The Market Has a Memory

The academics have developed two models for understanding how stock investing works. One is the Buy-and-Hold Model, rooted in the research of University of Chicago Economics Professor Eugene Fama. The other is the Valuation-Informed Indexing Model, rooted in the...

The Three Deadly Illusions of Stock Investing

I have had conversations about investing strategy with tens of thousands of middle-class investors over the past ten years. I have learned that 90 percent of us do great damage to our portfolios by repeatedly falling victim to three deadly illusions. Deadly Illusions...

Five RIsks of Contrarian Investing

It would be fair to describe me as a contrarian investor. I advocate Valuation-Informed Indexing. Valuation-Informed Indexers go with high stock allocations when prices are low (which means most investors are not happy with stocks) and with low stock allocations when...