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Don’t Make Yourself an Easy Target

By | 2015, Money Moxie, Newsletter | No Comments

Identity theft seems to be always in the news and people want to make sure they are mitigating the risk.

Hacker

Just this last week, a student at the University of Utah discovered he was the target of identity theft. The thief applied and was approved for multiple accounts in the victim’s name and was making purchases. The individual even updated bank information using a new email address he created, unbeknownst to the victim.

What can we learn from this?

  1. Shred anything with personal information.
  2. Check your credit report for suspicious activity.
  3. If you feel you have become a victim, place an immediate freeze on your credit. This prohibits someone from applying for a loan or credit card in your name until you remove the freeze.

Another place identity thieves love is the junk yard. They search through the wrecked and totaled vehicles that potentially contain mountains of papers that can be used to steal your identity.

KSL News recently investigated and found a lot of information that had unknowingly been left in vehicles: bank information, medical records, checkbooks, and tax information,1 all of which contained the perfect recipe for identity thieves: names, address, Social Security, and bank account numbers.

What can we do to make sure our vehicle isn’t a potential jackpot for identify thieves?

  1. Clean out your vehicle regularly.
  2. Don’t store sensitive documents in your vehicle.
  3. Double check all locations, i.e. console, glove box, trunk, and underneath seat, before selling or letting your vehicle be towed after an accident.

An additional item that must not be overlooked is your online presence. It seems like every website requires a login. Some ask for a user ID. Others want your email address. The password requirements differ: letters, numbers, special characters, or all three.

The best passwords are longer than 8 characters; include a combination of letters, numbers, and special characters; and are changed every 3 months.

How can you keep track of and secure your passwords?

  1. Memorize them.
  2. Write them down and keep the list secure.
  3. Use a phrase you can remember that is hard to guess. Add variations at the beginning or end.
  4. Have your Internet browser remember them.
  5. Use installed software that remembers them.

Do not make your passwords the same. If one of your logins is compromised, the hacker will try it on your other logins. Another tip: do not write them on a sticky note next to your computer.

We have had many clients ask us about purchasing an identity theft protection product like LifeLock, IDShield, or LegalShield. You can do many things they do for free to protect your identity, such as monitoring your bank accounts, credit card statements, and your credit reports. However, this can be time-consuming.

For a monthly fee, these services monitor your personal information and send you alerts if any suspicious or fraudulent activity ensues. Each of these differs in price and the services they provide.

If this is something you would like, do your homework and research them to find one that offers the right balance of features for the price you are willing to pay.

Identity thieves work around the clock. Unfortunately, they’ve made it their job. Follow these steps to make it harder and don’t make yourself an easy target.

 

1. Mike Headrick and Tania Mashburn, “Piles of Personal Data Discovered in Salvage Yards,” KSL.com, November 9, 2015.

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What Happened in 2014?

By | 2015, Viewpoint | No Comments

Major Markets Update

The U.S. economy begins 2015 with the best momentum in over a decade. For years investors have questioned whether tepid growth could overcome the slack caused by the 2008 recession and the collapse of the housing market. Now it is time to move on. The question is whether the U.S. economy is strong enough to pull the world out of its current slowdown.

Emerging

Global Summary

There were plenty of reasons to be afraid of investing during 2014: Russia invaded Ukraine, United States joined a war against I.S. (or ISIS), spread of Ebola, and the quick collapse of oil prices.

Europe’s economy shrunk by 0.1 percent in the second quarter and then grew just 0.1 percent in the third. Japan is experimenting with government stimulus and China is slowing down.

In spite of these fearful events last year, the S&P 500 managed to achieve a double-digit gain for the third year in a row. This had not occurred since the late 1990s when the S&P 500 reached a 10 percent or greater rise 5 years in row.

unemployment

U.S. Employment

Approximately 3 million new jobs were created in 2014—making it the best year for new jobs since 1999. Unemployment improved as well, ending the year at 5.6 percent—the best level since 2008.

The average U.S. consumer spends just about every dollar earned. This spending drives nearly 70 percent of the economy. While debt levels as a percent of income are relatively low, so is wage growth.

Incomes in the United States increased at just 1.8 percent during 2014. With that lackluster change consumers are not likely to boost spending significantly.

