As the new year begins, one of the most common questions I’m asked in my role at the firm is, “What do you think about 2016? Was it a good year?” In this context, the question typically refers to the year from an investing perspective. However, assigning a letter grade or a broad ranking to the span of a year doesn’t necessarily align with the depth of our experience and how the world’s events impact our lives. Categorizing a year as exclusively good or bad can overlook the complexity of events ... [Continue Reading]
Articles and resources related to Annual Returns.
For our Investment Insight this quarter, the chart featured below presents the opportunity to consider the concepts of average market returns, after-tax real returns, and needed returns, while reminding ourselves of what might otherwise seem counter-intuitive.What may be counter-intuitive to us as investors is that annual returns are almost never average. Coming out of 2015—a year in which three of four quarters were significantly positive—demonstrates how the experience we “felt” the majority ... [Continue Reading]