Sunday, May 29, 2016

Forbes: Do We Need The Fed? Maybe Not, But We Need Free Markets

By SIMON CONSTABLE

Reason Foundation scholar, and economics journalist, John Tamny has written a new book titled Who Needs the Fed? If you believe Tamny and what he’s written, then the answer is clearly, not us.
His book, published earlier this month, is about much more than the Federal Reserve,the central bank of the United States. It’s about sound economic policy. It’s about what works in economics, and what doesn’t work.

Read more here.

Thursday, May 26, 2016

Forbes Video: Beat The S&P 500 By 2-To-1

By SIMON CONSTABLE

Making money in the market is often hampered by the reality that taxes need to be paid on the gains. But what if you could let your money grow over a long period of time and only then pay your taxes? There is a way to do that and to beat the market at the same time. It's a trick that can beat the broad market, as measured by the S&P 500, by a factor of two-to-one, says Adam Johnson, founder of Bullseye Brief newsletter in this recent video.

Wednesday, May 25, 2016

Forbes Video: What Are Negative Interest Rates And Should You Worry About Them?

By SIMON CONSTABLE
In some places outside the U.S., the cost of borrowing money has dipped below zero. It's a strange concept and basically means that money kept in a bank deposit would actually shrink instead of grow.
One question that many people wonder about is whether the negative rate phenomenon will be coming to the United States. It would be decision made by the Federal Reserve and one that would also have dramatic impact on the U.S. economy.
To find out what's going on I spoke with Joe Brusuelas, chief economist at professional services firm RSM who explains what it means and whether America will follow suit. Watch, listen, and learn here.

Forbes Video: Why The Oil Bear Is Banished!

By SIMON CONSTABLE

Prices for crude oil have had a brutal couple of years falling from around $100 in mid 2014 to a low of $26 this past February. They have since rebounded to the $40s. The question is simple: is the bear market over?
It is a question that matters for the credit market, because banks lent heavily to the oil patch. It is also important for stocks in general because the oil companies have seen profits collapse, hurting market earnings ratios.
The health of earnings and the health of banks are vital to a robust stock market. So, if the rout for oil is over then this could be a bottom for stocks in general.
Adam Johnson, founder of Bullseye Brief, explains why he thinks the recent low price for crude could signal that the energy bear market is over. He also gives his thoughts on why oil is a better bet than natural gas. Watch, listen, and learn here.

Tuesday, May 24, 2016

Forbes Video: How The Government Is Killing Wall St. Innovation

By SIMON CONSTABLE
Since the big banks were bailed out by the U.S. government in 2009 regulators have kept one thing in mind: Never again. If nothing else happens, they don’t want to see a repeat of the subprime meltdown and the need to spend hundreds of billions of dollars stabilizing institutions that are deemed to big to let fail.
That fear of risk by the regulators means that Wall Street is no longer the center of innovation it once was. Or in other words, if you want creativity in your job, anywhere else might be better than Wall Street. That may explain why the brightest and the best are headed out to San Francisco and other technology hubs.
Watch, listen and learn from Joe Brusuelas, chief economist at professional services firm RSM.

Photo by Diego PH on Unsplash

U.S. News: How the Oil and Credit Markets Became Linked

By SIMON CONSTABLE

Markets aren't like Las Vegas. What happens in one market doesn't stay there for long. The latest poster children for the ripple effect are energy markets and credit markets.

Recently, movements in the volatile oil futures market had a direct and immediate impact on the bond market. Here's what happened, why, and how it affects your investments. Read more here.

Oil Tanker
Photo by Shaah Shahidh on Unsplash

Friday, May 20, 2016

Forbes Video: Investing Mistakes That Could Sink Your Portfolio

By SIMON CONSTABLE


When you invest there are many things that can go wrong, but for the most part the problems are with the investor. Novices who put their money to work for the first time are often their own worst enemy — at least when it comes to growing a portfolio into a sizable nest egg.
One of the most basic is the desire for action. “Do something!” is what your conscience says to you. Unfortunately, unlike with other parts of your life, when it comes to investing following that order can be exactly the wrong thing to do.
Charlie Bilello, director of research at Pension Partners, outlines some of the things that you need to avoid doing when managing your own money. He does so in this video.