Anyone with a computer and an E-Trade account can trade stocks these days, but is that actually a good thing? Cullen Roche, the founder of Orcam Financial Group, argues that technology is adding to the "get rich quick" mentality of investors, who are ignoring the long-term. In fact, the average holding of a stock is down to one month. Roche adds that no one should be trading their account every day and doesn't see any added value to robo-advisors: "It’s great to automate your approach, but much of what they do just looks like another way to layer on extra fees for something you can easily do on your own."
"I feel that it is no longer possible to provide even a reasonable assurance to my clients that I can provide anything in the way of protection from market volatility, bail-ins, cleanouts like 2008, and so forth in an advisor capacity," Andy Sutton writes on the Market Oracle. Instead, Sutton, the head of Sutton & Associates, plans on going back to advocating for and educating his clients. "It is time to get back to basics. Time to get back to being an advocate for those who are interested in broadening their understanding. I’m convinced those folks are still out there; my goal is to find them or vice versa. Accomplishing this without the albatross of being a ‘financial guy’ on my back should be quite a bit easier."
Charles Schwab has agreed to become a corporate sponsor for Ellevate, Sallie Krawcheck's global professional women's network. The sponsorship brings Schwab's senior female executives into Ellevate's network, which is dedicated to the success and economic engagement of women.
The Russian ruble is tanking, due to the decline in oil and economic sanctions imposed upon Russia following the invasion of Crimea, according to Bloomberg Businessweek. What is happening is all-out fear and panic by Russians who are rushing out to buy whatever they can to get rid of their cash. Russia, in a surprise move, hiked interest rates to 17 percent to try and fight the ruble's collapse.