Oil

Gas Prices

The global supply of oil is surging thanks to producers in the United States and Canada. Members of OPEC seem unwilling to cut production. This combined with slowing global growth led to an epic 55 percent drop in prices since last June. This means lower prices for consumers.

The average price per gallon in December was just $2.54 and prices have continued to fall in January. The savings per household will likely be between $500 and $1,000 in 2015.

Summary

When it comes to investing in global markets, the winners and losers rotate unpredictably each year. Last year, the winner was U.S. large companies. This year it may be different. This is why including large, small, and foreign investments in your portfolio should help you achieve better results over many years.

*Research by SFS. Data from public sources. This is not a recommendation to purchase any type of investment. Investing involves risk, including potential loss of principal. The S&P 500, S&P 600, Dow Jones Global, and MSCI Emerging Markets are indexes considered to represent major areas of the stock market. One cannot invest directly in an index. Past performance does not guarantee future results. Please see disclosure on opposite page for more detail.
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Fear Leads to 3 Costly Mistakes

By | 2014, Money Moxie, Newsletter | No Comments

To hear bad news, all you have to do is turn on the TV. Every other day another story appears about how we are in a bubble and stocks are going to crash, especially if you listen to the eternal pessimists. On the flip side if you listen to the eternal optimists, stocks have a lot of room to run. So, to which side should you listen?

You can usually find opinions at both extremes. The truth, however, usually falls in the middle. So, the next time you are ready to make a knee jerk reaction to some bad news, think through these mistakes to make sure you are making the right decision.

Trying to time the market and go into cash – It’s hard not to react to bad news because it is in our emotional makeup to protect ourselves. The next time you hear a pundit or a co-worker saying there is a bubble and stocks are headed down, try not to jump on that emotional roller coaster.

Just remember, “When you sell, you have to be right twice.”1 Not only do you have to time it right when you get out, you also have to time it right when you get back in. That leads to the next mistake.

Holding on to cash and not reinvesting – If you have sold some investments into cash, it is hard to figure out when to reinvest. You have heard the adage, “Buy low, sell high,” but implementing it is very hard to do.
Mark Yusko said, “Investing is the only business I know that when things go on sale, people run out of the store.”2

Don’t just sit on cash that is earning hardly anything. Look at market volatility as an opportunity and redeploy your cash into investments with at least a little growth potential.

Short-term thinking – The most common mistake people make is to change their entire portfolio structure based on what is happening right now.

One example is a retiree moving all of his investments into cash because of a conflict on the other side of the world. That is like boarding up your house to protect against a hurricane when the forecast is for an afternoon thunderstorm.

A properly designed investment plan should be able to weather the storms on the horizon. Don’t short circuit your plan by making a knee jerk reaction to the news of the day. Make sure that your investment plan is driven by your goals and values, and stick with it.

 

1. Fearing a bubble can lead to 5 costly mistakes, CNBC 11/10/14. http://finance.yahoo.com/news/fearing-bubble-lead-5-costly-140000840.html
2. http://mebfaber.com/2011/03/12/when-things-go-on-sale-people-run-out-of-the-store/#sthash.3bJmQucQ.dpuf

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Need Help Allocating Your 401(k)?

By | 2014, Money Moxie, Newsletter | No Comments

One of the most common questions we get at SFS is “How should I invest my 401(k)?” This is a critical question, especially considering that 18% of retirement assets are tied up in these accounts (source: Investment Company Institute). Managing your 401(k) may be the most important place to place your financial focus after managing your spending.

First things first—start saving now. Starting early is the best way to get compounding rates of return to work in your favor. Remember, Albert Einstein called compounding rates of return the “8th wonder of the world.”

Next, take advantage of free money by getting the full match your employer offers. Not all 401(k) plans include a match, but if yours does, then make sure you get the full benefit. The rate at which you save is far more important than the rate of return you get. So, keep saving for the future.

Now let’s get into the investing nitty-gritty. Every person must decide how much risk to take in his or her savings. Your risk tolerance should be based on your ability, willingness, and possibly your need to take risk. It will be different than that of your friends and coworkers. It may even be different than that of your spouse.

Your ability to take risk includes factors like your overall financial situation and your time horizon. The more savings you have, the more risk you can take. The longer you plan to invest, the more risk you can take. Why? Your chances of positive returns in stocks go up the longer you invest.

