The collapse of Lehman Brothers occurred just over ten years ago on September 15, 2008. It represented the pinnacle of the financial crisis as it pushed the global financial system to the brink of failure. Throughout the past ten years our Investment Committee has spent many hours reflecting on the crisis, trying to understand what happened and what we can learn from it. Often, the takeaways were things we knew before the Great Recession, but were now reinforced and learned again. Those items, plus a few new ones, are the top five lessons we learned (or re-learned) since Lehman’s collapse.
The Tax Cuts and Jobs Act passed by Congress and signed by President Trump at the end of 2017 contained some major changes to the tax code. Its effect on wealthy families is a mixed bag.
Read on for the good, the bad and the ugly of the new law.
I am member of a global network of investment professionals. This past June the network had a “One-Stock Challenge” with the following rules:
1. Submit the name of a stock by June 29th
2. List out the rationale for choosing the stock
3. The stock with the highest price appreciation from June 30th to December 1st would be the winner.
Simple rules! Fun! Game on!
In our competitive world, most everybody wants to win – from star professional athletes to teenagers playing video games on their iPhones. For investors, winning often means beating the relevant benchmark. This article identifies three primary elements necessary for outperforming benchmarks and provides advice on how you can increase your chances to come out ahead…
An investor can take four actions to increase expected investment returns over time. As shown in the schematic below, these are, in order of increasing difficulty: (a) tilt the portfolio weighting towards risk assets, (b) reduce costs of the portfolio, (c) take advantage of the liquidity premium, and (d) choose and invest with skillful investment managers (or identify attractive investments). This paper will discuss the opportunities and challenges in increasing investment returns via each of these four actions.
Looking back, Sam, Jane and Nick’s childhood seemed almost perfect. They grew up in a loving extended family, played sports year-round and traveled. A highlight for the three siblings was their summers spent at Manor Grove, their family estate on the Outer Banks bought by their grandparents in the early 1900’s. When their grandparents died, the estate passed to their father, James, and his sister, Clara…
Over the past several months many people have asked whether they should take risk off the table by selling some of their stocks. Given the heightened perception of uncertainty in geopolitics and the financial markets, this question is understandable. In response, this article outlines investor concerns, examines various historical facts pertaining to investing in stocks and concludes with advice from The St. Louis Trust Company.
The European Union (EU) is an economic and political union of 28 countries (soon to be 27). It originated out of a movement to create unity between Germany and France following World War II in an effort to foster economic cooperation – the idea being that…
When the grantor of a trust selects a trustee, he commonly names a family member, friend, or trusted advisor. While it is quite an honor to be named trustee, the position also requires both a substantial amount of work and knowledge of a wide array of legal and investment matters…