Bulls vs. Bears: Q4 2011 Edition

bulls-vs-bears

You don’t get harmony when everybody sings the same note.

~Doug Floyd

Every so often I like to write about what the bulls are saying versus what the bears are saying. Usually, both make a pretty good case. That doesn’t make it any easier for investors to make decisions, but it does offer them some balanced information which they can then use in any way they like. Today’s bull vs. bear debate zeroes in on a few specific factors rather than presenting a comprehensive overview.

I recently  came across two differing takes on the market heading into the end of the year. The fourth quarter is often pivotal for portfolio managers as it’s their last chance to meet or beat their benchmark. Like it or not, that’s the nature of the game and it can affect markets as investors jump on trends in an attempt to cross the [...]

Read on and enjoy … Bulls vs. Bears: Q4 2011 Edition

Portfolio Options for a Risky Market

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If I had a formula for bypassing trouble, I would not pass it round. Trouble creates a capacity to handle it. I don’t embrace trouble; that’s as bad as treating it as an enemy. But I do say meet it as a friend, for you’ll see a lot of it and had better be on speaking terms with it.

~Oliver Wendell Holmes

When I wrote about Why This Is No Market for Couch Potatoes, it sounded like I was saying that there’s elevated risk in both the stock and bond markets at this moment in history. I was. That begs the question then: Where can we invest? If not stocks or bonds, where? Gold? Real estate?

An astute reader posed that exact question and I said I would address it in a future article. So here we go. I [...]

Read on and enjoy … Portfolio Options for a Risky Market

What’s Your Investment Personality?

investment-personality

All men should strive to learn before they die what they are running from, and to, and why.

~James Thurber

Update: This article was included in the Totally Money Blog Carnival hosted at Fat Guy Skinny Wallet and the Carnival of Financial Planning #173 at The Skilled Investor. Thanks!

Have you found the investment process very frustrating? Maybe you’ve been trying to pick individual stocks, implement the recommendations of your advisor, or follow a passive strategy on your own. Any one of these investment strategies could work. Those who spend a lot of time debating which is the best one miss the more important question: Which one will work for you?

Regular readers know that I’m a fan of the movie The Princess Bride, so I can’t resist quoting one of my favourite exchanges. This one involves the characters [...]

Read on and enjoy … What’s Your Investment Personality?

Year in Review: 10 Themes from 2010

2010

If you want to understand today, you have to search yesterday.

~Pearl Buck

As 2010 draws to a close, I thought we might take a look at some of the major themes we’ve explored this year at Balance Junkie. I’ve chosen ten main ideas and included a few posts for each. Enjoy!

1. Balance

Of course, balance was an idea that was woven through most of the articles for this year, so I’ll just highlight a few that address the concept more specifically:

Your Life Balance Sheet How to Cultivate a Better Life What Is a Balanced Portfolio?

2. Deficits

We discussed a lot of different types of deficits this year, from budget deficits to integrity deficits. It seems we’re in the red in more than one area:

What If Your Budget Doesn’t Balance? Read on and enjoy … Year in Review: 10 Themes from 2010

What Would Make Me Invest in the Stock Market?

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The world will change for the better when people decide they are sick and tired of being sick and tired of the way the world is, and decide to change themselves.

~ Sidney Madwed

Update: This article was included in the Carnival of Wealth #10 posted at Personal Dividends. It was also included in the Carnival of Money Stories – Halloween Aftermath Edition posted at Live Real Now and the Carnival of Financial Planning #164 at ABCs of Investing. Thanks!

I’ve stayed out of the stock market game for the most part for the past few years. Yet I follow and write about personal finance, investing, and economics every day. I still find it very interesting and I would love to participate again at some point.

Last week I wrote about risk tolerance in Stock Allocation: All or [...]

Read on and enjoy … What Would Make Me Invest in the Stock Market?

Where Is the Stock Market Headed Next? Part II

Many a man curses the rain that falls upon his head, and knows not that it brings abundance to drive away the hunger.

~ Saint Basil

Update: This post was included in the Carnival of Financial Planning – Edition #146. Thank you!

Today we’ll try to answer the last four questions posed by Kevin at Out of Your Rut in his article on where the stock market is headed. (You can read my answers to the first four questions in Part I.) Before we get started, I just want to mention that there has been quite a bit of bearish commentary lately, and it’s not just coming from yours truly, David Rosenberg, and other recently bearish analysts. If you don’t follow me on twitter @BalanceJunkie, here are just a couple of articles that caught my eye [...]

Read on and enjoy … Where Is the Stock Market Headed Next? Part II

Where Is the Stock Market Headed Next? Part I

Weather is a great metaphor for life – sometimes it’s good, sometimes it’s bad and there’s nothing much you can do about it but carry an umbrella.

~ Terri Guillemets

A couple of weeks ago Kevin at Out of Your Rut asked a question that a lot of people ask themselves and others pretty regularly: Where Do YOU Think the Stock Market Is Headed? He presented both the optimist’s view and the pessimist’s, then challenged readers to answer a series of questions to arrive at their own view of where the stock market might be headed next.

I know there are some who would disagree with the idea of even raising the question. I’ve written a couple of articles about the ostrich effect and the other pitfalls of passive investing recently, so I won’t go into those issues again here. Suffice it to [...]

Read on and enjoy … Where Is the Stock Market Headed Next? Part I