Published March 27, 2026
For many years, we have read that “the coming decade for stocks will offer little or no return!”. That has certainly not been the case as stocks have generally risen strongly over the past decade. Further, even if stocks did find their way to another “lost decade” of zero net return over many years, we know from experience that getting to that zero return usually includes prolonged swings up and down. (more…)
Passive investing involves buying index ETFs or funds of varying asset classes in some predetermined target mix, such as 60% of a portfolio invested in stocks and 40% in bonds. The investor focuses on buying this portfolio at the lowest possible costs, holding the ETFs/funds indefinitely while occasionally making minor adjustments to keep the portfolio near its target mix. The challenge in following a passive investment approach is setting aside our emotional response to a market under severe pressure. Seeing your account balance dropping 20% is difficult for most of us to stomach. We believe investors do not have to suffer through those gut-wrenching declines. (more…)