Posts filed under “Asset Allocation”

Your Best Investment Idea for the Next Decade

Yesterday, Business Insider posted a huge piece, wherein they ask various folks for their best idea for a decade.

With the low key headlne, Wall Street’s Brightest Minds Reveal Their Best Investment Ideas For The Next Decade, here is how I responded:

Financial planning: “As it turns out, that is an easy question: Our own business. I have been plowing money into our own asset management business. This is not a reflection on the price of stocks or bonds, but more on the state of the financial industry. Wall Street is very good at serving its own interests, but terrible at serving its clients.

This has created a huge opportunity or anyone who wants to put their clients first. I expect we have a 5 year ramp up before the rest of Wall Street starts to notice something is amiss.

I believe there are 4 areas ripe for disruption: 1) Full service Financial Planning/Asset management, 2) Retirement Planning, 3) low cost asset management, 4) RIA Advisory services to members of the industry.

We are in the midst of a very significant set of changes; The financial services industry is likely to look very different 10 years hence.”

—Barry Ritholtz, chief investment officer at Ritholtz Wealth Management

 

You can see the full list of 27 ideas here.

Category: Apprenticed Investor, Asset Allocation, Finance, Media

Surprising Consensus On Cross Asset Research

Source: iShares by BlackRock   If you want a sense of the consensus view of equities, this recent chart from BlackRock might provide some insight.   Continues here    

Category: Asset Allocation, Fixed Income/Interest Rates, Psychology

Financial Resolutions You Can Actually Keep

10 financial resolutions you can actually keep By Barry Ritholtz Washington Post, December 29, 2013     It’s that time of year, when many people resolve to be better: Gotta lose 20 pounds, stop smoking, start exercising. Human nature is such that come January, there will be a 20-minute wait for the elliptical machines in…Read More

Category: Apprenticed Investor, Asset Allocation, Investing, Psychology

How Much Cash Should You Hold In A Portfolio?

How much cash should you hold in your portfolio? By Barry Ritholtz, Washington Post December 13, 10:19 AM   When people discuss their investing portfolios, they typically refer to the stocks, bonds, commodities and real estate they hold. The conversation might also include model weightings, tilt toward and away from different asset classes, and rebalancing….Read More

Category: Asset Allocation, Investing

What Is the Right Amount of Cash In Your Portfolio?

  > My Sunday Washington Post Business Section column is out. This morning, we look at the question of How much cash should you hold in your portfolio?. This is yet another column  that looks like its about investing but really is about psychology.  As I noted prior, people have been sitting on big piles…Read More

Category: Apprenticed Investor, Asset Allocation, Investing

Confessions of an Institutional Investor

Josh here – the other day I did a post about the amazing complexity and obsession with tail risk that’s caused so many professionally-managed investment pools to miss the market over the last few years (see: I don’t understand). Every general fights the last war, as they say, and a portfolio geared toward having a…Read More

Category: Asset Allocation, Hedge Funds, Really, really bad calls, Venture Capital

Worst Allocation Advice of the Week

Source: Capital Spectator     The most perplexing thing I read this week was an odd column by Paul Merriman at MarketWatch, “Why Rebalancing Could Be a Huge Mistake.” He makes the counterintuitive claim that portfolio rebalancing doesn’t really work: “Conventional wisdom holds that regular rebalancing is a sound practice to control investing risk. But…Read More

Category: Asset Allocation, Investing

Arnott: Rebalancing Still Works

Robert Arnott is Chairman & Chief Executive Officer of Research Affiliates, a global leader in smart beta and asset allocation strategies, and one of the originators of fundamental (as opposed to market cap weighted). His models now drive over $100 billion in assets in various funds, and an additional $75 billion at PIMCO. ~~~  …Read More

Category: Analysts, Asset Allocation, Investing, Really, really bad calls

Nervous About Nest Eggs

Click to enlarge Source: WSJ

Category: Asset Allocation, Investing, Think Tank

Headwinds for Emerging-Markets

From Barron’s click for larger graphic Source: Barron’s   I am long Emerging markets so I look for items like this. None of these issues are unknowns, and should therefore already be reflected in price.

Category: Asset Allocation, Investing