Foreign Exposure: How Much is Enough?
In a recent Wall Street Journal column, writer Jason Zweig addresses the oft-debated topic of the appropriate foreign allocation within a stock portfolio. Zweig concludes that, for most investors, their stock allocation should mirror the allocation of the world’s equity markets – which is to say 42% in the U.S. and 58% in foreign markets. While we find ourselves in agreement with Zweig on many issues, on this one we must respectfully disagree.
Wednesday, February 24th, 2010
All is not “Lost”
2009 marked the end of a tumultuous decade for stocks, one labeled the “Lost Decade” by the Wall Street Journal and “The Decade from Hell” by Time magazine. Despite an astounding 68% rebound from the March 2009 lows, the S&P 500 Index still lost 9.1% for the 2000s – the worst calendar decade in market history. While it’s hard to argue with the headlines, a minority of individual investors (including our clients) actually found the decade to be a productive one.
Friday, January 29th, 2010
Final Predictions for 2009
At Truepoint, we recognize the folly of making short-term predictions related to the financial markets; we do, however, offer other predictions. One of these is the inevitable boast you will hear at a holiday gathering from a seemingly shrewd investor.
