June, 2016

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The Market’s Response To Crisis

The Irrelevant Investor

The most important thing long-term investors need to see today is the market's response to crisis, courtesy of Dimensional Funds. The chart above should put the Brexit in perspective. Nobody knows yet what the implications will be, but I'm pretty confident that this is no more significant than any of the six events above. Now of course there are never any guarantees, that's what risk means.

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NOW 2016 | Reviving the American Dream: Confronting Inequality in the U.S.

Brown Advisory

NOW 2016 | Reviving the American Dream: Confronting Inequality in the U.S. achen Thu, 06/23/2016 - 10:27 The speakers for the session entitled, "Reviving the American Dream: Confronting Inequality in the U.S.," wasted no time digging down to a bedrock question—why should Americans care about a widening gap between rich and poor? Alexis de Tocqueville provided the answer: "self-interest rightly understood.

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Simplexity

The Irrelevant Investor

Nick Murray once said "if you want to suppress volatility, you will suppress returns." This definitely applies to many investors who either try to time the market on their own, or turn to complex and often times dangerous strategies designed to deliver stock like returns with bond like risk. Such a strategy by definition, cannot deliver on its promise.

Taxes 52
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NOW 2016 | Gene Editing: Empowering a Cure for Cancer and Other Medical Breakthroughs

Brown Advisory

NOW 2016 | Gene Editing: Empowering a Cure for Cancer and Other Medical Breakthroughs achen Thu, 06/23/2016 - 10:27 Through genetic modification, humans are taking the reins from Mother Nature, making huge strides in fields such as human nutrition and health. Editing genes can help parents with genetic diseases bear healthy babies. Such technology can also lead to the creation of higher-yielding crops and cure cancer with immune cells that are injected into the human body.

Medical 52
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Less Stress, More Success: Accounting Best Practices & Processes for 2025

Speaker: Amanda Adams, Fractional CFO, CPA

Are you ready to elevate your accounting processes for 2025? 🚀 Join us for an exclusive webinar led by Amanda Adams, a seasoned fractional CFO and CPA passionate about transforming back-office operations for finance teams. This session will cover critical best practices and process improvements tailored specifically for accounting professionals.

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NOW 2016 | Hope vs. Fear: Winning the Hearts and Minds of Arab Youth

Brown Advisory

NOW 2016 | Hope vs. Fear: Winning the Hearts and Minds of Arab Youth achen Thu, 06/23/2016 - 10:27 The Middle East, although torn by conflict, shows long-term promise, with a proportionally large and growing population of youth that is online, tech savvy and eager to find economic opportunities. Indeed, the misperception that Arab youth are hostile militants prompts diplomatic approaches to the region that are detrimental to people both within and outside the Arab world, according to the panelis

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NOW 2016 | Autonomous Systems: Ethics at the Edge of Technology

Brown Advisory

NOW 2016 | Autonomous Systems: Ethics at the Edge of Technology achen Thu, 06/23/2016 - 10:27 The limits to what humans can create seem bound only by the limits of human imagination. Advances in computing and connectivity have thrust us into a new world of increasingly sophisticated robots and other "autonomous systems." Such progress, while exciting, can provoke anxiety and pose ethical challenges.

Ethics 52
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NOW 2016 | The Future of College: Is It Worth the Money?

Brown Advisory

NOW 2016 | The Future of College: Is It Worth the Money? achen Thu, 06/23/2016 - 10:27 The payoff from higher education is clear—college graduates generate 65% more in lifetime earnings than people with only a high school diploma. Their advantage has more than doubled since the 1980s, largely because innovation has increased demand for highly skilled workers.

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NOW 2016 | China’s Age of Ambition

Brown Advisory

NOW 2016 | China’s Age of Ambition achen Thu, 06/23/2016 - 10:27 Friction will probably persist in Sino-U.S. relations as China grows increasingly assertive and discards its long-standing strategy to “hide strength and bide time,” according to Evan Osnos, a China specialist and correspondent with The New Yorker. “We are in an era of strategic anxiety with China,” Osnos said in a NOW presentation.

