Each week in the Money Talk Podcast, Landaas & Company advisors offer insights for long-term investors by discussing the ever-changing circumstances of the financial markets. To test if you’re paying attention, try to provide the context for a sample of what advisors have talked about recently.
1.
Dave Sandstrom noted bright spots that could bode well for economic activity this summer, despite concerns about Russia’s invasion of Ukraine and decades-high inflation rates. Which of the following did Dave specifically mention as a possibly hopeful sign in the March 4 Money Talk Podcast?
(Choose one.)
- Market sell-offs tend not to occur at times of war.
- Consumers are in good positions to spend with full employment, high rates of saving and low debt service ratios.
- Years with midterm elections tend to have upswings in public-sector investments as elected state and local office holders try to keep their jobs.
- Spending on such items as construction and manufacturing goods are at or near all-time highs, unadjusted for inflation.
(See correct answer below.)
2.
Chris Evers distinguished between traders, preoccupied with short-term buying and selling, and investors, who focus on long-term results. In the March 11 Money Talk Podcast, what analogy did Chris use to suggest a prudent approach for investors?
(Choose one.)
- Consider an investment as if you’re buying it for your grandchild.
- Consider an investment you think your grandparents would have bought for you.
- Consider an investment as if it’s a business you’re buying that’s worth holding on to indefinitely.
- Consider an investment that will keep you awake at night because you’ll be so excited by its prospects.
(See correct answer below.)
3.
In the March 11 Money Talk Podcast, Kyle Tetting referred to the Greater Fool Theory. Which of the following best describes the concept?
(Choose one.)
- You can sell an overpriced asset as long as someone else is willing to buy it.
- Swindle me once, shame on you. Swindle me twice, shame on me.
- A fool and their money are soon parted.
- Those who manage their own investments have fools for advisors.
(See correct answer below.)
4.
With major stock indexes in correction territory and volatility riled by uncertainty from Ukraine, rising interest rates and high inflation, Paige Radke identified a potential upside for long-term investors. What hopeful note did she sound in the March 18 Money Talk Podcast?
(Choose one.)
- Weaker stock prices might persuade the Federal Reserve to raise rates less aggressively.
- Down days will scare off speculative investors who drive irrationality in the markets.
- Stock market dips can fuel automated trading, which tends to trigger quicker recoveries.
- As prices sink broadly, active managers have opportunities to seek out bargains to add to their portfolios.
(See correct answer below.)
Answers
1.
b. Consumers are in good positions to spend with full employment, high rates of saving and low debt service ratios.
Learn more
Pandemic lesson: Invest in resilience, by Kyle Tetting
Holiday shopping with inflation, by Joel Dresang
Focus on fundamentals to face volatility, a Money Talk Video with Steve Giles
2.
c. Consider an investment as if it’s a business you’re buying that’s worth holding on to indefinitely.
Learn more
Stocks: Long-term, consistent returns, a Money Talk Video with Dave Sandstrom
The ups and downs of volatility, a Money Talk Video with Steve Giles
Market Volatility: Check Your Emotions at the Door, from the Financial Industry Regulatory Authority
3.
a. You can sell an overpriced asset as long as someone else is willing to buy it.
Learn more
Balance beats timing (and uncertainty), by Kyle Tetting
Why investments outperform their investors, a Money Talk Video with Kyle Tetting
Mutual Fund 101, a Money Talk Video playlist
Talking Money: The importance of balance, a Money Talk Video
4.
d. As prices sink broadly, active managers have opportunities to seek out bargains to add to their portfolios.
Learn more
The case for active funds amid volatility, a Money Talk Video with Kyle Tetting When should I consider actively managed funds, by Mike Hoelzl
Volatility: Stock market vs. your portfolio, a Money Talk Video with Kyle Tetting
How automated trading riles stock volatility, a Money Talk Video with Paige Radke
PREVIOUS MONEY TALK QUIZZES
Money Talk Quiz, March 2022
Money Talk Quiz, February 2022
Money Talk Quiz, January 2022
Money Talk Quiz, November 2021
Money Talk Quiz, September 2021
Money Talk Quiz, August 2021
Money Talk Quiz, July 2021
Money Talk Quiz, June 2021
Money Talk Quiz, May 2021
Money Talk Quiz, April 2021
(initially posted March 31, 2022)
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