Past Returns Do Not Predict Future Performance – Not Even for Indexes

“Returns represent past performance, are not a guarantee of future performance, and are not indicative of any specific investment.” We’ve all seen these disclaimers a million times before. Most people who are financially savvy nod along when they hear this, and think they have fully internalized this. But in truth, most haven’t. The majority of … Continue reading Past Returns Do Not Predict Future Performance – Not Even for Indexes →

We Need to Break Up Banks to Prevent the Next Financial Meltdown

In a previous article, we discussed the problem with banks guaranteeing fixed deposits while actually investing the money into speculative, long-term ventures, and how such an arrangement naturally leads to bank runs. There is a second problem in this scenario as well; one that is so commonplace that most people do not even stop to … Continue reading We Need to Break Up Banks to Prevent the Next Financial Meltdown →