Willingness to take risk is more difficult to determine. The essential question is how well will you be able to handle a drop in the value of your investments? If you view a fall in the stock market as an opportunity to buy more then you may have a high tolerance for risk.

When it comes to picking investments, the easiest route is to find an investment that approximates your retirement date. These all-in-one solutions provide some diversification. While diversification is far from a guarantee, it is still a good way to help manage risk. The pitfall of the retirement date choices is that these don’t take into account your personal situation (health, income, assets, debt, etc.) and they may not even disclose exactly how they are invested.

If you choose to select your own mix, be careful. Selecting the hottest performer last year can get you in a lot of trouble. Distributing your account balance evenly into each option is certainly not the way to go either.

This is where a little research and help from a professional can help. Give us a call. We can help you navigate the 401(k) maze.

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Obamacare Medical Costs on the Rise

By | 2013, Money Moxie | No Comments

There is no shortage of controversy surrounding Obamacare. Apparently there is also much confusion around its name. Jimmy Kimmel, the late night comedian, proved that people don’t have their facts straight. He had a camera crew ask people on Hollywood Boulevard which they liked better: Obamacare or the Affordable Care Act. One woman explained that Obamacare has “a lot of holes in it, and I think it needs to be revamped.” The same woman felt that “the Affordable Care Act is better.” She wasn’t the only one. Most people had similar opinions. Just to clear up any misconception, they are one in the same.

One thing that is certain is many Americans will have their medical insurance costs increase this next year. This is largely due to medical carriers revamping their plans to be in compliance with the new law.

Forbes reports that 41 states will experience premium hikes. In Utah, individual-market premiums are expected to increase by 24%.1

Average_Age

In one case, a single mother with 5 children had the cost of insurance increase from $827 per month to $1045. That is a 26% increase for one year.2

Seniors may also be indirectly impacted by the new law, which imposes spending cuts by reducing payments to hospitals and doctors, while increasing incentives for more efficient care. Supporters say this will strengthen the Medicare program in the long-term. Opponents say that seniors in Medicare will find it harder to access their benefits because more doctors are refusing to treat Medicare patients.3

The silver lining to all of this is that 30 million Americans will now have access to health care, and
many of those will be eligible for subsidies.

To see if you may be eligible for a subsidy, go to the calculator at http://kff.org/interactive/subsidy-calculator/.

If you are eligible for a subsidy, you will need to apply for insurance through an exchange. When an exchange determines that a person is eligible for a tax credit based on expected income, subsidies will be paid directly to insurers to lower the cost of premiums.

Consumers purchasing insurance through an exchange “can pick from four levels of coverage, from bronze to platinum, with the greatest differences appearing in cost sharing features such as annual deductibles and copayments. Bronze covers 60 percent of expected costs; silver covers 70 percent; gold covers 80 percent; and platinum covers 90 percent.”4

After subtracting subsidies, a 27-year old in Salt Lake City earning $25,000 per year would expect to pay $95 a month if he chooses the bronze plan. A family of four in Salt Lake City with an income of $50,000 per year would expect to pay $122 per month for the bronze plan.5

The bottom line is that health care subsidies will be beneficial for low-wage and middle-income families. If you make too much to qualify for subsidies or if you are covered by an employer plan, most likely your premiums are going to increase. As the Supreme Court said, this increase is a “tax.” Make sure to plan those increased “tax” expenses in your monthly budget.

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The Federal Reserve Will Soon End its Easy Money Stimulus

By | 2013, Money Moxie, Newsletter, Viewpoint | No Comments

When Lehman Brothers collapsed in 2008, all lending essential stopped. The U.S. Federal Reserve (Fed) feared that all five investment banks in this country would cease to exist. No one fully understood the financial calamity coming, but we were beginning to feel what the worst recession in 80 years would be like.

The Fed acted to stop the financial infrastructure from imploding. It believed cushioning the blow was necessary to help all Americans. It started the Troubled Asset Relief Program (TARP). It added to that program over the years with Quantitative Easing (QE) one, two, and three.

Recent years may not have felt like easy money to us, but there is likely no organization more profitable in recent years than the Fed.

The Fed doesn’t literally print money (a responsibility of the U.S. Treasury). It doesn’t have to. Money is created electronically by the Fed and infused into the financial system through open market actions. Its effectiveness is questionable. Its impact is global. And at some time soon it may be ending.