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NOW 2016 | Strokes, Science & Video Games: Breaking New Neurological Ground in Treating Stroke Patients

Brown Advisory

NOW 2016 | Strokes, Science & Video Games: Breaking New Neurological Ground in Treating Stroke Patients achen Thu, 06/23/2016 - 10:27 Stroke persists as a scourge even in countries with the most advanced medical care. In the U.S., one out of every five people between the ages of 55 and 75 suffers a stroke, and currently there is no option available to treat or reverse the resulting damage to the brain.

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Avoiding Lease Accounting Pitfalls in 2025: Lessons Learned from Spreadsheet Errors

Speaker: Abdi Ali, Sr. Lease Accounting Consultant

Join this insightful webinar with industry expert Abdi Ali, who will discuss the challenges that can arise from managing lease accounting with spreadsheets! He will share real-world examples of errors, compliance issues, and risks that may be present within your spreadsheets. Learn how these tools, while useful, can sometimes lead to inefficiencies that affect your time, resources, and peace of mind.

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NOW 2016 | Putin’s World

Brown Advisory

NOW 2016 | Putin’s World achen Thu, 06/23/2016 - 10:27 On Feb. 27, 2014, unidentified troops, referred to as “little green men” in news reports, stormed the Crimean peninsula. Within days, the soldiers occupied the Crimean Parliament prior to a vote by lawmakers to replace the regional prime minister with a member of the Russian Unity party and hold a referendum to join Russia.

Economy 52
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NOW 2016 | The Reality of Climate Change

Brown Advisory

NOW 2016 | The Reality of Climate Change achen Thu, 06/23/2016 - 10:27 A change in climate caused by a buildup in greenhouse gases may bring a host of afflictions, including a reduction in crop yields and mass migration of people in several regions, according to the speakers in the NOW session titled, “The Reality of Climate Change: Impacts on Health, Food, Water and National Security.

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Welcome to the NOW 2016 Review and Videos

Brown Advisory

Welcome to the NOW 2016 Review and Videos. achen. Thu, 06/23/2016 - 10:27. A Note from Michael Hankin, President and CEO of Brown Advisory. I love our NOW conferences. NOW, which is short for “Navigating Our World,” is a forum in which we join with clients and friends to learn from thought leaders about some of today’s most profound changes in technology, geopolitics and other fields.

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NOW 2016 | Reviving the American Dream: Confronting Inequality in the U.S.

Brown Advisory

NOW 2016 | Reviving the American Dream: Confronting Inequality in the U.S. achen. Thu, 06/23/2016 - 10:27. The speakers for the session entitled, "Reviving the American Dream: Confronting Inequality in the U.S.," wasted no time digging down to a bedrock question—why should Americans care about a widening gap between rich and poor? Alexis de Tocqueville provided the answer: "self-interest rightly understood.

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Back to Basics with Reconciliations

Join us in this webinar, where we share best practices on how to think about the reconciliation work each month, when best to do reconciliations, how they should be prepared, and some common pitfalls to avoid. Learning Objectives: This course objective is to understand how to properly prepare and review balance sheet reconciliations and its impact on the financial statements.

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NOW 2016 | Gene Editing: Empowering a Cure for Cancer and Other Medical Breakthroughs

Brown Advisory

NOW 2016 | Gene Editing: Empowering a Cure for Cancer and Other Medical Breakthroughs. achen. Thu, 06/23/2016 - 10:27. Through genetic modification, humans are taking the reins from Mother Nature, making huge strides in fields such as human nutrition and health. Editing genes can help parents with genetic diseases bear healthy babies. Such technology can also lead to the creation of higher-yielding crops and cure cancer with immune cells that are injected into the human body.

