Every year, when spring rolls around, investment folks trot out a favorite catchphrase: “Sell in May and go away.” This is based on the idea that the stock market lags during the summer, as people go on vacation. And while it may sound hokey as an investment rule, it’s hardly the only one. There’s [...]
The most wonderful time of the year?
Turn on the radio at this time of year, and you're bound to hear the holiday classic “It's the Most Wonderful Time of the Year.” My question: From an investor’s perspective, is this, in fact, the most wonderful time of the year? It turns out that it is. According to a 2017 paper titled [...]

Should you get on the bandwagon?
A few weeks back, a reader—let’s call him Karl—challenged me with a question. Why, he asked, do I not recommend momentum investment strategies? If you’re not familiar with the term, momentum strategies seek to buy stocks that have done well in the past, with the hope that they will continue rising, [...]
Not just easy, but very easy
Recently, I came across an academic paper with an attention-grabbing title: “It has been very easy to beat the S&P 500.” Not just easy, but very easy. That got my attention because, in recent years, beating the S&P 500 has been anything but easy. In fact, it's been maddeningly difficult. [...]
Beat ’em or join ’em?
Over the past month, with increasing frequency, I have been hearing the following question: “Why does the stock market keep going down? I understand why the market dipped when the Fed raised interest rates, but why does it keep going down day after day.” If you've been feeling unnerved by the [...]