Categories Financial Freedom Financial Lessons

5 Ways to View Asset Allocation Differently

What comes to mind when you hear the words asset allocation? Equity, debt, cash, gold and real estate. Maybe art and commodities, if you are so inclined.

But there is much more to it. The money that we have is limited. Our time on this planet is limited. Our energy is limited. And how we efficiently allocate accordingly matters a great deal.

Let’s direct our attention to what Arunasset calls the “big-picture allocations”, that will ultimately define whether you find success in life, and not just the financial kind.

Categories Economy

Higher Interest Rates to Increase Repayment Costs on National Debt

Yesterday, the Federal reserve announced another 0.75% point increase for the federal funds rate. This is the rate at which commercial banks borrow and lend their excess reserves to each other overnight. The increase in this rate is meant to help tame rising inflation; this increase however also has implications for the US federal governments borrowing costs and hence the nations fiscal picture.

Categories Financial Lessons Risk Management

What is Risk?

There are measures of risk that have some degree of utility when it comes to framing investors’ expectations. But risk cannot be properly measured in a spreadsheet. When it comes to money and investing, we’re not always as rational as we think we are—which is why there’s a whole field of study that explains our sometimes strange behaviour.

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