around sustainability with their investment goals and, if so, how. As citizens, individuals can express their political preferences around sustainability through the ballot box. As investors, they also can express their preferences through participation … [Read more...] about Doing Well and Doing Good?
Embarking on a financial plan is like sailing around the world. The voyage won't always go to plan, and there'll be rough seas. But the odds of reaching your destination increase greatly if you are prepared, flexible, patient, and well-advised. Click HERE to read "Sailing with the Tides", Dimensional Vice President Jim Parker's latest piece in his Outside the Flags series. … [Read more...] about Sailing with the Tides