Category Archives for Stock Market

Compound Annual Growth Rate Calculator vs. Average Annual Return–Wall Street’s Greatest Sleight of Hand

I’ll be honest with you—writing this post makes me feel a bit like Jack Nicholson’s character in the movie “A Few Good Men”. Remember when Nicholson is being questioned by Tom Cruise in the most

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Why Stock Market Returns Matter, But Not for the Reasons You Probably Thought

I've been known to quote stock market returns from a Compound Annual Growth Rate (geometric mean) point of view.  This calculation takes into account the effect time has on a rate of return and is wildly

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The Methodology Behind “Average” Rate of Return

When someone quotes the rate of return on a specific investment or quotes average returns on an index to support a theory behind achieving similar results in their investment, do you actually know what

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An Oldie, but Goodie

I remember quite vividly the first time I saw this video.  I was still a career agent with one of the big 4 Mutuals and we had a special meeting conducted by the Director of Individual Life Sales.  He

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The Chartology They Don’t Really Like Talking About

Ever flip on over the CNBC and watch their stock picking experts talk about chartology?  It's the process of looking at a graphical depiction of a stock or market performance and making “educated”

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