A good credit score can help you in your life It is true that in Europe we do not have that number. Or at least, it is not as visible as in the US, but trust me that the banks know who the good and bad creditors are. For those who do not know what […]
The best investor profile is the dead investor. Let’s explain better An investor profile defines an individual’s preferences in investment decisions, for example: Before we move on, let’s divide your financially conscious life into a few ages: In this blog we are looking at how to get the best possible return from the market with […]
We can summarize the market efficiency concept with the following epigram: “Prices reflect all available information.” A market is efficient if all investors know the same information and if the information are relevant to determine the value of a company. Efficiency Definition Fama, the same of the previous post, in 1965 defines 3 forms of […]
There are various portfolio models designed by large investors, let’s see which one is that forever for you. Let’s start with the easiest of these portfolios. 60-40 Portfolio The idea is simple 60% stocks, 40% bonds. John Bogle was founder of Vanguard and creator of the first index fund. He has always talked about the […]
We have finished all the premises and we can get to the point. Today we will see how a portfolio is built. For macroeconomic portfolio construction, there are 2 main lines of thought for doing this. Below you can see the 2 strategies. Of course they can be combined together to understand which are the […]
Economic scenarios must be faced and understood, not escaped. Today we will deal with one of the most interesting topics for me the macroeconomic environments of the economy. There are four situations (one is divided into two because it gives different results on the economy) that are created by the possible combinations of inflation and […]
Fees and taxes negatively affect returns significantly. Let’s see how. Broker Fees Fees are all those costs associated with your investment activity. The broker you use to invest is not a non-profit organization, but it earns from your operations. Let’s see what types of fees exist: Other special fees Taxes Well, you have earned and […]