A Durable Future (Part 2)

By | 2017-07-17T16:48:08+00:00 July 5th, 2017|Global Market Update|

Do durable assets create durable returns? Jason and the Golden Fleece, c. 340 BCE. Source: Wikipedia Gold and silver are often touted as “alternative” investments. That is, their returns aren’t highly correlated with other, more typical, investments. So they have the potential to diversify an investment portfolio while providing return in their own right. Gold and silver served as a monetary standard for millennia. Are they useful investments? It’s hard to evaluate the long-term returns of a monetary base. The price of gold was [...]

A Durable Future (Part 1)

By | 2017-07-17T16:48:42+00:00 July 3rd, 2017|Global Market Update -- A Durable Future (Part 1)|

Do durable assets make sense as investments? Gold Roman Aureus. Source: Wikipedia Some things have been around a long time: silver and gold were currencies and a store of value for millennia; fine jewelry has always been a sign of status; and housing and land are always in demand—everyone has to live and world somewhere. But do they make sense in an investment portfolio? A little perspective is important. People get very emotional about real investments. We’re naturally attached to our homes. And how [...]

On Capital and Fairness

By | 2014-05-19T10:57:51+00:00 May 19th, 2014|Global Market Update|

“That’s not fair!” That’s our instinctive reaction when we see people without skill, talent, or hard work get ahead, seemingly at the expense of everyone else. It’s why we root for the gritty underdog in sports contests. And it’s why Thomas Piketty’s recent critique of growing inequality in our economy strikes a chord. Piketty looked the real net worth of 65-74 year olds in 1990 and 2010 (from a Fed survey) and found that it had grown by 2.8% per year over these three [...]