The Informed Investor

Episode 61: The allure of index funds, such as broad diversification, low costs, and market-matching returns, may seem undeniable. But recent "reconstitution" in the indexes tracked by such funds tells a different story—one every investor should understand.   Most indexes undergo periodic rebalancing. As companies grow, shrink, or change their ranking within industries, indexes re-evaluate their s...

Episode 60: Every two years, millions of investors probably ask themselves (and their advisors) whether looming elections demand changes to their investment portfolios. It's an understandable sentiment—and one that demands discussion. But the most important conclusion from these conversations should never change: Since the data doesn't show any strong connection between election results and stock...

Episode 59: What happens when you rethink how financial advice is delivered—and how an industry comes together?   Josh Brown, CEO of Ritholtz Wealth Management, talks about the evolution of modern wealth management, the changing role of financial advisors, and the story behind one of the industry's most distinctive events. Brown shares how his own career—from selling financial products to becoming...

Episode 58: Any financial professional who joined the industry a week after Black Monday—when the stock market suffered its biggest single-day loss—knows something about investment discipline.   Blaine Lourd, founder and CEO of Los Angeles-based LourdMurray, vividly remembers studying for a certification exam on that dark day, October 19, 1987, and then passing that exam a week later as the market...

Episode 57: How much of your portfolio should really be invested in alternatives? For ultra-high-net-worth investors and families, alternative investments have long been viewed as a path to diversification, exclusive access, and potentially higher returns. But are they always worth the complexity, illiquidity, fees, and taxes that come with them? We take a critical look at the world of alternative...

Episode 56: If you and your partner know what you really want out of life, will your investment strategy help you get there?   It absolutely should, say financial advisors Marc and Alison Campbell, who are based in Southern California.   The first step, naturally, is figuring out the first thing—what you really want, individually and collectively—before moving on to the second thing—a suitable str...

Episode 55: Successful long-term investing is less about predicting the future and more about having the discipline to follow a clear, consistent investment philosophy. Randy Hardy, a financial advisor based in Chicago, shares lessons from more than two decades on both the institutional and advisory sides of the investment industry, explaining how a deep belief in market efficiency, diversificatio...

Episode 54: Do you have a plan for your wealth? And, if so, are you prepared to share that plan with your family?   These questions are especially important for high-net-worth families.   When millions of dollars are at stake, a family wealth plan should help address how the money will be invested for growth and preservation of capital—as well as how much can be spent safely, gifted to younger gen...

Episode 53: Are you familiar with "The Death of Equities," an infamous financial magazine headline from August 1979? If not, Weston Wellington, a former vice president at the global investing firm Dimensional Fund Advisors, may want a word. Wellington, who retired this year, frequently hailed this headline as a perfect example of "The Big Tease"—the financial media's insistence on delivering shame...

Episode 52: People in their 20s, 30s, and 40s don't have it easy when trying to figure out the best ways to spend, save, and protect their money. Life often comes at you fast. New relationships, new jobs, new family members, new homes, new bank accounts, all wrapped up in new worries. Kelly Klingaman, Founder and CEO of Kelly Klingaman Financial Planning in Austin, Texas, has some advice. A lot, a...

Episode 51: Why do many investors pull their hair out worrying about where the stock market is headed? Dimensional Founder and Chairman David Booth knows it's an ongoing problem. He also believes it's unnecessary. In his new book, "Stay Calm: Learn to Embrace Uncertainty in Investing and Life," Booth points out that most people already know more about investing than they think. So worrying about i...

Episode 50: Is investing in exchange-traded funds or mutual funds an either/or choice? Not anymore. Thanks to the recent debut of actively managed ETF share classes—which are tacked onto mutual funds—investors will get multiple access points to an increasing number of  fund strategies. Not many funds currently offer an active ETF share class. But that's likely to change in the months and years ahe...

Episode 49: Why is market timing so alluring for so many investors? Probably because a perfect timing strategy—assuming it's out there and it works—promises huge rewards. In theory. But there's a huge caveat. A perfect timing strategy would have required perfect foresight—correctly predicting when stocks will rise or fall. That's a tall order when you consider that most professional forecasters mi...

