I’ve been the primary advisor to clients for 12 years, and my career in wealth management is approaching two decades. Each client hired me on a different date over those 12 years, and since I joined RWM four years ago, this has been at a pace of about one new client every month. As a…
Get Even-itis
Investors struggle with many behavioral biases, but Loss Aversion is perhaps the bias that poses the greatest challenge. Loss aversion simply means that losses hurt twice as bad as a gain of equal value. This is a concept was first quantified by Amos Tversky and Daniel Kahneman in their pivotal 1979 paper titled Prospect Theory….
What to do with an IPO windfall
I joined my colleague Ben Carlson on his weekly YouTube show, Portfolio Rescue, this morning to answer questions from viewers. I answered a question about what to do with a windfall from stock compensation in a company that goes public. In my experience, stock-based compensation can be both a blessing and a curse. That’s because…
This Week in Women
Senate passes bill ending forced arbitration in sexual misconduct cases The measure passed unanimously by a voice vote after garnering overwhelming bipartisan support in the House earlier this week. The bill now heads to President Joe Biden’s desk to be signed into law. Under the legislation, employers would be prohibited from forcing workers to settle sexual…
The Informational Interview
The afternoon sunshine weaves through a slit in the thick curtains, casting white lines on the dark brick floor. The only sound in this cavernous office is the whoosh of cars driving by on the highway about 300 yards away. I am nervous to meet the bank President, my father’s golfing buddy, for an informational…
Is This The End of The FAANGS?
Stocks are off to a rocky start this year. For the first time in a long time, growth stocks are missing their earnings expectations, and their stock prices are falling off a cliff. I had almost forgotten what it’s like to see a company miss by a penny and drop like a rock. Even though…
This Week in Women
Less Than a Quarter of CFPs Are Women (Still) According to the CFP Board’s Women’s Initiative, launched in 2013, the share of planners who are women has remained around 23% for the last several years. A white paper released after the launch of the program said the growth of women in the business “will be a marathon…
What is Sustainable?
I’ve been thinking about sustainability a lot in recent years. If capitalism relies on MORE – more production, more consumption, more people – to succeed and grow the pie, then is capitalism at odds with sustainability? And since the planet is required for our survival as a species, does that mean we must abandon capitalism?…
This Week in Women
Fidelity, Once Stodgy and Adrift, Bets on the Reddit Crowd Ms. Johnson, 60, has remade Fidelity with a focus on giving a new generation of individual investors what they’re looking for. She spent heavily on expanding its customer-service workforce and building up tech platforms. She lowered fees on products most popular with small investors, in…
We Don’t Get to Choose
We don’t get to choose when the market sells off. For most of us, this dip in the market is just another aberration on the long journey from start to finish. But for some, this market correction is occurring at a very sensitive time. An estimated 3 million people have chosen to retire early since…
