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Minimizing Realized 2009 Capital Gains

Time to look at minimizing realized 2009 capital gains!  At the end of this volatile year, we’ve had great performance in the equity markets.  Since January 1 the S&P is up over 24 percent through 12/29/09 so you might have significant unrealized gains in your portfolio.  After 2008 though, you might have some large realized [...]

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Banks Need to Come Clean

Being in this business for a long time, I distinctly remember the early 1990s when the Japanese stock market crashed and the Japanese real estate bubble burst. In the aftermath of this debacle, the Japanese government was criticized for making their problems worse by moving too slowly in dealing with Japanese banks’ toxic loans. The [...]

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Long Term Corporate vs Gov’t Debt – Advantage Corporate

For those wondering why we prefer short maturity bonds, yesterday’s 30 year US Treasury auction results are a stark reminder.  In the last 10 days the yield on the 30 year US Treasury has jumped from 4.18% to a high of 4.52% yesterday.  For investors who bought a 30 year treasury bond just 10 days [...]

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Earning Nothing On Money Market Accounts

In order to reflate asset prices in U.S. capital markets, prevent a financial system meltdown, and provide the ammunition for the beginnings of an economic recovery, the Federal Reserve Bank has kept short term interest rates at essentially 0% for an extended period of time.  The strategy has worked: not earning any interest on savings [...]

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