When talking about constructing an investment portfolio, you'll often hear about diversification and buying low-correlation or non-correlated assets. A positive correlation means that the assets tended to move in the same direction. A value of 1 … [Read the rest]
Asset Class Correlations Infographic: Large Cap vs. Small Cap Stocks, Stocks vs. Bonds
Debit Card Arbitrage: $4.7M Tax Payment Results in $47,000 Cash Back
An under-the-radar loophole is now out in the open, thanks to fintech app Jiko* publishing a PR release bragging about their $4.7 million debit card charge, which led to Axios writing about it as quite likely the "largest consumer debit transaction … [Read the rest]
My Money Blog Portfolio Income Update – February 2021
While my February 2021 portfolio is designed for total return, I also track the income produced. Stock dividends are the portion of profits that businesses have decided they don't need to reinvest into their business. The dividends may suffer some … [Read the rest]
MMB Portfolio Asset Allocation Update, February 2021
A central idea here is skin in the game, showing what someone really does with their own money. Too often, what the "experts" tell you to do is quite different than what they own themselves. Here's my current portfolio as of February 2021, … [Read the rest]
Eat and Run: On Moving Forward and Taking True Risks
Scott Jurek is a well-known ultramarathoner that I first learned about in the book Born to Run (my highlights) by Christopher McDougall. Jurek later wrote his own memoir, titled Eat and Run: My Unlikely Journey to Ultramarathon Greatness. I'll … [Read the rest]
Gamestop Takeaway: Taking Risks Can Pay Off, But Find Smarter Risks
I've mostly ignored the Gamestop noise as I didn't see any actionable takeaways, but then I saw this Reddit post conflating gambling winnings with paying off student loan debt. This is the same as saying that you bet $10,000 on the Super Bowl, … [Read the rest]
Best Interest Rates on Cash – February 2021
Here's my monthly roundup of the best interest rates on cash as of February 2021, roughly sorted from shortest to longest maturities. I track these rates because I keep 12 months of expenses as a cash cushion and there are many lesser-known … [Read the rest]
Time Capsule: The Startup Unicorns of 2015
While we wait to see how Gamestop and silver prices can be manipulated either by the big money of a few hedge funds or the combined big money of millions of individuals, here is an interesting chart of "unicorns" from 2015 (startups with a valuation … [Read the rest]
Walmart Plus: Get $75+ Back on $98 Annual Membership Fee
Walmart+ membership gets you the following perks: Free next-day and 2-day shipping from Walmart.com (no minimum purchase). Free same-day delivery of cold Groceries & more from your local Walmart ($35 minimum purchase). Where … [Read the rest]
Best ETFs For Each Asset Class – DFA Alternatives for Small, Value, International, Emerging Markets
Some investors like to break down their investments into several different asset and sub-asset classes. For example, here is a pie chart showing the Ultimate Buy-and-Hold Portfolio recommended by Paul Merriman. You don't need to hold every one of … [Read the rest]
How Robinhood Really Makes Money, and Why It No Longer Matters
While it seems that Robinhood and Gamestop are officially the new gambling version of a multiplayer online video game (CNBC, BI, Bloomberg), this story reminded me of this past Matt Levine article which is my favorite detailed-yet-understandable … [Read the rest]
Money and Happiness: Happiness Keeps Increasing Past $75,000 a Year
Did you know there was an iPhone app called Track Your Happiness? The app basically does what the name suggests: A few times a day, you’ll get a notification and be asked some questions about your experience at that moment. The idea is that by … [Read the rest]