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By Michael E. Russell

Michael E. Russell

As I have mentioned in previous articles, crypto currencies are hard to understand.  I have tried to explain crypto exchanges to the readers while not fully grasping all of the nuances involved in their workings.

We had a financial meltdown in 2008 caused by the corporate giant Enron. We now have a much bigger fiasco caused by a 29-year-old named Sam Bankman Fried. This MENSA wannabe was able to do a Harry Houdini act by making 8 billion dollars in investor funds disappear overnight.

Here are a few of the victims: The Ontario Teachers Pension Plan lost 95 million dollars.  More than 100 affiliated companies are filing for bankruptcy. This financial genius has caused a situation so dire, FTX, Fried’s company stated that it doesn’t know where the assets went or who its top creditors are.

Have no worries folks because Congress is setting up committees to investigate what went wrong. Good news there. UGH! This in itself is a big problem. Apparently, Mr. Bankman Fried lobbied many elected officials in Washington hoping for loose oversight of crypto exchanges.

During the 2022 election cycle, Fried donated approximately 40 million dollars to Progressive Democratic candidates. Senator Kirsten Gillibrand of New York said she would donate the funds she received to various charities.  Nice!  How about having these funds returned to investors?

A question to be asked is why this financial collapse is being investigated after the mid-term elections? Just one more reason for term limits! Point of interest Senators Mitch McConnell and Chuck Schumer have been in office for more than 78 years combined. Come on already!They promise to fix problems that they are responsible for. TERM LIMITS, TERM LIMITS!!!  Wake up everybody.

Enough ranting, what’s next?  Where to invest? As I grow older, Healthcare stocks seem to be a a great area to put money.  Why?  Well, let me explain. This morning I had my 12th doctor visit this month and another one tomorrow to close out November.  During the 1970s Healthcare was 8% of U.S. GDP [Gross Domestic Product]. Today it is more than 20%.

As citizens get better health care and live longer, they also in most cases accumulate more wealth.  Due to more disposable income the Financial services sector is also a place to potentially invest. Within this sector there are areas that should do well over the next five years including Artificial Intelligence, Quantum Computing, Computational biology and CRISPR-related investments. CRISPR gives us exposure to companies specializing in DNA modification systems and technologies.  

What should we be doing in December?  Consider making tax-loss trades to book 2022 losses so that you can offset future gains. The S & P 500 lost a quarter of its value at the indexes low this year. Since October it has regained some territory making it down a mere 15%!  Taking some money off the table and putting it into one and two-year treasuries, yielding 4.5% is not a bad idea. With North Korea, China and Russia rattling their sabers, some safer investments should be considered.  

Here is some advice for pre-retirees. Next year, you will be able to contribute up to $22,500 to your 401K or 403b and other retirement plans — an increase of $2,000.  Americans can also contribute an additional $6500 if you are over the age of 50.  In addition, IRA maximum contributions are now $6500.  

For those of us older folks, bond yields north of 4.5% make a portfolio of 60% stock, 40% fixed income attractive. A final thought, with the S & P down roughly 16%, here are some stocks to ponder. Are they an opportunity? Perhaps. Apple down 16% year to date.  Microsoft down 27%. Alphabet down 34%. Tesla down 45%.  Netflix down 52%. Amazon down 39%. I am not necessarily recommending them, but give them some thought.

I would love to hear from some of you that read my monthly article. I can be reached at [email protected]. From my family to yours, I wish you a happy and healthy holiday season and a prosperous 2023.

Michael E. Russell retired after 40 years working for various Wall Street firms. All recommendations being made here are not guaranteed and may incur a loss of principal. The opinions and investment recommendations expressed in the column are the author’s own. TBR News Media does not endorse any specific investment advice and urges investors to consult with their financial advisor. 

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By Michael Christodoulou

You can find many ways to support charitable organizations. One method that’s gained popularity over the past few years is called a donor-advised fund. Should you consider it?

The answer depends on your individual situation, because donor-advised funds are not appropriate for everyone. However, if you’re in a position to make larger charitable gifts, you might at least want to see what this strategy has to offer.

Here’s how it works:

Contribute to the fund. You can contribute to your donor-advised fund with cash or marketable securities, which are assets that can be converted to cash quickly. If your contribution is tax deductible, you’ll get the deduction in the year you make the contribution to the fund. Of course, these contributions are still subject to IRS limits on charitable tax deductions and whether you itemize your deductions. 

