Buzz Updates

Published in August 25th, 2008

1) I post a Letter to the Editor at the www.Early-Retirement-Planning-Insights.com site entitled Article on Capitalization-Weighted Stock/Bond Allocations. I say: “Cash is not the same thing as stocks or bonds. Cash has economic value. It should be included in the mix.”

2) I post a Letter to the Editor at the www.Early-Retirement-Planning-Insights.com site entitled P/E10 Predictions Revisited. I say: “There are lots of articles that discuss emotions. There are lots of articles that discuss numbers. There are few that discuss realistically how they work together.”

3) I post a Letter to the Editor at the www.Early-Retirement-Planning-Insights.com site entitled “Denial Is Expensive” and the Failure of Buy-and-Hold. I say: “What passes for buy-and-hold investing today is a fake buy-and-hold. It purports to be a long-term strategy, but it is rooted in assumptions that only apply for the length of a bull market. For buy-and-hold to become a realistic long-term strategy, it needs to be reformulated to take into account the realities of bear markets as well as the realities of bull markets.”

4) I post a Letter to the Editor at the www.Early-Retirement-Planning-Insights.com site entitled “Why People Ignore Valuations” Is a Fantastic Article. I say: “When TIPS became available, the nature of the asset allocation game changed. Most investment analysts have not caught on to the significance of this change.”

5) I post a Letter to the Editor at the www.Early-Retirement-Planning-Insights.com site entitled Dollar-Cost Averaging Today. I say: “The early research on index investing has been aimed at making the case for investing in an index rather than picking individual stocks. I believe that the next stage of research will examine a different question, the question of HOW best to invest using indexes.”