If you look at the universe and study the universe, what you find is that there is no evidence that we need anything other than the laws of physics and the other laws of science to explain everything we see. There's absolutely no evidence that we need any supernatural hand of god. -- Lawrence Krauss, World-Renowned Physicist
There is probably no other notion in any field of science that has been as extensively tested and as thoroughly corroborated as the evolutionary origin of living organisms. -- Encyclopedia Britannica
FAITH. No one word personifies the absolute worst and most wicked properties of religion better than that. Faith is mind-rot. It’s the poison that destroys critical thinking, undermines evidence, and leads people into lives dedicated to absurdity. It’s a parasite regarded as a virtue. -- PZ Myers
Religion is the antithesis of science, an anesthetic for the mind that disables critical thought and encourages the acceptance of inanity as fact, and wishful thinking as evidence. -- PZ Myers

Saturday, April 30, 2016

Financial advisors are fucking idiots. What I wrote at the Wall Street Journal on 4/30/2016.

This is why the "experts" are worse than useless.
"How attractive are Goldman’s rates? At 1.05% for a savings account and 2% for a five-year CD, they are quite competitive."
JNJ - annual dividend yield 2.86%
KO - annual dividend yield 3.12%
PM - annual dividend yield 4.16%
T - annual dividend yield 4.94%
All 4 of these Dividend Aristocrats increase the dividend every year, as they all have for at least the past 25 years.
There are several other rock-solid safe Dividend Aristocrats.
The idea is hold for life, never care if the stock market goes up or down, and watch the dividend income grow, and grow even faster if the dividends are reinvested (for free at Charles Schwab).
http://blogs.wsj.com/moneybeat/2016/04/29/take-a-hint-from-goldman-squeeze-more-out-of-your-cash/

Someone complained. My response:

"If a stock with a 3% dividend is down 5%, you're still taking a loss."
Very true but notice I said "hold for life, never care if the stock market goes up or down."
I want the stock market to crash. Then my reinvested dividends can buy more shares.
I only have a capital loss if I sell. I'm never going to sell.
From a google search: "The key point is that capital losses are losses only after you sell them."

Of course if someone is just looking for a place to park their cash for 5 years and then use it to buy a new house or new car, then "2% for a five-year CD" is a good idea.

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