• Uncategorized

    Why Do Financial Plans Fail?

    You have likely heard of Financial Planning, and you may even be using it yourself to prepare for retirement. Although it has become a very popular way to create portfolios, I have come to believe that traditional Financial Planning has four specific flaws that may be fatal. Since realizing how risky Financial Planning was, I have begun creating portfolios which have a higher return and create a margin of safety (or a substantial windfall of extra savings above and beyond what is nominally necessary for comfortable retirement) to mitigate what I believe are significant risks as the market changes with new technology and industries. Our view is that traditional Financial…

  • Adams Financial Concepts,  Current Events,  Mile High View

    How Will This Bull Market End?

    How will it end? Will it end in another Great Recession? Will it end with a bout of high inflation? Or will it just continue on and never end? The Great Depression of the 1930s, like the First Great Depression of the 1830s and the long-lasting Depression of the 1870s to early 1900s, was credit-related. During those economically stressful times, bank runs became panics. When a bank was in trouble, individual depositors, fearing the loss of their money, would rush to the banks to demand their money back. When the panic affected only one bank, that institution could sometimes borrow cash from other banks or sell their loans to raise…

  • Current Events,  Mile High View,  Return on Investment

    How Long Will This Secular Bull Last?

    John Templeton, one of the great investors, said of secular bull markets, “Bull markets are born in pessimism, grow on skepticism, mature on optimism and die on euphoria.”   Secular bull markets continue for decades: 1941 to 1966 and 1978 to 2000, for example. I believe it is important to know the “mile high” view and not to get lost in the short term swings. There is no shortage of pundits who predict coming crashes. Andrew Roberts of the Royal Bank of Scotland stated, “Think the unthinkable – the market is going off a cliff”. That was in 2010. That is not unlike James Dale Davidson, who predicted there would…