WealthManagement Magazine

Expressing Yourself Clearly and Graphically

New Ibbotson charts illustrate a wide range of investment principles.Having trouble convincing clients not to jump on the hot stock of the day? A new chart from Ibbotson Associates might help illustrate your point.The chart is called "Do Stock Winners Repeat?" It shows investors how the top 10 performing stocks in any given year do tremendously well for three years and then fade.For example, the best

New Ibbotson charts illustrate a wide range of investment principles.

Having trouble convincing clients not to jump on the hot stock of the day? A new chart from Ibbotson Associates might help illustrate your point.

The chart is called "Do Stock Winners Repeat?" It shows investors how the top 10 performing stocks in any given year do tremendously well for three years and then fade.

For example, the best stocks of 1996 generated average annual returns of about 180% during the three previous years. But during the following three years, those stocks dropped an average of 30% annually.

Another chart, "Potential Shortfall: The Risk of High Withdrawal Rates," illustrates how a client could deplete a $500,000 retirement nest egg between 1972 and 1981 with an annual withdrawal rate of 9%. But a 5% withdrawal rate provides that client with income from 1972 until mid-1993.

Other new charts from Ibbotson include: - Growth and Value Investing 1927-1999

- Risk of Stock Market Loss Over Time 1926-1999

- Volatility of Stock and Bond Returns 1926-1999

The charts can be purchased individually.

Online employment site matches brokers with firms.

"It's like a dating service," says Jeff Testerman in explaining BrokerHunter.com, his online employment site that matches brokers with firms.

BrokerHunter.com allows reps looking for new positions to post their credentials, such as gross production, assets and registrations. Confidentiality is protected because brokers don't provide their name, phone number or the name of their current employer.

If a party is interested, that rep receives an e-mail noting the person wants to talk. The broker can then release his contact information by e-mail.

There are about 1,500 candidates on the free site. Collectively, they control $8 billion in assets and generate $100 million in production, Testerman says.

If a rep is hired, BrokerHunter.com earns 3% of the broker's trailing 12-month production; 10% on salaried employees.

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