Mullooly Asset Management

In episode 179 of the Mullooly Asset Management podcast, we ask if the new Trump Administration will let the Department of Labor Proposed Regulations Go Through?

It’s important to remember that eliminating one type of risk almost always results in assuming another when it comes to investing. There are no returns without some degree of risk taking. You’d know that to be true if you were tried out litecoin to bitcoin margin trading: highly lucrative but also highly volatile. Floating rate […]

Individual investors and investment advisors alike can benefit from keeping a portfolio journal. Having a handwritten record of past thoughts can be invaluable to our decision-making process in the future. Making financial decisions isn’t easy, and neither is giving financial advice. That’s why we should all be keeping a portfolio journal no matter what our role is in the […]

This is my favorite time of the year to watch sports. The NFL is back in action, but more importantly, October brings us the MLB Playoffs. We’re huge baseball fans here at Mullooly Asset Management, and this year is particularly exciting for us because our New York Mets are back in the post season after […]

This week, we mark the seven-year anniversary of the fall of Lehman Brothers back in 2008.  In the podcast, we quickly review how Bear Stearns and Lehman both collapsed from 2007 to 2008.  We also remarked how leaders at several banks, brokerage firms, and other financial companies noted their organizations had little-to-no exposure to sub-prime […]

The NFL season is about to get underway. I know I’m anxiously anticipating next Thursday’s showdown between the Patriots and Steelers. Can you imagine either of these teams not planning for this matchup? We all know Bill Belichick will have something up his sleeve, and Mike Tomlin isn’t one to be caught flat-footed. Like football, […]

On the podcast, recorded Wednesday August 26, 2015, Tom, Tim and Casey had a discussion on basics: Stop orders, Limit orders and Market orders.

We’ve gained an outstanding education on relative strength investing from our friends at Dorsey Wright and Associates. Between their Point and Figure Institutes and daily research, they’ve taught us an incredible amount about the markets. One of the biggest tools they provide us with is called DALI, or Dynamic Asset Level Investing. DALI evaluates the supply […]

There’s a stigma surrounding home exercise DVD programs, I get it. Maybe it’s driven by the infomercials or the way they seem to gather cult-like followings. Either way, I’m willing to admit that I’ve become a Tony Horton disciple over the last few years. Every morning I pop in a P90x DVD and get my […]

“I can only afford to save $50 a month, that won’t be enough to make a difference. Why bother?” I can’t tell you how many times I’ve heard this or a variation of it. It comes up when discussing things like creating an emergency fund, saving for a down payment, investing for a child’s college […]

We fear change. It’s a fact. Think about the last time Twitter or Facebook updated its app. How many people initially complained about it? I’m guilty of eating the same thing for breakfast every day, scrambled egg whites with assorted vegetables. Don’t even think about recommending cereal to me. We are creatures of habit, and […]

Imagine that you and your family are about to take a cruise to the Caribbean. You’ll be stopping in St. Lucia, Grenada, and St. Vincent and the Grenadines. You’re excited for what should be an excellent trip, but upon boarding you find out that the ship is taking on water. Are you still going to the […]

If you’ve ever eaten at a buffet, you probably know what the naive diversification heuristic is without even realizing it. Let me explain. When I visit a buffet, I end up taking a little bit of everything so I don’t miss out on the restaurant’s best dish. It always seems like a reasonable way to […]

“It’s okay to be wrong, it’s not okay to stay wrong”. Maybe you’ve heard some variation of this saying before? It’s one of my favorites, as it applies nicely to all facets of life, especially investing. A common reason many of us decide to “stay wrong”, rather than change, is the sunk cost fallacy. The […]

As humans, we’re all affected by different behavioral biases. We often let emotions dictate our actions, which can lead to unfavorable outcomes. These inherent biases make rational investing a difficult task. The endowment effect is one such bias that works against us as investors. Professor of Behavioral Science and Economics at the University of Chicago Booth […]

Recency bias is one of many cognitive errors that plague investors. It refers to the human tendency to overemphasize more recent data. The recency bias is most likely to be discussed in the realm of behavioral finance, however this bias can be found in every day life too. I want to share a few examples […]

We all spend inordinate amounts of valuable time stressing over things we cannot control. This is especially true for investors. No matter how hard we try, we cannot control what the market does. The market will do what it wants to, when it wants to. Here at Mullooly Asset Management, we’ve found that technical analysis […]

This morning at our daily research meeting, we discussed something that several clients have brought up to us recently: it’s June and the Dow Jones Industrial Average and S&P 500 are barely positive for the year. While it is important to monitor your portfolio’s progress over time, many investors make the mistake of comparing their […]

Yesterday the Dow Jones Industrial Average celebrated its 119th birthday! Charles Dow and Edward Jones created the index, and it was first calculated on May 26, 1896. While the Dow Jones Industrial Average is certainly the most discussed US market index, you may be surprised to hear that it’s actually only the second oldest. Dow […]

A topic we can’t seem to discuss enough here at Mullooly Asset Management is relative strength. Relative strength refers to the momentum factor. As John Lewis, CMT of Dorsey Wright Money Management described in a recent whitepaper: “Relative Strength (momentum) strategies focus on purchasing securities that have already demonstrated the ability to outperform a broad market […]

At Mullooly Asset Management, we help a lot of individuals manage their retirement accounts at work. The type of retirement account doesn’t matter (401k, 403b, or 457), we advise individuals on how to allocate their retirement savings within these plans. Sometimes, we review a client’s employer sponsored plan and it seems to be lagging the other […]

Exchange traded funds (or ETFs) have been around since January of 1993. SPY (the S&P 500 index ETF) was the first of its kind, and we’ve watched the industry evolve from there. After SPY, we saw the ETF universe expand to include sectors, international indexes and countries, bonds, and commodities. ETFs have continued to become […]

Our portfolio management strategy at Mullooly Asset Management has two main parts: point and figure charting and relative strength. Relative strength is also referred to by academics as the momentum factor. To put it plainly, relative strength (or momentum) is the phenomenon that securities which have performed well relative to peers on average continue to outperform, […]

Time is said to be our most valuable asset, so if you’re behind on saving for retirement, just work longer! Sounds simple enough, right? While this theoretically seems like a great solution, it isn’t so easy in the real world. Nobody likes to hear this, but the best way to improve your chance of having […]

It’s been said that, “A goal without a plan is just a wish”. This applies to personal finance, as well as many other aspects of life. Most people wish that they could stop worrying about their finances so much, but they have no plan to achieve that goal. When it comes to finances, not having […]