After the recent days of heightened market volatility I was curious to check out how the S&P 500 component stocks have faired over the last 12 months: Hmm, looks to me as if the bull market is mainly hinged on those…
There are people out there who want to be rich—without the risk, the sacrifice, or the delayed gratification necessary to accumulate such wealth. But you and I—logically—do not belong to that group. Of course not! Well, in my case, that statement is a tiny bit of wishful…
To what? – you might ask. To whatever you are somewhat interested in. We are masters in paying zero attention to what we are not interested in. All thanks to our inborn or learned biases. Regular readers of Tacomob are…
Mostly, our herd conformity is a good thing and it’s one of the reasons that societies are able to function (legal system, driving, etc). Nevertheless, watch out for what you step into when you follow the herd. Herd behavior occurs when investors follow the…
Before you read on, take a minute and think about this question for a while. Look back at your recent transactions. How did you arrive at those decisions? Are you happy with your past decisions? Any regrets? C’mon. If you’ve…
A few days back I wrote about “Am I saving enough?” Thank you for all your comments. I am just afraid that those people with their benchmark savings ratios are not really representative of the regular guys. Could it be…
There is no denying the fact that our lives are determined by our unconscious beliefs about money. So, what do you really believe when it comes to money? I am convinced that discovering and exploring our general attitude towards money…
Now, that is a no-brainer! Others might even call this a “know-brainer”. Still, I know from personal experience that this principle is not easy to apply; nevertheless, it is worth your utmost attention as it is the key to growing your savings. People are always talking about character,…
Two main subjects: Why markets for goods and services tend toward equilibrium, but financial markets do not. Why central banks are useful and what they should do (which they currently don’t). Breaking the 170 page book into nine chapters, Cooper…
Back in 1995, researchers from Harvard asked students/staff which they preferred: Earning $50,000 a year when everyone else around them makes $25,000. Earning $100,000 a year when everyone else around them makes $200,000. Prices of goods and services would be…