If you typically don’t give enough each year to itemize and plan on making consistent charitable contributions, you could consider combining multiple years’ worth of planned giving into a single donor-advised fund contribution, and claim a larger deduction in that year. This move may be especially impactful if you have years with a higher amount of income, with an accompanying higher tax rate. If you contribute marketable securities, like stocks and bonds, into the fund, a subsequent sale of the securities avoids capital gains taxes, maximizing the impact of your contribution.

Choose an investment. Typically, donor-advised funds offer several professionally managed diversified portfolios where you can place your contributions. You’ll want to consider the level of investment risk to which your fund may be exposed. And assuming all requirements are met, any investment growth is not taxable to you, the donor-advised fund or the charity that ultimately receives the grant, making your charitable gift go even further.

Choose the charities. You can choose grants for the IRS-approved charities that you want to support. You decide when you want the money donated and how it should be granted. You’re generally free to choose as many IRS-approved charitable organizations as you like. And the tax reporting is relatively easy — you don’t have to keep track of receipts from every charity you support. Instead, you can just keep the receipts from your contributions to the fund.

Although donor-advised funds clearly offer some benefits, there are important trade-offs to consider. For one thing, your contributions are irrevocable, which means once you put the money in the fund, you cannot access it for any reason other than charitable giving. And the investments you choose within your fund will carry some risk, as is true of all investments. Also, donor-advised funds do have investment management fees and other costs. So, consider the impacts of these fees when deciding how you want to give.

In any case, you should consult with your tax and financial professionals before opening a donor-advised fund. And if the fund becomes part of your estate plans, you’ll also want to work with your legal advisor. But give this philanthropic tool some thought — it can help you do some good while also potentially benefiting your own long-term financial strategy.

Michael Christodoulou, ChFC®, AAMS®, CRPC®, CRPS® is a Financial Advisor for Edward Jones in Stony Brook. Member SIPC.

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By Michael E. Russell

Michael E. Russell

When we were kids, Walt Disney gave us the Mouseketeers.  Today Elon Musk has given us the The new Musketeers. Elon Musk has millions of followers, especially Cryptocurrency fans. There is great enthusiasm among many that envision a new Twitter which will no longer utilize selective censorship.

Some of the MAGA folks are hoping that (former U.S. President) Donald Trump will have his account reinstated. Many analysts believe that Elon overpaid for his purchase of Twitter. 44 billion dollars is surely a boatload of money. How do you bet against the wealthiest person on the planet? As a hobby, he sends a rocket into space every other week. Amazing.

Jamie Dimon, Chief executive of JP Morgan Chase is clearly in the corner of all those who believe Twitter had censored too many people. Musk made a clear statement when he walked into Twitter headquarters carrying a sink and proclaimed, “let this sink in” and promptly proceeded to fire all the executives and terminate the Board of Directors. To be continued…

If anyone cares, the stock market had an amazing month. From a low of 28,600 in early October to a close of 32,861, that is not too shabby. A gain of 4,261 points or 15%. If this continues, I will be back to even in seven months!

What does the market expect following these pivotal midterm elections?

According to historical data, stocks usually perform strongly following the midterms. Since 1962 the Standard and Poors (S & P)500 index has underperformed in the 12 months leading up to the midterms and outperformed in the 12 months following them. The S & P averaged a 16% return in the following year, more than twice the average 8% return in all the 12-month periods ending on October 31st since 1961. The strongest parallel occurred after the 1994 midterms. President Bill Clinton had to wrestle with an overwhelming Republican wave that took control of both the House and Senate.

Does this sound familiar? The Federal Reserve was engaged in a very aggressive tightening phase, roughly doubling the fed-funds rate to 6% from 3%.  he similarities are striking. Democrats currently control the Executive Branch and both houses of Congress. These are not my numbers, but the political pundits see a 69% probability that they lose both the Senate and the House.

I am not writing to make a political statement, only to speak as to the potential stock market response.

Today’s world is vastly different from 1994. Back then Alan Greenspan was Chair of the Federal Reserve. He preemptively increased rates which kept the inflation rate in check.  Jerome Powell may be a nice person, but he is no Alan Greenspan! Oops, sorry Dan Quayle. The market surprised everyone in October, even CNBC’s Jim Cramer.

