I’ve previously described how good financial planning and asset allocation is a “temporal conundrum”. More specifically, our liabilities tend to have fixed temporal constraints. You pay a monthly credit card [ … ]
Category: How Things Work
Problems with “The Long-Term”
John Maynard Keynes once famously said “In the long-run we are all dead”. But the full quote doesn’t often get hashed out. Keynes said: “But this long run is a [ … ]
The Only Basic Financial Advice You’ll Ever Need
If there’s one thing I am most proud of it’s that I became 100% financially independent (meaning I relied on no other entity or person for income or financial assistance) before [ … ]
Setting Realistic Investing Expectations
If I had to pick the single largest problem in the investment community it would be irrational expectations about future returns. This comes from several sources. The primary one being [ … ]
Beat the Average Investor by not Trying to “Beat the Market”
If we look at “the market” of financial assets from the 30,000 foot perspective then an obvious reality becomes clear – there is actually ONE portfolio of all outstanding financial [ … ]
Investing and the Intertemporal Conundrum
I went to see Interstellar last night. I won’t ruin it for you, but if you’re in to things like time travel, intergalactic travel and space ships then you should [ … ]
Understanding Money
Just letting readers know that I’ve updated the “Understanding Money” section on the Orcam website. My goal is to make this a comprehensive section of the site helping people better [ … ]
Understanding Your Real, Real Returns – Fee Edition
A recent post of mine discussed the importance of understanding your real, real returns (see here). That is your return after fees and inflation. We don’t usually hear about this [ … ]
Saving is not the Key to Financial Success
You’ve probably heard it a million times from financial “experts” – the key to financial success is saving. The idea is that if we save more now then we’ll have more [ … ]