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Many critics of the Union’s creation when the EuroZone formed in the late 1990’s, but perhaps none was as outspoken as economist Milton Friedman. Friedman is remembered as the most renowned economist of the late 20th century, and when the euro was first introduced, he adamantly stated that the EuroZone would not survive through its first ...

“Virtue, then, is a state of character concerned with choice, lying in a mean… Now it is a mean between two vices, that which depends on excess and that which depends on defect; and again it is a mean because the vices respectively fall short of or exceed what is right in both passions and [...]

Is financial modeling to blame for the recent crisis? As always the fault does not lie with the tool but rather with the user. When was the last time you took a look at the validity of Net Present Value or Option Pricing? The recent, or ongoing, financial crisis has been attributed, amongst other things, [...]

This is a guest post by The Skilled Investor – A great source for Personal Finance, Investment Management, and Financial Planning Articles. Welcome to the November 20, 2009 Edition #116 of the Carnival of Financial Planning. The Carnival of Financial Planning takes a long-term view of personal financial planning for individuals and families. ...

As I’ve posted last week I’ve sold the vast majority of my 6 month dollar cost averaging portfolio. The economic environment is too shaky for my taste. I’m willing to risk losing potential return since the risk I consider is a quick drop back to March 2009 levels. Assuming jobs won’t improve any time soon [...]

The better posts from fellow bloggers this past week include: The Financial Fallacy of Patterns, Causation & Correlation @ The Financial Philosopher Great post. The problem with patterns runs even deeper. Even if a pattern has been spotted it says nothing as to the related causality. Correlation is the bane of many of the social [...]

My fundemental reasons for concern As several of my last posts indicate I have whole heartedly adopted Dollar Cost Averaging as my investment strategy. The reasons have been discussed in length a few posts ago. Today I thought about liquidating some of the investments I’ve made in the past 6 months due to the negative [...]

Don’t give up on diversification through asset allocation just yet A short introduction to asset allocation and diversification Assets allocation is said to be the optimal investment method for household investors. As household investors we lack both the time and knowledge to handpick assets and build and maintain a long term investment ...