There are many potential roadblocks ahead for the market. Putin in Russia, Xi in China and Kim Jong-un in North Korea. No nice guys in this group. For those of us senior citizens, remember U.S. Treasuries, 1-2-5 and 10 years yielding over 4.2% New York State tax free. Municipal Bonds yielding close to 5%. Please remind our local bankers that 0% interest on checking and savings accounts is not very neighborly.

Whatever the results of the midterm elections, I pray that things get better for all of us.

Michael E. Russell retired after 40 years working for various Wall Street firms. All recommendations being made here are not guaranteed and may incur a loss of principal. The opinions and investment recommendations expressed in the column are the author’s own. TBR News Media does not endorse any specific investment advice and urges investors to consult with their financial advisor. 

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By Michael Christodoulou

It’s unfortunate, but recessions are a fairly normal part of the economic landscape. When a recession occurs, how might you be affected? The answer depends on your individual situation, but regardless of your circumstances, you might want to consider the items in this recession survival checklist: 

Assess your income stability. If your employment remains steady, you may not have to do anything different during a recession. But if you think your income could be threatened or disrupted, you might want to consider joining the “gig economy” or looking for freelance or consulting opportunities. 

Review your spending. Look for ways to trim your spending, such as canceling subscription services you don’t use, eating out less often, and so on. 

Pay down your debts. Try to reduce your debts, especially those with high interest rates. 

Plan your emergency fund. If you haven’t already built one, try to create an emergency fund containing three to six months’ worth of living expenses, with the money kept in a liquid account. 

Review your protection plan. If your health or life insurance is tied to your work, a change in your employment status could jeopardize this coverage. Review all your options for replacing these types of protection. Also, look for ways to lower premiums on home or auto insurance, without significantly sacrificing coverage, to free up money that could be used for health/ life insurance. 

Keep your long-term goals in mind. Even if you adjust your portfolio during times of volatility, don’t lose sight of your long-term goals. Trying to “outsmart” the market with short-term strategies can often lead to missteps and missed opportunities.

Don’t stop investing. If you can afford it, try to continue investing. Coming out of a recession, stock prices tend to bottom out and then rebound, so if you had headed to the investment “sidelines,” you would have missed the opportunity to benefit from a market rally. 

Revisit your performance expectations. During a bear market, you will constantly be reminded of the decline of a particular market index, such as the S&P 500 or the Dow Jones Industrial Average. But instead of focusing on these short-term numbers, look instead at the long-term performance of your portfolio to determine if you’re still on track toward meeting your goals. 

Assess your risk tolerance. If you find yourself worrying excessively about declines in your investment statements, you may want to reevaluate your tolerance for risk. One’s risk tolerance can change over time — and it’s important you feel comfortable with the amount of risk you take when investing.

Keep diversifying. Diversification is always important for investors — by having a mix of stocks, mutual funds and bonds, you can reduce the impact of market volatility on your portfolio. To cite one example: Higher-quality bonds, such as Treasuries, often move in the opposite direction of stocks, so the presence of these bonds in your portfolio, if appropriate for your goals, can be valuable when market conditions are worsening. (Keep in mind, though, that diversification cannot guarantee profits or protect against all losses in a declining market.) 

A recession accompanied by a bear market is not pleasant. But by taking the appropriate steps, you can boost your chances of getting through a difficult period and staying on track toward your important financial goals.

Michael Christodoulou, ChFC®, AAMS®, CRPC®, CRPS® is a Financial Advisor for Edward Jones in Stony Brook. Member SIPC.

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By Michael Christodoulou

Michael Christodoulou
Michael Christodoulou

There are no shortcuts to investment success  — you need to establish a long-term strategy and stick with it. This means that you’ll want to create an investment mix based on your goals, risk tolerance and time horizon — and then regularly review this mix to ensure it’s still meeting your needs.

In fact, investing for the long term doesn’t necessarily mean you should lock your investments in  forever. Throughout your life, you’ll likely need to make some changes.

Of course, everyone’s situation is different and there’s no prescribed formula of when and how you should adjust your investments. But some possibilities may be worth considering.