What Is the Fed’s Impact?

Currently, the Fed is spending roughly $85 billion each month to buy treasury bonds in order to keep long term interest rates at historically low levels. The goal is to encourage risk taking. The Fed wants banks to lend, businesses to hire, and consumers to borrow.

If you have purchased a home, refinanced a loan, or bought a car with debt, then you have benefited from these unprecedented efforts of the Fed.

All this money the Fed is creating seems to be working to a small degree. The U.S. stock market* is on track for its fourth positive year in the last five. If you have invested in stocks or bonds consistently during this time, you have probably benefited from the Fed’s actions. Experts have been debating how well the Fed’s historic efforts have worked. One theory is that each time the Fed spends, it has less positive impact than the previous effort. This would explain the lackluster growth in the economy.

Why Is the Fed Still Involved?

Simply stated, the benefits still appear to outweigh the risks.

Low interest rates are meant to be enablers for businesses and consumers to increase borrowing. If the debt gets out of hand, then we will be facing similar problems to those that got us into this mess.

If spending and demand increase too much, then inflation could rise to levels considered too high for a developed economy (greater than 4 percent). At that point, the Fed will have to react to try to slow down the economy even if it means job losses.

At this point, official inflation is tame and private debt levels do not appear inflated like in 2007.

As long as the risks appear low and unemployment is above 7 percent, the Fed is likely to keep spending.

What Will Happen When the Fed Slows Stimulus?

Interest rates will rise from the unusual levels where they currently are to a more natural rate determined by investors. We experienced a taste of what this will feel like this spring and summer. Rates on the 10 year treasury almost doubled in just a few months. Investors saw an increase in volatility.

Where Is the Silver Lining?

Don’t fight the Fed is a common phrase for investors. The Fed is powerful and it is working for what it believes is best for Americans. It plans to cut stimulus only after it determines that the U.S. economy is strong. If rates rise that should bring better yields for savers.

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College Education – A New Path

By | 2013, Money Moxie, Newsletter | No Comments

What’s happening to the college experience in America? It’s changing. Not because of the campus environment, but rather because of the financial burden that faces today’s students.

The cost of obtaining a college degree continues to grow at a rapid pace. So, does college still pay off? The answer is yes! However, the path taken to obtain a degree has changed from the traditional route.

Students are getting savvy about spending more for their degree. Reducing costs is a major concern. As a result, many high school graduates are starting their college experience at the local community college. They receive the same level of basic education at a fraction of the cost compared to a private institution. Once the basics are covered, they transfer to their college of choice.

Why pay more to go out of state or to attend an Ivy League? In-state colleges offer a wide variety of academic majors and activities to create a great campus experience. The in-state tuition advantage makes going to these colleges a great investment. In addition, cost conscious students are willing to live at home while going to college. This way they can save on room and board as well as the cost of food.

Technology has had a major impact on college education—not only in the classroom but also as an educational avenue. Some students are opting to take college courses online. Recorded lectures and study materials permit them to attend class at their convenience. This flexibility offers students the opportunity to work and attend college at the same time. For many, technology makes what used to seem impossible, possible.

Many have given up on the traditional college education and are looking for a trade specific education, something that requires less time, a lower financial outlay, and the opportunity to get started in a career while completing required courses.

It’s safe to say that when it comes to education, that students are making the rules based on their individual needs and financial resources.

The focus on various degrees is also changing. Choosing a degree has a significant impact on one’s lifetime earning ability. Those obtaining engineering degrees have the potential to secure higher paying jobs throughout their lifetime than those with literature or education degrees. This being said, it’s important to note that just having a four-year degree, regardless of the field of study, gives students an upper hand when it comes to lifetime earnings. Many employers are not fixated on a specific degree. They believe they can train an employee in the areas they need. However, employers view a college degree as a definite advantage. Typically, these employees know how to manage their time and resources, research information, and solve problems, making them valuable employees.

Regardless of the form of education, the payoff in lifetime earning ability is huge and increasing.

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“The Most Powerful Force in the Universe”

By | 2013, Newsletter, Viewpoint | No Comments

Those who understand interest, receive it. Those who don’t, pay it. As investors, we believe this and we strive to go one step further. We seek to get paid interest on our interest. We call this compounding interest.

Albert Einstein called compounding interest “the most powerful force in the universe” and “the eighth wonder of the world.”

