“We make a living by what we get, but we make a life by what we give.”— Sir Winston Churchill Retirees and investors approaching retirement face a low-interest rate environment in which future price inflation is a virtual certainty. The financial industry has responded with a confusing array of products intended to supplement the traditional …
As governments across the globe have adopted looser monetary and fiscal policies, investors alarmed at the prospect of higher price inflation have been asking us whether it would be wise to turn to the reputed “safe haven” of Swiss franc denominated assets or by investing more heavily in gold. AIER contends that consumer price inflation …
Retirees are facing perhaps their greatest financial challenge at any time since the Great Depression. Life expectancies are increasing, Social Security income may be curtailed, and traditional pension plans are disappearing. Seniors can no longer rely on positive real returns from traditional cash equivalent assets such as certificates of deposit and Treasury bills. Meanwhile current …
June 30, 2012 – Retirement: The Income Conundrum Read More »
Last month we presented an account we manage, the Reserve Life Income fund (RLI 1) of our parent organization, the American Institute for Economic Research (AIER). We described our management of that fund to illustrate several useful techniques that all investors can employ when managing their own accounts. This month we will again examine AIER’s …
The dollar value of the euro has plummeted, as European leaders have once again failed to restore confidence. But soon the media and the markets will refocus on the dismal fiscal outlook in the U.S., where Congress and the administration face, yet again, the need to increase the debt limit. The stakes are higher this …
Beginning this month we will present hypothetical performance figures for our recommended portfolios on a “net-of-fee” basis. This change follows an internal review of our own procedures, which have always acknowledged that we published for two audiences, our readers and our advisory clients, who arguably are better served by results presented “gross of fees” and …
The Federal Reserve has doubled down and in so doing has forced investors to follow suit. To keep interest rates low, the central bank announced plans to buy as much as $85 billion of mortgage-backed securities per month through year-end and expressed willingness to keep rates low through mid-2015. This leaves savers with slim chances …
Sept. 2012 – Fed Saves Banks While Savers Suffer Read More »
As of this writing, Congress and the President were still wrangling over how to avoid the “fiscal cliff” that will bring dramatic tax increases and spending reductions if no action is taken. While we avoid conjecture when it comes to pending tax policy, we can offer guidance, including prudent measures investors can take now, regardless …
Discipline, once again, was the watchword during 2011. Throughout the year worrisome news emerged from all around the globe. Yet, by year end most investors who followed our recommendations would have seen little change in the value of their portfolios (see our AIS Model Portfolios table on page 2 for hypothetical returns). • I will …
AIER has developed a new and very useful index that measures price changes among goods and services that most of us purchase regularly. This greatly improves our ability to measure the cost of unanticipated price inflation and the impact it might have on investors’ household budgets. It is clear that the Consumer Price Index (CPI-U) …
Feb. 2012 – The EPI: A New Tool for Coping with Price Inflation Read More »
American Investment Services, Inc. (AIS) is an SEC Registered Investment Adviser* founded in 1978.
AIS is a wholly-owned subsidiary of:
*Registration with the U.S. Securities and Exchange Commission does not imply a certain level of skill or training.
The information provided does not constitute investment or tax advice and it should not be relied on as such. It does not take into account any investor’s particular investment objectives, strategies, tax status or investment horizon. You should consult your tax and financial advisor. It should not be considered a solicitation to buy or an offer to sell a security. All material has been obtained from sources believed to be reliable. There is no representation or warranty as to the accuracy of the information and AIS shall have no liability for decisions based on such information.
Any mention of commercial products or reference to commercial organizations is for information only; it does not imply recommendation or endorsement by AIS nor does it imply that the products mentioned are necessarily the best available for the purpose.