Monthly Archives: June 2012

Is the Recent Market Decline Concerning?

By Lon Jefferies | Published: June 29, 2012
Between April 2nd and June 1st, the S&P 500 declined 9.58% (8.84% of which occurred in May). Is this concerning? Between 1900 and 2010, the market has experienced a correction of 5% an average of three times per year. Over the same period, on average, the market declined 10% once per year. Finally, since 1900, [...]
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The Rule of 72

By Lon Jefferies | Published: June 28, 2012
The Rule of 72 is a mental shortcut to estimate the effect of compound interest. Simply, by dividing 72 by an interest rate, you can estimate how long it will take for your funds to double. In formula form: Years to Double = 72 / Interest Rate For example, if an investor currently has their [...]
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Investing Truths

By Lon Jefferies | Published: June 27, 2012
The financial advisors at Net Worth Advisory Group recently pooled their knowledge from nearly 100 years of experience to create a list of truisms about investing.  Also, thanks to Jim Blankenship, an associate CFP in New Berlin, Illinois, for contributing his input. Some of these truisms are as follows: √ Time is the most important [...]
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