by Michael Lecours | Feb 5, 2013 | Economy
The preliminary Gross Domestic Product for the 4th quarter of 2012 printed minus .01%. That is not good. True, looking at the individual components shows some upside. Consumer spending grew 2.2%. Housing advanced off a low bottom. Tech spending was up. Inventories and...
by Michael Lecours | Jan 15, 2013 | Economy, Finding Confidence, Investment Behavior, Uncategorized
It’s easy to forget and lose perspective about what is happening in this world. From uncertainty in our economy and in Europe, the looming fiscal cliff, and most recently the tragedy in Newtown, we may be feeling lost and unsure about the future. Just turn on...
by Michael Lecours | Jan 9, 2013 | Economy
Is The Fiscal Cliff is now behind us? “…$620 billion in tax increases is spread over 10 years, so it is only $62 billion in 2013. To put this in perspective, the Federal budget deficit in 2011 was a whopping $1.089 trillion. This amounts to only 5.7% of the 2011...
by Michael Lecours | Jan 5, 2013 | Economy, Uncategorized
If you’re an investor worried about another major decline in the markets like the one experienced in 2008-2009, then you’re worried about something called “tail risk”. Just like the probability illustrated on a bell curve, the majority of gains and losses are usually...
by Michael Lecours | Nov 20, 2012 | Economy
Duration is a very important concept for bondholders in today’s world of low dividend yields. It measures the degree of risk of principal loss should interest rates rise from our current historically very low levels. For example, a leading investment company...
by Michael Lecours | Sep 11, 2012 | Economy
The U.S. stock market is at post-crash highs in the middle of domestic and world economies optimistically seen as struggling. Does it make sense? Is the market reasonably priced? Is it safe? Well, it depends who you talk to: Pro: The S&P 500 is currently about 16...