It is this mathematical force that has driven the Dow Jones Index to new highs and to over 15,000 this year.

Like everything in life there is a catch. It takes time to achieve compounding interest and it involves uncertainty.

Time

One of the first questions we ask investors is “What is your time horizon?” In other words, “When do you plan to spend this money?”

This is critical because it may take some time to realize the benefits of compounding interest. On June 30, 1993 the S&P 500 was at 450. Fast forward one year and the return was negative 1 percent. Move forward ten years and the total return was 116 percent. Twenty years later, in 2013, the total return was 256 percent!

It pays to be patient with investments. It pays to keep a long-term perspective.

Uncertainty

The stock and bond markets do not travel in straight lines.  There are days when they rise and there are days when they fall. If we don’t accept the uncertainty, then why would we expect to receive a reward.

As investors, we must accept some risk and we believe that over long periods of time, these markets will reward us.

In the last 50 years, the S&P 500 has gained 2,215 percent. Despite this fact, the market was positive only 42 percent of the months. That sounds like a frightening outcome, but the average return for all months was still a positive 0.6 percent.

The good news is that the longer the time period, the more likely an investor is to achieve growth. Positive returns occurred in 53 percent of the years, in 60 percent of 5-year periods, in 80 percent of 10-year periods, and in 100 percent of 20-year periods.

What can we expect in the future?

I believe there is still room for growth. I believe potential for improvement in technology, housing, energy, and employment could fuel this growth.

I expect that the further we look in the future, the more likely we are going to see opportunities to compound returns.

I believe the Dow Jones Index, which currently is flirting with the 15,000 level, is likely to reach 30,000. In my mind it is not a matter of if, but when.

What does all this mean? As we like to say at SFS, “Now is always the best time to invest.”

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5 Ways Rising Interest Rates Will Impact Your Life

By | 2013, Money Moxie, Newsletter | No Comments

On May 21st, the Federal Reserve Chairman, Ben Bernanke, announced that the Fed was going to start tapering their bond buying program sometime in the fall. In essence they feel the economy is doing well enough that they don’t need to keep pumping as much money into it. Ironically, the better economy is both good and bad news, depending on your perspective.

The bad news came as mortgage rates jumped about one-half a percent within a month. That left many people wondering how they will be impacted as interest rates continue to rise in the future. Here are five things you should know about how rising interest rates will impact your mortgage, savings accounts, and investments in bonds.

1. Mortgage rates are still low, but are on the rise.

The mortgage rate cruise ship has just started its engine as it prepares for a long cruise to the North. We have probably seen the lowest rates that we will see for a long time, maybe even our lifetime. This isn’t to say that everyone should abandon ship and never plan to move. Life doesn’t work out that way. It just means that if you are planning to move, and the move is in your control, then it may be better to move sooner rather than later.

Interest rates in the 4’s and even 5’s are still incredibly good by historical standards. As interest rates rise, you will either see your anticipated mortgage payment rise, or you will need to look for a slightly smaller and less expensive home. For example, the monthly payment on a 30-year mortgage of $400,000 went up by about $100.2 So, either you will find it in your budget to afford the additional $100 or you will look for a less expensive home.

2. If you are thinking of refinancing, you better do it soon.

Most people with equity in their home and great credit have already refinanced. However, if you have procrastinated, listen to the last call of “all aboard” and get on the low rate cruise ship before it leaves the harbor. If you didn’t have enough equity to qualify before, check again, because “rising (home) prices pushed 850,000 homes into the black in the first quarter.”3 If you are still underwater, you may be available to refinance through HARP. Check out the details at Harpprogram.org.

3. Lock in your rates now, if you are ready to buy.

This may help you avoid any short-term rate spikes. “Most lenders won’t charge for a 45- or 60-day rate lock.”4  Only pay for a longer rate lock if the deals are closing slowly. You should be able to ask your lender about this ahead of time. Also look for a free float down option in case the rates dip a little. Mortgage rates are still close to their all-time lows. So, lock in a rate for a long time, especially if you are looking to get a 30-year mortgage.

In this current environment, an adjustable mortgage makes sense only if you know you will move within a few years. You don’t want to get a 5-year adjustable loan and stay in the home for 30 years.

Rates going up will probably slow down the housing recovery a little, but it won’t be derailed. Rates are going up because the economy is healthier. For savers, the increase in interest rates is a mixed bag.

