Momentum

  • What is Performance Based Investing?

    | November 6, 2017
    Sailing during the evening

    You shouldn’t invest in stocks simply because you’re young. Nor bonds just because you’re old. Your decision to be invested in either stocks or bonds should be entirely based on how those asset classes are likely to perform in the months and years ahead. And as conditions change, you need to remain nimble, ready to adjust your portfolio to accommodate new developments.

  • What is Momentum and Why Does it Work?

    | December 15, 2016
    Green ball rollup uphill

    The concept of momentum originated with regard to classical mechanics, in which it refers to the tendency of a moving object to keep moving along its direction of travel. In finance, and especially with regard to investing, we talk in terms of price momentum. As you can infer, this is the tendency for asset prices to continue moving in the same direction they are currently heading.