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Media Hype

Media Hype. Media Hype Rule 1: Don’t fall in love with one stock. “Expert” Picks. These are the best stock picks?? ERICSSON $26 $12 FAMILY GOLF CENTERS $23 ZERO GENERAL MOTORS $73 BANKRUPT (2009) HOMEBASE $73 BANKRUPT (2001) KNIGHTSBRIDGE TANKERS $22 $9

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Media Hype

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  1. Media Hype

  2. Media HypeRule 1: Don’t fall in love with one stock.

  3. “Expert” Picks • These are the best stock picks?? • ERICSSON $26 $12 • FAMILY GOLF CENTERS $23 ZERO • GENERAL MOTORS $73 BANKRUPT (2009) • HOMEBASE $73 BANKRUPT (2001) • KNIGHTSBRIDGE TANKERS $22 $9 • MCI WORLDCOM $59 GONE (since 2002) • CHARLES SCHWAB $58 $26 1998 12-31-13 STOCKshare price share price Source: Article “Expert” Picks by Vestory, Mar 30, 2012 http://www.vestory.com/2012/03/30/expert-picks/The stock price from this original article was updated as of 12-31-13 using Morningstar.

  4. Investment Media Hype • Cramer Can’t Beat the index I’d be mad about my money! Source: Jim Cramer’s Mad Money Stock Picks for Thursday, January 6, 2011. The S&P data are powered by Standard & Poor’s Index Services Group. Information from sources deemed reliable, but its accuracy cannot be guaranteed. Performance is historical and does not guarantee future results.

  5. Media HypeRule 2: Understand that they sell fear.

  6. We Believe in Markets – Not Managers What Would Have Been Your Investment Choice in 1980? Cell Phones? SPAM? Motorola Hormel Foods OR US Large Growth US Small Cap 1,126% (33 Year Return) 19,621% (33 Year Return) % Total Return sourced from Morningstar: January 1, 1981 to December 31, 2013

  7. The Guide to Wealth What Not To Do (What People Do) What To Do (What Our Clients Do) Sell High + Buy Low = Rebalancing Source: behaviorgap.com

  8. Emotional Investing can take you off course

  9. Keep the big picture in mind…. 1926–2013 Positive Years: 66 (75%) Negative Years: 22 (25%) CRSP data provided by the Center for Research in Security Prices, University of Chicago. The CRSP 1-10 Index measures the performance of the total US stock market, which it defines as the aggregate capitalization of all securities listed on the NYSE, AMEX, and NASDAQ exchanges. Indices are not available for direct investment; therefore, their performance does not reflect the expenses associated with the management of an actual portfolio. Past performance is not a guarantee of future results.

  10. Keep the big picture in mind…. To put in real terms: it is comparable to winning 10 football games out of a 14 game season Go Huskers!!

  11. Media HypeRule 3: Ignore them and keep your emotions in check….

  12. After hearing the “experts” . . .

  13. Thanks for listening! Any questions…..

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