Episode 48: Does "index reconstitution" help or hurt everyday investors? The phrase refers to periods when stock indexes are rebalanced—when stocks are added to or dropped from an index (like the S&P 500 or Russell 2000 Index), often annually, semiannually, or quarterly. If you own index funds, which attempt to track the returns of indexes, reconstitution events may take a hidden bite out of your...

Episode 47: What should investors do to cope with inflation? Plenty are probably wondering what to do next now that inflation is rising again. The first move: Try to understand how inflation impacts investments. The next move: Determine whether your portfolio is positioned to manage the risks of inflation and still achieve your financial goals. One key principle to get comfortable with is that exp...

Episode 46: Are 30 stocks enough to build a truly diversified portfolio? We seek to answer one of investing's most debated questions: How many stocks does an investor really need to own to reduce risk and improve long-term outcomes? While traditional financial research once suggested that owning 20 to 30 stocks captured most diversification benefits, today's global markets may tell a very differen...

Episode 45: Does "market efficiency" sound like investing gobbledygook? For many people, the phrase is hard to comprehend. When they see the stock market soar or plunge, they might think prices are out of whack. When they hear about a lucky few making a killing or sad sacks losing their shirt, efficiency probably isn't what comes to mind. But for most investors, it's helpful to dispense with these...

Episode 44: Are you confused about how to meet saving and spending goals at the same time? Conflicts between these objectives may seem daunting as you plan for retirement. If you spend more now while saving less, your financial future may look questionable. If you spend less now to save more for the future, today may seem bleaker than it needs to be. Enter the Bucket Plan. Devised by Jason Smith,...

Episode 43: If you're newly divorced or widowed, what should you do about money? Undoubtedly, you'll have bills to pay immediately, urgent tax issues, estate documents requiring updates, and plenty of other pressing questions. Like, do you have enough cash? And where are all the passwords? Evelyn Zohlen, a Regional Director and Senior Financial Planner with Apella Wealth who specializes in helping...

Episode 42: What happens to your life—and your wealth—when the business you built becomes one of your biggest risks? We dive deep into the unique challenges facing small-business owners who are navigating growth, managing their own wealth, and planning for an eventual exit. Featuring insights from Pat Collins and Michael Goodman, two seasoned professionals at Greenspring Advisors, this conversatio...

Episode 41: Are you an investor who gets rattled by news about the war? It's a common reaction. Worrisome headlines, especially those highlighting geopolitical conflicts or missile launches or the loss of life, would scare just about anyone. But it's important to separate your emotional reactions from your approach to investing. Current market prices generally reflect whatever is happening around...

Episode 40: Does everyone need a financial advisor? Not necessarily. But for many investors, having a coach makes sense. Think about your financial needs beyond your investment portfolio. Are you in good shape when it comes to insurance, taxes, saving for college, retirement, and estate planning? How would you know? The uncomfortable truth is that there's a lot more to your financial life than the...

Episode 39: What's it like to spend 35 years at the center of Wall Street—and never want to leave? In this compelling conversation, longtime CNBC markets correspondent Bob Pisani reflects on a career that began almost by accident and evolved into a front-row seat to some of the most transformative moments in financial history. From his early days as a real estate reporter, shaped by teaching at Wh...

Episode 38: What if there are already too many exchange-traded funds—and that's actually a good thing? Dive into the ever-evolving world of ETFs with industry expert Todd Rosenbluth to unpack the explosive growth, innovation, and complexity shaping today's ETF landscape. Todd offers a front-row perspective on how the industry has evolved from simple index-tracking funds to a universe of over 5,000...

Episode 37: What's the biggest risk in investing? Longtime financial advisor Cameron Passmore says it's not AI or geopolitical turmoil, and it's not oil prices or inflation. It's you! Passmore, one of the original hosts of the popular Rational Reminder podcast, believes bad behavior by investors causes big trouble. Especially when stress rises due to turmoil in the market or around the globe. Pass...