Best Reads of the Week

Here are a few of the best things we read this week.

 

There wasn’t a “Trump Trade” and there’s not one coming.

The media loves telling a story, but reality doesn’t always match. The "Trump Trade" was no exception. Josh Brown illustrates that here. 

As for the Trump Trade sectors themselves….infrastructure stocks are lagging. Bank stocks are lagging. Oil is flat for six months. Basic materials are the only negative sector on the year – copper, steel, coal, iron ore, you name it, they’re all down. It’s like a joke at this point to be talking about Trump Trades. They only exist in the media, not in the actual markets where it counts.

 

Stories vs. Statistics

Morgan Housel shows how we easily we can be drawn to a narrative, despite overwhelming data against it.

Statistics are useful to the extent that we find their insights more persuasive than anecdotal stories.

 

All financial advisers have conflicts of interest.

Meg Bartelt, a fellow XY Planning Network member, shows how ALL financial advisers have conflicts of interest. It’s the awareness and disclosure of them that matters.

Rule #2: If an advisor claims to have none, either that advisor hasn’t thought through their process well enough, or they’re intentionally trying to mislead you.