Lessons for Building a Winning Portfolio 2 ppt
The Four Pillars of Investing: Lessons for Building a Winning Portfolio_2 ppt
... formeris finan-
cially healthyand universallyadmired, withlegendary management,
a steadily growing stream of earnings,
and a hugepileof cash on
hand for emergencies. The latterisasick puppy, having ... nomenclature. In
common parlance, theshares ofgood companies arecalled “growth
stocks,” and those ofbad companies
arecalled“value stocks.” Let’s
considerfor a moment, Wal-Martand Kmart....
The Four Pillars of Investing: Lessons for Building a Winning Portfolio_8 ppt
... gravitational equation from a falling
apple and Darwin’s extrapolating the theory of evolution from observ-
ing gardeners and farmers select for favorable plant characteristics are
two spectacular ... should have a firm asset allocation pol-
icy in place. What separates the professional from the amateur are two
things: First, the knowledge that brutal bear markets are a fact of life
a...
Lessons for Building a Winning Portfolio_2 ppt
... $22 .70
20 22 $390.03 5.03 $77.48 18. 82 $20 . 72
2 023 $409.54 5.44 $75.33 21 .64 $18. 92
2 024 $430.01 5.87 $73 .24 24 .89 $17 .28
20 25 $451.51 6.34 $71 .20 28 .63 $15.77
20 26 $474.09 6.85 $69 .23 32. 92 $14.40
20 27 ... $35.77
20 17 $305.60 3.43 $89 .20 9.36 $ 32. 66
20 18 $ 320 .88 3.70 $86. 72 10.76 $29 . 82
2019 $336.93 4.00 $84. 32 12. 38 $27 .23
20 20 $353.77 4. 32...
Lessons for Building a Winning Portfolio_5 ppt
... small stocks are riskier than large
stocks. Small companies tend to be insubstantial and fragile. More
importantly, they are thinly traded—relatively few shares change
hands during an average ... can swallow.
So what’s a reasonable foreign allocation? Certainly less than 50% of
your stock pool. For starters, foreign stocks are more volatile, in gen-
eral, than domestic stocks on a year-...
Lessons for Building a Winning Portfolio_6 pptx
... the railroads made overland travel cheap, safe, rapid,
and relatively comfortable. Even more importantly, the steam engine
was undoubtedly the most dramatic, romantic, and artistically appeal-
ing ... financial chaos of Paris arrived a most extraordinary
Scotsman: John Law. After escaping the hangman for killing a man in
a 1694 duel, he studied the banking system in Amsterdam and even...
Lessons for Building a Winning Portfolio_12 pptx
... Sam,” 26 6, 26 8 26 9,
27 1
“Taxable Ted,” 26 5 26 6, 26 7
“Young Yvonne,” 27 1, 27 2 27 4,
27 5
foreign stocks, 116– 120 , 25 5 25 7,
25 6
lumpers vs. splitters, 24 8 25 5,
25 1 25 3
vs. press coverage, 22 3 -22 4
retirement ... above—where we rebalanced a 25 /25 /25 /25 mix of U.S. large
and small, foreign and REITs—about 6.5% of the portfolio was trad-
ed each year. In a...
Lessons for Building a Winning Portfolio_10 pptx
... 30/7 020 /80 10/900/100
Vanguard Total 40% 36% 32% 28 % 24 % 20 % 16% 12% 8%4%—
Stock Market Index
Vanguard Tax-Managed 20 % 18% 16% 14% 12% 10% 8%6%4 %2% —
Small Cap
Vanguard Tax-Managed 25 %
22 .5% 20 % ... Vanguard Tax-Managed Growth and Income
• 5% Vanguard Value Index (IRA)
•7.5% Vanguard Tax-Managed Small-Cap
Defining Your Mix 26 9
• 5% Vanguard Small-Cap Value Index (IRA)
• 12....
Lessons for Building a Winning Portfolio_11 pptx
... annuity, 20 4 -20 5
Arithmetic display, 21 22 ,
Armstrong, Frank, 1 72
ASAF Bernstein, 21 6
“Asian Contagion,” 69
Asness, Cliff, 136
Asset allocation, 24 3 27 9
about, 24 3 24 4
bonds, 25 7 26 3, 25 8,
25 9
customization, ... Fund,
20 7 20 9
Fidelity Spartan funds, 21 6
Fiduciary responsibility of broker (lack
of), 1 92
Financial Analysts Journal, 24 4
Financial calculator, 23...
The Four Pillars of Investing: Lessons for Building a Winning Portfolio_3 potx
... $ 320 .88 3.70 $86. 72 10.76 $29 . 82
2019 $336.93 4.00 $84. 32 12. 38 $27 .23
20 20 $353.77 4. 32 $81.97 14 .23 $24 .86
20 21 $371.46 4.66 $79.70 16.37 $22 .70
20 22 $390.03 5.03 $77.48 18. 82 $20 . 72
2 023 $409.54 ... 5.44 $75.33 21 .64 $18. 92
2 024 $430.01 5.87 $73 .24 24 .89 $17 .28
20 25 $451.51 6.34 $71 .20 28 .63 $15.77
20 26 $474.09 6.85 $69 .23 32. 92 $14.40
20 27...
The Four Pillars of Investing: Lessons for Building a Winning Portfolio_4 pdf
... 1.4% to 2. 8%—still farlower
than the5%historical average—over the next 20 years. In that
case, the speculative return will beanegative 3.4% per year, for a
total annualizedmarket return of 2. 8%.
Sound ... usually carry a large amount
of debt and, in the aggregate, do not grow well. Since 19 72, they have
increased their earnings by about 3% per year. This was about 2% less
than th...