investment returns

12 July 2019
How much buffer do you need? (Or: four things I agonise over when providing financial advice)

I have clients worth tens of thousands of dollars, and clients worth tens of millions of dollars. I find it much easier to advise clients with millions rather than thousands. As a general rule, the we…
24 May 2019
The myopia of compound interest

Compound interest is magical, but there's a myopia around it. The Barefoot Investor and others lean on 10% annual returns to make the "start early or you're sunk" case — at 5% the chart looks very dif…
9 October 2018
Don’t be fooled by the 4 percent rule

The 4% rule says you can safely withdraw 4% of your retirement portfolio each year — so multiply your desired spending by 25 to get your number. I don't like it. Retirement planning is not the place f…
29 March 2018
Headwinds and tailwinds: Every dollar is easier than the next

When you start building wealth, you face headwinds. It can feel like you're getting nowhere. But the headwinds eventually turn into tailwinds — and every dollar of wealth is easier to build than the l…
29 October 2017
How to get better-than-market returns

For most people, I recommend low-cost, index-based funds — don't try to beat the market, just make sure the market doesn't beat you. But the honest answer is that you can get better-than-market return…
2 October 2017
“What investment return can I expect?”

People often ask me what investment return they can expect. I wish I could give them a number. I can't. Nor can anyone else — historical outcomes for the exact same portfolio vary wildly depending on…
25 May 2016
How financial advisers can add value to their clients – “Adviser’s alpha”

Advisers don't add value by beating the market. Vanguard's 'Advisor's alpha' research points to the soft stuff — strategy, discipline, guidance — as where the real value sits. It's often underrated.

investment returns

How much buffer do you need? (Or: four things I agonise over when providing financial advice)

The myopia of compound interest

Don’t be fooled by the 4 percent rule

Headwinds and tailwinds: Every dollar is easier than the next

How to get better-than-market returns

“What investment return can I expect?”

How financial advisers can add value to their clients – “Adviser’s alpha”

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