When companies’ share prices move very high, some consider splitting the shares so that the lower prices will attract more investors. This can be a positive for stock performance over the long term.
Mark DeCambre explains why stock splits often turn out well for investors.
Kamala Harris and the markets
Joe Biden has named Sen. Kamala Harris of California as his running mate. DeCambre looks back at Harris’s political career and ties it to the expectations of professional investors.
How should an investor vote?
There’s plenty of time before Election Day for voters’ opinions to change. For now, Joe Biden is leading the national presidential polls, the Senate looks like a toss-up and the Democratic Party appears likely to maintain control over the House of Representatives, according to RealClear Politics.
Shawn Langlois looks at the data showing how the stock market has performed when one party controls the presidency and both houses of Congress, and when those powers are split, while also taking into consideration changes in policy that may be brought about after the 2020 elections.
Here are his conclusions about how Republicans and Democrats might best vote to protect their nest eggs.
The S&P 500 index has nearly recovered from the March crash to a level only slightly below its Feb. 19 record closing high.
Did you try to time the coronavirus crash?
The S&P 500 index SPX, -0.06% hit a record closing high on Feb. 19, then dropped 34% through the pandemic bottom on March 23. Since March 23 the benchmark index has risen 51%. It is still down slightly from the Feb. 19 record, but is now up 4% for 2020 (through Aug. 13).
According to Vanguard, only a small percentage of its investors moved completely to cash between Feb. 19 and March 30. Here’s how they fared.
How to handle a “lifequake”
According to Bruce Feiler, the author of “Life Is In the Transitions: Mastering Change at Any Age,” major life transitions tend to pile up, leading to intense, difficult periods. He shares advice for people of all ages to navigate through difficult times in an interview with Richard Eisenberg at NextAvenue.org.
Is the dollar doomed?
At a time when the federal government is spending trillions of dollars in extra money to help people and companies during the COVID-19 pandemic, and the Federal Reserve is scooping up the bonds issued by the government to pay for this incredible effort, the money supply has been increasing tremendously. So the WSJ Dollar Index BUXX, -0.14% has fallen considerably from its high in March.
This has led to renewed buzz over a possible change in global finance — a move away from the dollar as the world’s reserve currency. Steve Goldstein explains why the dollar’s decline actually reinforces the dollar as the reserve currency and what investors who are bearish on the dollar are overlooking.
‘Something out of Gilligan’s Island’ for a FIRE couple
In November, Brett Arends interviewed a couple who retired from their hedge-fund jobs and decided to live on a sailboat. They spent three months of the coronavirus lockdown with other sailing enthusiasts in a deserted cove in the Bahamas.
Why own bonds when interest rates are so low?
Mark Hulbert gives the bullish case for owning bonds now.
Dr. Fauci’s words of wisdom
Dr. Anthony Fauci, the director of the National Institute of Allergy and Infectious Diseases, offered advice for school reopenings during a Facebook Live conversation with Rhode Island Gov. Gina Raimondo. He also said herd immunity isn’t feasible for the coronavirus during an interview on Instagram with Matthew McConaughey.
Fauci also advised Americans that any COVID-19 vaccine is likely to have important limitations.