For example, a few years before you retire, you may want to re-evaluate your risk exposure and consider moving part of your portfolio into a more risk-averse position. When you were decades away from retiring, you may have felt more comfortable with a more aggressive positioning because you had time to “bounce back” from any market downturns. But as you near retirement, it may make sense to lower your risk level. 

And as part of a move toward a reduced-risk approach, you also may want to evaluate the “cash” positions in your portfolio. When the market has gone through a decline, as has been the case in 2022, you may not want to tap into your portfolio to meet short-term and emergency needs, so having sufficient cash on hand is important. Keep in mind, though, that having too much cash on the “sidelines” may affect your ability to reach your long-term goals.  

Even if you decide to adopt a more risk-averse investment position before you retire, though, you may still benefit from some growth-oriented investments in your portfolio to help you keep ahead of — or at least keep pace with — inflation. As you know, inflation has surged in 2022, but even when it’s been relatively mild, it can still erode your purchasing power significantly over time.

Changes in your own goals or circumstances may also lead you to modify your investment mix. You might decide to retire earlier or later than you originally planned. You might even change your plans for the type of retirement you want, choosing to work part-time for a few years. Your family situation may change — perhaps you have another child for whom you’d like to save and invest for college. Any of these events could lead you to review your portfolio to find new opportunities or to adjust your risk level — or both.

You might wonder if you should also consider changing your investment mix in response to external forces, such as higher interest rates or the rise in inflation this year. It’s certainly true that these types of events can affect parts of your portfolio, but it may not be advisable to react by shuffling your investment mix. 

In the first place, nobody can really predict how long these forces will keep their momentum — it’s quite possible, for instance, that inflation will have subsided noticeably within a year. But more importantly, you should make investment moves based on the factors we’ve already discussed: your goals, risk tolerance, time horizon and individual circumstances.

By reviewing your portfolio regularly, possibly with the assistance of a financial professional, you can help ensure that your investment mix will always be appropriate for your needs and goals.

Michael Christodoulou, ChFC®, AAMS®, CRPC®, CRPS® is a Financial Advisor for Edward Jones in Stony Brook. Member SIPC.

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By Michael E. Russell

Michael E. Russell

What we do know is that often, history repeats itself. We tell our children that they need to learn from their mistakes.  However, we never seem to follow our own advice. So where are we?

Trying to get a handle on how to manage our investments is proving to be difficult at best. The stock market is following every comment by Federal Reserve Chairman Jerome Powell, hoping for a guiding light. 

This past Friday, stocks dropped after a strong opening despite a solid August payroll report. The report showed solid job growth, increasing labor force participation and slowing hourly wage increases. Perhaps this shows that inflation may have peaked. The report was positive enough to unlikely change monetary policy. In spite of this the S & P 500 Index still fell 1.1% with the Nasdaq Composite down 1.3%. This capped an awful August in which the S&P 500 fell more than 4%. That followed July’s 9% gain, the market’s most solid month in more than two years.

Okay folks, the lesson for today is which month to believe. Is this the start of a new bull market or is it a bear market rally?

Let’s talk about a sector of the market that is extremely perplexing. Social media is probably the most influential innovation of the 21st century. Think about this. In 2022, if an event does not appear on a social feed, it never really happened! Most of Wall Street has been blind-sided by social media’s troubles. With every passing year, digital advertising is near a point where the market is saturated.

Case in point: Facebook. This stock, under its new name Meta, traded at $175 during 2017. This past Friday, it closed at $160. Over the past five years it traded as high as $380. As we have learned this past year, market realities eventually trump technology.  (Note:  trump with a small ‘t’).

I have not spoken about Crypto in a few weeks, so here are some thoughts. If Bitcoin is crypto’s answer to gold, Ethereum is the closest thing it has to its own internet.  For example, any person who wants to mint a new token or spend $150,000 on a Bored Ape non-fungible token, or NFT, probably uses the Ethereum network.

As of today, more than $3 billion in transaction volume flows through Ethereum daily. About $60 billion in crypto assets sit on its blockchain through third-party apps.  Other than Bitcoin, there is no network that is more critical to crypto’s infrastructure going forward.

A stock I have owned, Nvidia, has been a casualty of a slowdown in hardware purchases. Recently, on the company’s last earnings call, it was stated that the stock has suffered from a slowdown in gaming and other core areas. It was also stated it could not predict how reduced crypto mining might hit demand for its products. 

