Over the years, we have examined many different aspects of investing that enable investors to get the most out of their long-term investment strategy. Throughout periods of market uncertainty, we have focused our attention to the issues on investors’ minds. During the financial crisis from 2008 to 2009, we covered topics such as The Deficit, The Dollar, and Investor Safety (December 2009), An Empirical Examination of Recessions (February 2009) and An Empirical Examination of Market Volatility (October 2008), among others.
After reaching the bottom in March of 2009, global markets rebounded significantly through May of this year. Over the past few months, we have received several inquiries about how market conditions affect the timing of portfolio changes. These inquiries were prompted by the recent, and unusually high, global stock market volatility. In response to these questions, this quarter’s letter discusses rebalancing a portfolio’s mix of stocks and bonds. For the full paper:Download (PDF)