Thursday, June 13, 2013

Poor Media Investing Advice


Giving advice on investment portfolios without regard to a client’s age, family condition, and needs, is ridiculous. Everyone has a different investing time horizon and current and future income needs. Those factors affect the choice of securities. In turn, they influence the percentage ownership and type of stocks or bonds to be held. And where bonds are chosen, the “duration” of the bonds used.
                       
I would strongly advise everyone to be fully aware of what duration is and how it works. Very few media pundits write on the practical use of bond duration and its adaptation to take advantage of inflation, rather than mere avoidance of bonds amidst inflation.
                       
Much of the practical value of media portfolio advice is, unfortunately, used  to fill up space and not to enlighten.(See the Earl J. Weinreb NewsHole® comments and @BusinesNewshole at Twitter.)

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