Medical 52
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NOW 2016 | Hope vs. Fear: Winning the Hearts and Minds of Arab Youth

Brown Advisory

NOW 2016 | Hope vs. Fear: Winning the Hearts and Minds of Arab Youth. achen. Thu, 06/23/2016 - 10:27. The Middle East, although torn by conflict, shows long-term promise, with a proportionally large and growing population of youth that is online, tech savvy and eager to find economic opportunities. Indeed, the misperception that Arab youth are hostile militants prompts diplomatic approaches to the region that are detrimental to people both within and outside the Arab world, according to the pane

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NOW 2016 | Energy, Money and the New World Economy

Brown Advisory

NOW 2016 | Energy, Money and the New World Economy. achen. Thu, 06/23/2016 - 10:27. The benefits to the U.S. from its “revolution” in shale oil production have been far-reaching. The industry generated millions of jobs in the aftermath of the Great Recession. Indeed, former Federal Reserve Chairman Ben Bernanke called the shale boom one of the biggest boosts to the U.S. economy since 2008.

Economy 52
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NOW 2016 | Autonomous Systems: Ethics at the Edge of Technology

Brown Advisory

NOW 2016 | Autonomous Systems: Ethics at the Edge of Technology. achen. Thu, 06/23/2016 - 10:27. The limits to what humans can create seem bound only by the limits of human imagination. Advances in computing and connectivity have thrust us into a new world of increasingly sophisticated robots and other "autonomous systems." Such progress, while exciting, can provoke anxiety and pose ethical challenges.

Ethics 52
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2024 Lending Outlook: Innovations and Evolutions in the Financial Sector

As we step into 2024, the lending landscape evolves rapidly with technology, regulations, and market dynamics driving change. For banks and financial institutions to stay competitive and meet the evolving needs of their customers, these drivers must be understood and engaged with. Lenders can anticipate significant transformation fueled by technological advancements, regulatory shifts, and changing consumer behaviors.

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NOW 2016 | The Future of College: Is It Worth the Money?

Brown Advisory

NOW 2016 | The Future of College: Is It Worth the Money? achen. Thu, 06/23/2016 - 10:27. The payoff from higher education is clear—college graduates generate 65% more in lifetime earnings than people with only a high school diploma. Their advantage has more than doubled since the 1980s, largely because innovation has increased demand for highly skilled workers.

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NOW 2016 | China’s Age of Ambition

Brown Advisory

NOW 2016 | China’s Age of Ambition. achen. Thu, 06/23/2016 - 10:27. Friction will probably persist in Sino-U.S. relations as China grows increasingly assertive and discards its long-standing strategy to “hide strength and bide time,” according to Evan Osnos, a China specialist and correspondent with The New Yorker. “We are in an era of strategic anxiety with China,” Osnos said in a NOW presentation.

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NOW 2016 | Strokes, Science & Video Games: Breaking New Neurological Ground in Treating Stroke Patients

Brown Advisory

NOW 2016 | Strokes, Science & Video Games: Breaking New Neurological Ground in Treating Stroke Patients. achen. Thu, 06/23/2016 - 10:27. Stroke persists as a scourge even in countries with the most advanced medical care. In the U.S., one out of every five people between the ages of 55 and 75 suffers a stroke, and currently there is no option available to treat or reverse the resulting damage to the brain.

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NOW 2016 | Driverless Cars: Transforming Energy and Mobility

Brown Advisory

NOW 2016 | Driverless Cars: Transforming Energy and Mobility. achen. Thu, 06/23/2016 - 10:27. Driverless cars will vastly improve what it means to be “on the road,” according to Lawrence Burns, advisor to Google on the Future of Transportation and Mobility. So-called autonomous vehicles could reduce the 1.2 million annual fatalities on world roads by 80%.

