HCRWealthAdvisors

Currently, we are not hiring for marketing or IT but we are expanding our advisory team. If you or anyone you know has experience as a Senior Financial Advisor and would like to inquire, please email your resume to [[email protected]](mailto:[email protected]).

Our clients are typically high net worth families and individuals who have need of our array of services. We use our financial management framework The Clarity Formula to guide our clients to financial freedom.

Right now, Bitcoin, at best, is a speculative investment. It’s hard to buy, and really hard to value. As such, it should not be viewed as a core investment, in the classic sense. But for a speculative venture, it could be interesting. We follow a fund (GBTC) that trades on the stock market and is a good proxy for Bitcoin.  For any of our clients interested in Bitcoin, we would recommend exposure of no more than 1%-2% of  net worth. The technology behind Bitcoin, the Blockchain, is more appealing. It is already being adopted in many sectors and industries and we believe this will continue.

There are many books and resources out there.  It can overwhelming and hard to tell what is good or not.  One that I can suggest is A Random Walk Down Wall Street: The Time-Tested Strategy for Successful Investing by Burton G. Malkiel.  I would also suggest just simply taking a look at any titles that look interesting to you.  The most important thing is to have a plan that helps you reach your goals and keeps you comfortable.

While I do not have personal experience with Robinhood, those types of investment platforms represent an effort to make the financial markets accessible to more people.  I would be very careful about these types of trading apps. Investing should be done with a purpose and a goal in mind for the money being invested. Apps like Robinhood can take away from that style of investing and turn the focus more toward short term profits. This can lead to a multitude of unfavorable outcomes.  One of the things to be mindful of when utilizing them is the difference between investing and speculating.  These apps can also be dangerous if a person does not know how to use them or the information they report is inaccurate or misleading.

The market is still bullish now even when the economic situation looks so bleak because there was a lot of Fed and Treasury stimulus, people are enthusiastic about reopening, and the market is generally looking forward. I wouldn’t be surprised if there was another drop in the future, but that will depend on a number of factors so it is difficult to forecast now. There's also been a lot of speculation recently, among people who don't know what they're doing.

The short answer is that you have missed the first recovery, but there will surely be follow-on buying opportunities. If you have cash available that you would like to invest, a solid strategy to consider is to divide it up into 3 or 4 tranches. Maybe you put the first tranche to work on an upcoming down day (or days) in the stock market. Then take a step back and wait. If there is a bigger pullback, look to put another tranche of your cash reserves to work in the market. Patient investors know that there are always pullbacks and corrections in the market to take advantage of. Investors don’t need to chase stocks higher just for fear of missing out. So be patient, and take advantage of weakness when it surfaces – as it always does.

There are many books and resources out there.  It can overwhelming and hard to tell what is good or not.  One that I can suggest is A Random Walk Down Wall Street: The Time-Tested Strategy for Successful Investing by Burton G. Malkiel.  I would also suggest just simply taking a look at any titles that look interesting to you.