Sartre’s Investment Advice for You

Portfolio Makeover by Jean-Paul Sartre   If you are considering retirement in a couple years, it’s time to prepare your portfolio. While “Portfolio Makeovers” are popular, a superficial change in the appearance of your portfolio is not enough. Jean-Paul Sartre […]

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risk tolerance and asset allocation

Risk Tolerance and Asset Allocation

Asset Allocation depends on Risk Tolerance  Risk Tolerance and Asset Allocation are tied at the hip and depend on age and recency bias. How you understand risk—and how you balance the stock/bond proportion in your portfolio—is the most important decision […]

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Never Hedge Your Retirement Portfolio

Why you Can’t Hedge Your Retirement Portfolio

Don’t Hedge Your Retirement Portfolio   Never hedge your retirement portfolio! This is one risk you must control without a hedge. Why is “hedge” the riskiest word in investing? Because it demonstrates that you don’t understand risk. If you are […]

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Adaptive Market Hypothesis

The Adaptive Market Hypothesis

Evolutionary Investing- The Adaptive Market Hypothesis   The Adaptive Market Hypothesis is a concept from evolutionary investing. The stock market isn’t efficient. But it isn’t entirely random, either. The efficient market theory is derived from the ideal that Homo economicus […]

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chaos theory in stock market

Chaos Theory and the Misbehavior of Markets

Mandelbrot, Chaos Theory, and The Misbehavior of Markets   Stock market returns are not just random—they are randomly random. That is, stochastic. While I love the word stochastic, it and Chaos Theory are poorly understood by ordinary people. This is […]

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What Was I Thinking When I Bought Crytpo?

What Was I Thinking When I Bought Crytpo?

What Was I Thinking When I Bought Crytpo?   Note- This was originally published in June 2022 and updated in July 2023 I recently bought three different cryptocurrency coins. I don’t have custody of them, neither hot nor cold. But […]

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