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Banking on Loyalty: Holistic Financial Advice for Unparalleled Business Growth

Speaker: Joe Buhrmann, MBA, CFP®, CLU®, ChFC® Senior Financial Planning Practice Management Consultant eMoney Advisor

During an era of evolving consumer preferences, the banking sector is undergoing a profound shift. As customers continue to broaden their perspectives, banking professionals must support their customers' financial wellness by providing holistic financial advice that aligns with individual goals and circumstances. Without adapting, financial institutions will find that loyalty may crumble amid uncertainty.

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NOW 2016 | Putin’s World

Brown Advisory

NOW 2016 | Putin’s World. achen. Thu, 06/23/2016 - 10:27. On Feb. 27, 2014, unidentified troops, referred to as “little green men” in news reports, stormed the Crimean peninsula. Within days, the soldiers occupied the Crimean Parliament prior to a vote by lawmakers to replace the regional prime minister with a member of the Russian Unity party and hold a referendum to join Russia.

Economy 52
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NOW 2016 | The Reality of Climate Change

Brown Advisory

NOW 2016 | The Reality of Climate Change. achen. Thu, 06/23/2016 - 10:27. A change in climate caused by a buildup in greenhouse gases may bring a host of afflictions, including a reduction in crop yields and mass migration of people in several regions, according to the speakers in the NOW session titled, “The Reality of Climate Change: Impacts on Health, Food, Water and National Security.

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History Gets Lost In The Charts

The Irrelevant Investor

Benjamin Roth began writing a diary in 1931 that detailed his experience during The Great Depression. He would continue documenting his life- 14 handwritten notebooks- until he died in 1978. Roth does an amazing job capturing the psychology of the time, which completely gets lost in a chart. Looking at the Dow to experience The Great Depression is like looking at the sky to experience an astronaut floating in space.

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Never Ready

The Irrelevant Investor

“If you want to make God laugh, tell him about your plans.”- Woody Allen My mother passed away five years ago today. At just 56 years old, she was robbed of her future. I wasn't ready for her to go. But today I'm reminded that we are creatures of survival, that healing is in every fiber of our being. And although I'm still not ready to live the rest of my life without her, our mind and our body doesn't wait for us to be ready; it doesn't ask for our permission.

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Navigating Financial Storms: Strategies for Building Resilient Balance Sheets

Speaker: Carolina Aponte - Owner and CEO, Caja Holdings LLC

In today's rapidly changing business environment, building a resilient balance sheet is crucial to the survival of any business. A resilient balance sheet allows a company to withstand financial shocks and adapt to changing market conditions. To achieve this, companies need to focus on key strategies such as maintaining adequate liquidity, managing debt levels, diversifying revenue streams, and prioritizing profitability over growth.

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Midyear Planning Tools for 2016

Brown Advisory

Midyear Planning Tools for 2016. achen. Thu, 06/16/2016 - 15:22. As we write this letter, financial markets are grappling with plenty of controversy and uncertainty, from the aftershocks of the dramatic fall in oil prices, to the potential impact of a British exit from the EU, to the implications of the pending U.S. Presidential election. Yet despite a heavy dose of recent market volatility, the planning environment in 2016 is relatively stable.

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Historical Returns Versus Investor Returns

The Irrelevant Investor

The 1950s were a great time to be an investor. It was the only decade where stocks began at the lows and finished right near the highs. Furthermore, the total return on the S&P 500 was 486%, the strongest of any decade ever. But when looking at historical returns, we fail to see what really matters, which of course are investor returns. It's highly unlikely that they captured anywhere close to the 486% advance in the S&P 500.

Sales 52
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Triple Threat

The Irrelevant Investor

George Soros, one of the most successful investors of all time, just came out of retirement to bet against the U.S. stock market. Carl Icahn is 150% net short. Stanley Druckenmiller is in the same boat. Yikes, you wouldn't want to be on the other side from one of these guys, let alone all three of them. There are people who get influenced when they see stuff like this and I can understand why.