In the latest Ask Buckingham they break down what’s going on with inflation, how it’s tracked and how it could impact your investment portfolio. Straight answers from Jared Kizer, Chief Investment Officer of Buckingham.
Who’s afraid of big, bad inflation? A lot of people are, and not entirely without reason. With the economy starting to recover from the COVID-19 pandemic, media outlets and investor concerns have been turning increasingly toward inflation risk.
Dave Plecha, Global Head of Fixed Income at Dimensional Fund Advisors, discusses the importance of having an investment process that can weather any type of market.
Stock market declines over a few days or months may lead investors to anticipate a down year. But the US stock market had positive returns in 16 of the past 20 calendar years, despite some notable dips in many of those years.
Every stock market crisis is different, but the best way to deal with them is always the same. We can’t control crises, but we can control our response to them. You want to be prepared to deal with the unexpected before it happens. Not when you’re stuck in the middle of it.
Since 1926, the US stock market has rewarded investors with an average annual return of about 10%. But it’s important to remember that returns in any given year may be sky-high, extremely poor, or somewhere in between.