What’s International Diversification All About?

Thank you to all the readers who responded to my recent article, “Diversification, what are you trying to accomplish?” Diversification is a hedge to protect your nest egg from catastrophic risks, including desperate governments and high inflation. Readers asked for more information about my remark, “How does an investor hedge against inflation? Hold money in different currencies – outside the […]

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Don’t Blow Your Retirement Nest Egg By Listening To Warren Buffett

Mr. Buffett is giving seniors and savers bad advice. “Diversification is protection against ignorance. It makes little sense if you know what you are doing.” – Warren Buffett. The Buffet theory acknowledges risk is mitigated by sector gains offsetting sector losses; however the opposite is also true – sector losses offset sector gains and reduces returns. His is willing to […]

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The Sky is Falling! – Place your bets

Chicken Little proclaimed, “The Sky is Falling”, warning all who would listen. Wikipedia tells us, “…Chicken Little … is a folk tale … about a chicken who believes the world is coming to an end. The phrase ‘The sky is falling!’ … (is) … a common idiom indicating a hysterical or mistaken belief that disaster is imminent. Versions of the […]

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4 Tips for Catastrophe Protection

Parenting never ends. My granddaughter bought her first car and asked me about insurance. She had two quotes: one with a $100 deductible and a second for $500 deductible. She was leaning toward the $100 deductible because “it was only $10 more per month”. So why not take that option? I explained the higher premium policy buys an additional $400 in […]

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