As a parent one of the more maddening things as children grow is that period in the Childs life when they incessantly ask, “what if?”. Well, it seems that when it comes to finances people should be more childlike and ask what if rather than accept what the alleged experts seem to collectively spout as gospel. Presently financial markets are quite unsettled. Even the famed Nobel Economist Paul Krugman admits that he cannot get a handle on the newest economic data because so much of it is inconsistent with generally accepted beliefs.
When I read about markets, savings, and such and then listen to the so-called financial consultants I hear the vast majority of them say after a horrendous market downturn that over time markets bounce back so hold on. I’m not a mathematician but I like math because it helps me make so many life decisions. It is very simple for me – if the market is down 20% then my $100 becomes $80. If the market averages 10% gains, then a year later I have $88. While in most downturns there are at least two years of gains that can if held be throwing off compound interest without having to guess which stocks to buy or which ETFS to acquire.
The Mathmatecum is designed to keep pace with that recommended scenario and provide yearly distributions.
Make note that for the financially fortunate who get monies back during tax season, a portion of tax refunds can be used to acquire I-bonds over the $10,000 restriction. Between now and May 1st when the rate on I-bonds changes you will receive the present interest rate for at least the first six months you hold the bonds. You have until April 30th to make those purchases!
BIO
A bit out my timeline for the BIO by a year but I can’t let it go because of that coincidence thing once again. My younger brother had a double bypass two weeks ago today! He has been home a week and I guess because he can’t do to many things strenuous, he has been going through boxes of old stuff at his house. He found an acceptance letter to me from my old Catholic high school with what would be the yearly charges:
Tuition $150/yr.
Parochial Student Fee $50/yr.
Activity Fee $30/yr.
Three years ago, my grandson’s grammar school tuition was $6,000/yr.- ouch!
JAI BABA
TTFN
JU
