Walking around the neighborhood a week or so ago, Jillian and I found ourselves chatting with a neighbor when the conversation turned to local politics. The neighbor began to vehemently complain about a particular local issue, adamant that it needed more funding to achieve success. She told us that she was so angry about the lack of funding for that issue that she voted against a candidate who had staked their campaign on another issue. Ironically, driven by anger, this neighbor had voted for the other candidate who had campaigned on reducing funds toward the issue she was so passionate about! Her anger had blinded her to the facts.
With the wild ride in markets this last quarter, never mind just this past week, it is increasingly important that we, as investors AND citizens, take the time to make sure we’re getting reliable and accurate information and to sort out the constant barrage of sensationalism. I’ve been using ReadTangle.com and AllSides.com myself to help see beyond the narrative and find more balanced reporting. The statistician and economist in me understand how important it is to look at the actual data instead of someone else’s reporting of the facts. I am always available to talk about what’s happening in the markets, so don’t hesitate to reach out if you have questions or concerns.
Tune Out The Noise
Speaking of data, you may have noticed that many of the funds we use in your portfolio are from Dimensional Fund Advisors or DFA. (As my father used to say: the biggest and most important financial institution you’ve never heard of.) Last month DFA released a documentary from Academy Award-winning filmmaker Errol Morris (The Fog of War, The Thin Blue Line) entitled Tune Out the Noise, which explores the rise of academic finance, the development of index funds, and DFA’s role at the center of it all. It provides an insightful look into how modern finance challenged and disrupted Wall Street’s traditional methods of investing and evolved into a data and client-focused financial industry. As I’m in this industry and am familiar with the players and their stories, I predictably enjoyed the film. But if you’ve ever been curious about how and why we invest the way we do, and why I am continually telling everyone to look at the data versus the news, you should check it out.
Here We Grow Again
If you haven’t already had the chance to connect with Jeff Snodgrass, I hope you will soon. Jeff joins Passport Wealth as Chief Operating Officer and Financial Advisor with 18 years of experience in the industry. I’ve been fortunate to work with him in different capacities since the founding days of Passport Wealth. Based in St. Louis, MO, he and his wife Melissa, proud parents to three daughters and a son, are celebrating their 15th anniversary this year while also marking a milestone birthday. In addition to being a dedicated professional, Jeff’s passions include exploring U.S. national parks with his family—a tradition they hope to continue before the kids grow up and start families of their own. We’re thrilled to have Jeff on board and look forward to his continued contributions to the team.
About the Author: Dan Tobias
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