2023 Q4 Quarterly & Annual Market & Portfolio Report

Green up arrows everywhere as the market inevitably follows a less than optimal 2022 with an optimal 2023. The market cheered the positive chances that the Fed might engineer a “soft landing” meaning no recession while fighting inflation with interest rate hikes.

Magnificent 7 Outperformance May Not Continue

This is a cautionary tale for investors expecting continued outperformance from the Magnificent 7. In fact, rather than seeking additional exposure to these mega cap stocks, investors should ensure their portfolios are broadly diversified to capture the returns of whatever companies ascend to the top in the future.

Cash or bonds? Which one is right for you?

When you’re deciding between cash and bonds, it’s important to weigh the risks of each. Generally, short-term instruments such as a money market are appropriate for short-term needs such as a rainy-day fund while longer-term goals like retirement call for bonds with longer terms to maturity.

You Know More about Investing than You Think You Do

No matter how familiar we are with investing, we’ve all navigated uncertainty, weighed risks and rewards, and made carefully considered tradeoff decisions. Just by being human, we’ve been compelled to tackle the central challenges of life—which also happen to be the central challenges of investing.