Posted By RichC on October 29, 2013
Between being locked out of my WordPress site and having my admin password compromised and dealing with Time Warner cable and Internet issues at home, I’m ready to cut the cord and do away with technology today. Since I was talking with TW customer service about a billing issue and complaining about my home Internet connection, they will be upgrading my speed to 20MB down … I’m not seeing it?
Posted By RichC on October 28, 2013
I arrived home Monday afternoon and realized my Freedompop 4G LTE hotspot was still turned on in the car (device I use to connect my computer and iPad to the Internet while traveling). When I picked it up, the “LTE connected” light was still on and I thought, "hmm, that can’t be LTE 4G in Liberty Township, Ohio?" I connected the iPad and sure enough the Sprint LTE towers were turned on and the speed was impressive. Sprint may just be testing (on and off), but compared to speedtests in other Ohio locations, the data speed was excellent. If you are interested in a free wireless data hotspot (500MB/mo.), check out http://fpop.co/ewOw
Posted By RichC on October 26, 2013
After writing the Liquidity addict post for Friday and speculating that our “irrational exuberance” for stocks has bold investors buying with reckless abandon (CNBC on Friday said margin buying is near all time highs). Concerned? Hmm, yup. I also received a couple of emails from readers who said they were happy, but also worried about the rapid gains in their retirement accounts and wondering what they should do. Well, it’s not easy to predict when this stock bubble will pop, but statistically the recent gains have not corresponded to the economy growing. From my perspective, the stock market can’t continue to rise without real economic growth.
The question is, “what should you do about long term retirement savings?” Should you sell everything and miss out on equity growth and try to time the market in order to get back in again? Probably not … as this is a guess 
no matter how sophisticated you are. It is difficult enough to put together a long term balanced portfolio in order to have growth throughout ones working career, let alone trying to manage the principal through the ups and downs. So once you’ve committed to a balanced portfolio and are adjusting type of holdings over time (growth vs income as you age), then guessing when to be in and when to be out of the market hardly makes sense. On the other hand, putting new money to work buying additional shares after prices have risen double digits in a half year doesn’t make sense either in my opinion. In fact the odds are that prices won’t continue to rise at the same double digit percentages year after year. In fact there is a greater likelihood share prices will stagnate or pull back due to normal profit taking … then there’s always the possibility of a market correction or surprise event.
So here’s a middle ground option (key word “option”). Consider taking the dollars that you would have used to add additional shares, and instead purchase some downside insurance by buying put options.
You can either use married puts (stock you own) or buy puts on an entire market … or the sector that have had seen the largest gains perhaps? Worst case scenario is that you’ve wasted money on the insurance if the market stagnates … but you can at least sleep at night. If the market drops, the value of your Protective Puts increase if value and offset your equity losses. And finally in the best case scenario, stocks continue to rise, the economy grows and your portfolio holdings offsets your “insurance premium” and then some if the irrational exuberance continues.
Then again … if you’re really panicked, sell it all, pay the taxes and penalty and go buy guns, grub and gold. 
Posted By RichC on October 25, 2013
Posted By RichC on October 25, 2013
As a student of economics, a business manager and as a hesitant investor, I’m concern about what is going to happen when the Federal Reserve finally pulls the stimulus intravenous therapy? It is likely that Fed Chairman Bernanke is worried about weaning the stimulus too, by the fact he hasn’t started to taper. It is possible that easing back the cheap money will be the catalyst for another economic downturn. Unfortunately the longer the addict remains dependent, the more difficult and dangerous it is going to be when the IV drip is finally pulled. In the meantime, most of the stimulus is being squandered by bureaucrats or is landing in the coffers of those at the top of the economic pyramid — very little is making its way to the working class.
For all the Feds good intentions, most of middle America has not participated the way those with substantial investment portfolios, large corporations and Wall Street bankers have — in other words, not many decent paying jobs have been created. Sure there are some part time positions or temporary jobs, but very few living wage blue-collar or middle management opportunities — but who can blame employers for holding back? If the Fed’s intention was to entice companies to hire, their effort is being thwarted at every turn by big, and bigger, government, especially those policies being proposed and implemented by President Obama and the liberal Democrats. The Washington DC “knows best” heavy handed approach detours job creation and makes expanding the workforce unattractive to all employers who balance their books and answer to shareholders for their bottom line; the exception being those employed by the government (they just tax and borrow more to meet payroll). Companies with strong balance sheets are hesitant to expand in the U.S. due the growing number of costly regulations, concern for a growing federal debt and a questionable future tax code. Currently small business can’t justify adding employees due to the Affordable Care Act and established mom and pop businesses are concluding it is time to close their doors. Congress, and their next election cycle self-interest, will not address the systemic problem of entitlements, deficits and national debt … which makes even the most pro-America CEO pull back on expanding domestically, preferring instead to keep their powder dry or looking elsewhere.
