As investors, there is a lot to learn from “Miss Unsinkable.” At the age of 24, Violet Jessop was employed as a steward on board the RMS Olympic when it collided with the HMS Hawke. While both ships were heavily damaged, the Olympic made it into port. As her first crash at sea, with no need to abandon ship, it seemed to have been a non-event in her memoirs.
Let’s say you’re preparing for a summer trip to the beach. What would you put in your suitcase? A swimsuit, probably. Sandals. Sunscreen. Plenty of shorts and t-shirts. Sunglasses and a hat. Then, when you take a step back, you realize you still have space for a few more items. What do you choose? More beach gear? Makes sense – after all, it’s the middle of summer, and your destination is famous for being the perfect place to work on a tan. When 2024 began, inflation was near its lowest point in two years. As a result, many investors figured prices would continue to drop, and the Federal Reserve would lower interest rates sooner rather than later. (And possibly even several times throughout the year.) In other words, they “banked” on warm weather and sunny skies, then packed their suitcase accordingly.
There are a lot of misconceptions that spring up every four years about what presidential contests might mean for your portfolio. Most of these cause investors to worry unnecessarily. As your financial advisor, it’s my job to help you feel confident in your financial future, not anxious. So, let’s do a brief dive into three misconceptions about election season and the markets.
Name, rank, service number, and date of birth. That was the only information Donald Cook ever told his captors. Donald Gilbert Cook. Captain, U.S. Marines. August 9, 1934. Even when he was beaten, even when he was starving, even when he was sick, it was all he’d ever say.
Last year, the markets surprised many experts who had predicted a recession by having positive growth. That hot streak continued through the first quarter of 2024.
Headlines like these often bewilder new investors. But even experienced investors sometimes wonder: “What does it mean to invest in cash?” After all, we don’t usually think of the word “cash” in relation to investing. For most people, cash is the stuff you keep in your wallet. So, what gives?