Tuesday, October 14, 2014

Broker's Corner 10.14.14

Home Ownership and Stock Market Volatility
Ray Shay
Broker/Owner
Shay Realtors
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If you have never heard of "VIX" it is an indicator of stock market volatility, (click here for explanation)When it exceeds twenty points, it means most people are running for cover and/or calling their financial advisor as their stock portfolio has likely dropped like a lead balloon. Many investors also look at the same information and see it as a great opportunity to buy stocks.  See yesterday's graph of the Vix from about ten am to four pm: 











What I find interesting is we have many clients who have invested in multiple residential properties that generate monthly income. Values of homes rise and fall, but the volatility is significantly less than the market, which makes many of our clients very happy.  

Think about diversification and possibly buying investment properties.  If you had done so last week, you would not be staring at your stock portfolio wondering where you went wrong. 

If you have any questions on VIX or other investment strategies feel free to email our trusted financial advisor Michael Jennings at michael22258@msn.com.

Ray Shay 858-449-4970

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