The real concern is that the Federal Reserve’s easy money policy is stimulating only the well off and not generating any real economic growth. Eventually the “irrational exuberance” in the financial markets will end and all is going to come crashing down. My biggest concern is that this may happen when the Fed still has the IV in the patient and when they are already administering all the drugs that the pharmacy has to offer. God help us.
Posted By RichC on October 23, 2013
Yesterday’s Apple product event came on the heels of last months lackluster iPhone 5c and 5s announcement (I watched on and off on my iPad – Jony Ive in photo on right) . First off, there wasn’t anything earthshattering just as with the new iPhones, but the updates and upgrades will be “want to have” items. About every computer product in Apple’s lineup will see some kind of improvement, be it the new OS X Mavericks (10.9) or speedier chipsets. I kept my eye on the new Macbook Pro which will be offered in both a 13” and 15” model although am not sure I really need another computer? They are thinner, lighter, sharper (retina displays) and have the latest in efficient but powerful processors from Intel. Either model would be hard to beat if you need a new notebook.
The more anticipated announcement for me was the full size iPad, now call the iPad Air and the retina display available on the iPad Mini. Thinner, lighter in a couple more colors. As for specs, they will come in several models but all have great battery life, superb displays and snappy performance. I’m to the point I’m not sure I really need a notebook anymore? A lot of choices (see below).
For a full write-up … check out CNET.
Posted By RichC on October 22, 2013
With a $25 coupon about to expire, I decided to buy a new pair of grippy Sperry SeaRacer Sneakers. These boat shoes were not exactly what I expected as they were much lighter in weight and lighter in construction than any “sneaker” I’ve ever had. In fact, they were almost wimpy. But … after wearing them around the house, I started to appreciate the lightweight and tactile feel.
On Monday evening I decided to wear them out on the pool decking and noticed that the breathable material keeps the foot nice and cool (a little too cool for 40s and 50s), but there is a downside to this ventilation — the breathable construction leaks water. Of course that is the designed purpose as well. The “water shoe” works best on wet decks and the design functions to drain seawater out. Unfortunately if you don’t want wet feet, or wet socks, you better not step in a puddle or walk on wet grass. For this reason I may just have to leave them on the boat, as they are not made for daily “sneaker” wear?
Another critique for those looking at this shoe is that the initial comfort could be better. In fact, I’m not the only person to complain that this shoe quickly rubs one’s pinky toe raw, especially if you wear them barefoot all day. Plan on a couple blisters if you intend to break them in fast or toughen up the tops of your toes.
REVIEW
sandpaper inside October 4, 2013
No other shoe will give you instant blisters on your little toe like these shoes. They are designed to be worn without socks but you need to wear socks to stop the blisters. In other words they are a failure in what they were designed for, so unfortunate.
Posted By RichC on October 21, 2013
If you are looking forward to seeing the new Warner Bros. Entertainment Inc. space oriented movie Gravity, here’s an interesting real life International Space Station demonstration showing just how much (or little) effort it takes to move in zero gravity.
While thinking about it … check out the Gravity Trailer.
Posted By RichC on October 20, 2013
Last week Dave Ramsey attempted to simplify the Affordable Care Act on his financial advice radio program for his listeners. He asked listeners to take off the political blinders
– be they those of the supporters of Obamacare or those who want the law overturned.
In a “tough love” Dave Ramsey kind of way, he stripped the political ideology (as best he could) and tried to make sense of “the math.” The conclusion was that there is no way to “lower premiums by $2500” as President Obama promised in 2009 (or frankly saving those paying for insurance any money). Saving money on health insurance (without reduced care) is totally unrealistic considering the new law puts onerous demands on the kind of insurance required and because same health insurance and pricing is demanded of everyone … regardless of age, health condition or ability to pay. Does “the math” work???
| Dave Ramsey (mp3) The Affordable Care Act (Obamacare) — “Do the math” |
