Bet on Green 

 

          

 

 

A lot of people came into 2014 thinking that after such a strong year for equities, the indices were due for a pause. Looking at the data tells us a different story. There have been eighteen instances since 1921 that the Dow Jones Industrial average was up at least 25% (including last year). The average annual return following these periods has been 11.81%, nearly 50% higher than the 7.93% average we have seen over the last ninety-three years.

         

Momentum has historically been a great strategy. Although counter-intuitive to many value investors, buying stocks with rising prices has been a great investment approach--arguably better than value investing. Moreover, the approach is robust between the 2 samples analyzed. The lesson is clear: Let your winners ride and cut your losers short.

         

Workers and retirees approved pension cuts in Detroit's bankruptcy, the city said Monday, a crucial step to emerging from the largest municipal insolvency in U.S. history. The city disclosed results from two months of balloting, which ended July 11. Judge Steven Rhodes still must hold a trial in August to determine if Detroit's overall bankruptcy plan is fair and feasible to all creditors, from Wall Street to Main Street, but support from retirees is vital.

       

Is your post-college 20-something still living in the basement? Why, yes. Yes, he is. Driven by young adults, the share of Americans living in multi-generational households continues to climb, a new report released Thursday finds, a trend that accelerated during the recession but has extended beyond it. A record 57 million Americans—or 18.1% of the population—lived in multi-generational households in 2012.

 

 

 

More Good Stuff :

 

“What have you done for me lately?” | The Reformed Broker

       

Detroit Retirees Vote in Favor of Pension Cuts - WSJ

         

All in the Family Home: Record 57 Million Americans Living in Multi-Generational Households - WSJ

        

Stock Corrections After Long Winning Streaks | A Wealth of Common SenseA Wealth of Common Sense

         

Ride Winners and Cut Losers. Period. - Alpha Architect

          

Bet on Green | The Irrelevant Investor

          

Unrealistic Paradigms • Systematic Relative Strength

           

 

 

 

 

 


download the show

>Right click here to download the show

 

 

listen to the most recent Don Creech Show

>Click here to play the show