Companies created to help buyers purchase homes are now stuck holding the bag on loads of inventory. Will Parker and Nicole Friedman report in The Wall Street Journal: Ribbon Home Inc. had a fast-growing business during the housing boom. The New York City-based startup purchased homes with cash on behalf of buyers. Then it sold the homes to the buyers at the same price, plus a fee, once the buyers got a mortgage. This approach made their clients’ offers more appealing, since sellers often prefer all-cash transactions that can close quickly and are considered more reliable. Ribbon has been … [Read more...]
Archives for February 2023
What Your Survival Guy Invested in Today
You Survival Guy made a not-so-insignificant six-figure investment this morning in a mix of stocks and bonds. It’s a balanced approach, with roughly one-third stocks and two-thirds bonds yielding close to four percent. This is the type of mix I like for my retired clients, and for me, at age 50, it’s time to have more bonds in my portfolio, and this accomplishes that. The other motivation is you need to strike. You must take action when opportunities are right in front of you. Don’t fall victim to inertia. Whenever I have a large pile of cash to deploy, my first question is, “What can I … [Read more...]
AI SEARCH WAR BEGINS: Google and Microsoft Join AI Battle
The battle for AI-powered internet search has begun. ChatGPT's success has ignited a hostile response from the current search powerhouse, Google, and Microsoft, which owns the Bing search engine. Richard Waters reports for the Financial Times: The internet search wars are back. The emergence of AI systems capable of generating direct textual answers to questions — most notably the ChatGPT chatbot created by San Francisco-based OpenAI — has opened the first new front in the battle for search dominance since Google fended off a concerted challenge from Microsoft’s Bing more than a decade … [Read more...]
Your Retirement Life: Adventure Awaits
It's going to be a cold one today, especially at the summit of Mt. Washington, home of the world's worst weather. Here's your forecast: "As far as wind chill values, if we go with a milder and less gusty setup of 33F below and winds of 95 mph, summits will have values around 87F [degrees Fahrenheit] below," meteorologist Ryan Knapp of the Mount Washington Observatory said in a statement. "If we go with a colder, windy setup of 40F below and 110 mph, summits will have values around 101F [degrees Fahrenheit] below." With that in mind, it's good to see pics from your adventures in warmer … [Read more...]
UK Takes Aim at the Cryptocurrency Industry
The United Kingdom has unveiled sweeping new regulations for the cryptocurrency industry. Scott Chipolina reports in the Financial Times: The UK has set out a sweeping new regulatory regime for the cryptocurrency industry that aims to bring the rules governing the issuance, trading and lending of crypto tokens closely into line with those for traditional financial assets such as stocks and bonds. The proposals to “robustly” regulate the sector, which are subject to a consultation, are the clearest sign yet that the government is determined to transform the UK into a hub for the crypto … [Read more...]
Early Advice from Her Dad on Tipping at Charlie Trotter’s
We’ll be married 25 years this November. Together for over 27 years. One of our first trips together was to Chicago, where, after Babson, Becky went to graduate school at DePaul University. Back in 1995, when a fraternity brother invited us to his wedding in Chicago, this was a chance to visit Becky’s old stomping grounds and explore the city with friends. We ate deep-dish pizza, drank draft beer, listened to music—all not far from where she lived—and we hit the major sites and shopped the Miracle Mile. It was a blast. The highlight was dinner at Charlie Trotter’s. I felt like I knew … [Read more...]
Do You Trust This Rally?
In the Financial Times, Robin Wigglesworth calls the recent market rally "trashy." He writes: Markets have started the year where they ended 2021, rallying on hopes that inflation has peaked, central banks are about to pivot and the global economy is doing a lot better than feared. This has lifted most boats, both in equities and fixed income. The MSCI All-Country World Index climbed 7 per cent in January, while the Bloomberg Global Aggregate bond index is up 3.3 per cent. In terms of breadth, this is the best start to a year since 2019, according to Deutsche Bank. And this is a proper … [Read more...]
Reagan’s America Remembered by Your Survival Guy and More
“Life on Main Street hasn’t been this hard in a while,” writes Your Survival Guy on the inside, back cover, of The American Conservative. “When I go back to Mattapoisett, MA, where I grew up, and walk up my parents’ stairs, there’s a picture that always stops me in my tracks. It’s of the two of them wearing Ronald Reagan hats at the 1980 Republican National Convention in Detroit.” When you think about that time in America, you know the country was at a crossroads. Reagan inherited runaway inflation and an economy on the ropes. Would he be able to work with Federal Reserve Chief Paul Volcker … [Read more...]
What Happens if the “Fed Put” Is Over for Good?
In the Financial Times, Richard Bernstein examines the possibility that the "Fed put" might be over for good. He writes: Investors have been acting as though the central bank is ready, willing and able to supply the easy money protection of the Fed put. The growing notion that inflation has peaked and the central bank will soon “pivot” to lower interest rates has fuelled a rally so far during 2023 in the riskiest, most speculative assets. Meme stocks are up more than 25 per cent, bitcoin is up more than 40 per cent and the Ark Innovation Fund that invests in speculative tech prospects is up … [Read more...]
Tom Brady Retires, Again. Should You?
Tom Brady has announced, again, that he will retire from the NFL. At 45, Brady is much younger than the average American retiree, but also much older than the typical NFL retiree. ESPN reports: Tom Brady says he is retiring "for good" from football, ending a storied 23-year NFL career during which the star quarterback won seven Super Bowls and set numerous records. Brady announced his decision Wednesday on social media, saying he "wouldn't change a thing" about his career. Brady, 45, also announced he was retiring on Feb. 1, 2022, before changing his mind 40 days later and returning to … [Read more...]