Blue Wave or Red Tide: What Is Best for The Market?

I went to early vote last Friday. It was mid-morning and the wait was nearly an hour. For some reason, folks seem extra motivated to participate in our representative democracy in this mid-year election. In fact, according to The Texas Tribune, early voting totals across Texas are only slightly behind where they were during the 2016 Presidential election, and more than double the number seen in the 2014 mid-terms.

While we won’t know the outcomes of the elections until next Tuesday night, one thing we can count on is that plenty of political advertisements, opinions, and prognostications will be shared in the days to come. Pundits will want you to believe that this election, unlike all before it, is the most important vote you will ever cast. The results, they claim, will have lasting impacts on the economy, society, and even the planet.

In financial circles, this talk will almost assuredly include how the composition of the House and Senate could move markets. But should you be worried about how this mid-term election will impact your portfolio?

How to "Bear" a Flood

"Texas is a land of perennial drought, broken by the occasional devastating flood." -Unknown Meteorologist

An Olympic-size swimming pool contains about 88,286 cubic feet of water. On Tuesday, October 16th, I drove up to Marble Falls to witness what the equivalent of nearly four of those pools of water PER SECOND looked like as it flowed through and out of the banks of the Colorado River. As we stared in awe of the power of nature, I was also reminded of the comfort that a sound plan can provide.

Is "Buy Low, Sell High" Market Timing?

“What’s the difference between ‘buy low, sell high’ and ‘timing the market’?”

That was a question posed by a friend recently. He said that he had been advised to “take some wins off the table and invest in under-appreciated assets”. He went on to say, “which sounds like trying to time the market.”

He may be getting good advice, but he is right to be skeptical.