4. Interest in savings accounts, CD’s, and money markets will increase.

This is good news and bad news. The good news is that the abysmally low rates we have seen for the last few years will go up a little. The bad news is that you probably still won’t keep up with inflation.

One concern is that we may have inflation like we did in the ‘80s. So, if you are looking at putting your money in a CD or other investment that is locked up, avoid locking it up for a long time. For example, right now may NOT be a good time to put your money in a 5-year CD paying 1%. Inflation was already 2.1% in 2012.6

If inflation goes up higher, being locked in and earning only 1% would feel like a jail sentence. Another strategy would be to place your money in a one-year CD and roll it into a new CD every year anticipating that rates may go up each time you renew.

5. Bond investors, be cautious.

Since the market crash in 2008, many people have fled the stock market and moved into bonds in search of safety. However, bonds are not without their own risk. As inflation increases, the value of a bond may actually go down.

Many bond investors have seen this firsthand as they have watched bonds in their account stay flat or go down despite the growth in the stock market this year. This is not to say that you should get out of bonds completely. Even aggressive investors often have some bond exposure to help with the unpredictability of the future. However, in a rising interest rate environment you have to pay attention to what types of bonds may still do well and incorporate those bonds into your portfolio.

The good news is that there is a general consensus that the U.S. Economy is healthier and continuing to move in the right direction. However, this will most likely lead to higher interest rates, which can be both good and bad. Pay attention to how you will be impacted and if needed, make some moves now so the impact won’t be a tidal wave.

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Lessons of the Bitcoin

By | 2013, Executive Message, Money Moxie, Newsletter, Viewpoint | No Comments

Bitcoin is a new form of money. It is 100 percent electronic and it just exploded in popularity. In just 6 weeks a Bitcoin went from $25 to $250. What an exciting time for Bitcoin speculators. Why even question it? This is a new electronic age and the possibilities are endless.

Not so fast! On April 10, 2013, the Bitcoin imploded. In just a few hours the value of a Bitcoin fell from $266 to $76.

What is the problem with Bitcoins? Where do we begin? The synthetic currency has no intrinsic value. It represents ownership of nothing. It is not backed by any government. It is not a commonly accepted form of payment. Its owners could be hacked and robbed, or it could be replaced by a more popular made-up currency. The Bitcoin mania may turn out to be one of the most spectacular bubbles of all time.

The term bubble was first used in the early 1700s to refer to wild price fluctuations associated with the “South Sea Bubble.” Another famous episode was the Dutch tulip mania of 1637. In recent history, we have survived the dot com bubble, the real estate bubble, the oil bubble, and possibly the gold bubble.

Why are we so prone to pricing bubbles? Will they ever end?

Greed: The idea that $100 could turn into $150 tomorrow creates fans. That excitement leads them to forget that it is one of the most volatile ways to gamble. Given that it has no real value, it may be more likely to fall 50 percent than rise 50 percent.

Conformity: When opinions converge on an incorrect idea, we call it groupthink or herd mentality. When money is involved, we call these bubbles, and they are dangerous because they can be costly.What should we watch for when trying to detect a bubble?

(1) Insane predictions (with or without good explanation)

(2) Excessive attention as too many people discuss and act like experts

(3) Repeated use of the phrase “this time is different”

(4) Deviation from normal supply and demand because of manipulation

The U.S. stock market has had a string of new highs over the last few months. This in and of itself is no cause for alarm. Hitting new highs is exactly what stocks are supposed to do. That is how investors make money. (Read “Patience is a Rewarding Virtue” from the  previous issue of the Money Moxie.)

How do we know if stocks are in the process of forming a bubble? There are a few simple reasons why investors should not be overly concerned at this point.

(1) Stocks represent ownership of real companies that have value and can grow in value

(2) Valuations of companies compared to earnings are near historical averages

(3) Fundamental improvements in the economy are taking place that support a rise in the market

Bubbles involve a high degree of risk. One way to avoid unnecessary risk is to watch out for investments that don’t have real value or have deviated too far from their true value. Those values are derived from how much the next person is willing to pay.

On the other hand, stocks market gains can benefit everyone who participates. Stocks represent ownership of something real. Time has shown that carefully investing in a diversified portfolio can yield positive results over time.

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