All of this new technology is growing way too fast for me. I am still having trouble learning all of the features on my iPhone. 

With school classes resuming and the holidays fast approaching, here are thoughts on some retailing stocks. Target (tgt) looks to be a cheaper stock based on its P/E ratio than Walmart (wmt). There is a potential for 20% upside from its Friday close of $164.  It trades at less than 16X earnings, while Walmart trades at 22X earnings — a 33% discount. 

On the interest rate front, it looks like Chairman Powell will be calling for two more rate increases of 50 to 75 basis points each. Banks will be charging more for car, personal, business and mortgage loans, while paying little if any interest on your savings accounts. Hmm, not fair!!

Just a thought …With the President’s new plan on school loan forgiveness, would it not be a good idea to convert your 30-year mortgage to a school loan? Probably not legal, also just kidding! On a closing note, I just cannot wait for the IRS to put the 87,000 new inspectors to work. Have a great September.

Michael E. Russell retired after 40 years working for various Wall Street firms. All recommendations being made here are not guaranteed and may incur a loss of principal. The opinions and investment recommendations expressed in the column are the author’s own. TBR News Media does not endorse any specific investment advice and urges investors to consult with their financial advisor. 

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By Michael Christodoulou

Michael Christodoulou
Michael Christodoulou

You may have heard that you can simplify your investment strategy just by owning index-based or passive investments. But is this a good idea? 

You’ll want to consider the different aspects of this type of investment style. To begin with, an index-based investment is a vehicle such as a mutual fund or an exchange-traded fund (ETF) that mimics the performance of a market benchmark, or index — the Dow Jones Industrial Average, the S&P 500, and so on. (An ETF is similar to a mutual fund in that it holds a variety of investments but differs in that it is traded like a common stock.) You can also invest in index funds that track the bond market.

Index investing does offer some benefits. Most notably, it’s a buy-and-hold strategy, which is typically more effective than a market-timing approach, in which individuals try to buy investments when their prices are down and sell them when the prices rise. Attempts to time the market this way are usually futile because nobody can really predict when high and low points will be reached. 

Plus, the very act of constantly buying and selling investments can generate commissions and fees, which can lower your overall rate of return. Thus, index investing generally involves lower fees and is considered more tax efficient than a more active investing style. Also, when the financial markets are soaring, which happened for several years until this year’s downturn, index-based investments can certainly look pretty good — after all, when the major indexes go up, index funds will do the same.

Conversely, during a correction, when the market drops at least 10% from recent highs, or during a bear market, when prices fall 20% or more, index-based investments will likely follow the same downward path.

And there are also other issues to consider with index-based investments. For one thing, if you’re investing with the objective of matching an index, you may be overlooking the key factors that should be driving your investment decisions — your goals and your risk tolerance. An index is a completely impersonal benchmark measuring the performance of a specific set of investments — but it can’t be a measuring stick of your own progress.

Furthermore, a single index, by definition, can’t be as diversified as the type of portfolio you might need to achieve your objectives. For example, the S&P 500 may track a lot of companies, but they’re predominantly large ones. And to achieve your objectives, you may need a portfolio consisting of large- and small-company stocks, bonds, government securities and other investments. (Keep in mind, though, that while diversification can give you more opportunities for success and can reduce the effects of volatility on your portfolio, it can’t guarantee profits or prevent all losses.)

Ultimately, diversifying across different types of investments that align with your risk tolerance and goals — regardless of whether they track an index — is the most important consideration for your investment portfolio. Use this idea as your guiding principle as you journey through the investment world.

Michael Christodoulou, ChFC®, AAMS®, CRPC®, CRPS® is a Financial Advisor for Edward Jones in Stony Brook. Member SIPC.

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By Michael Christodoulou

Michael Christodoulou
Michael Christodoulou

As you know, the stock market has attracted a lot of attention — and for good reason, as we’ve seen considerable volatility almost from the beginning of the year. But if you own bonds, or bond-based mutual funds, you might also have some concerns. However, it’s important to understand why bonds should continue to be an important part of your portfolio.

To begin with, let’s look at what’s happened with bond prices recently. Inflation has heated up, leading the Federal Reserve to raise interest rates to help “cool off” the economy. And rising interest rates typically raise bond yields — the total annual income that investors get from their “coupon” (interest) payments. Rising yields can cause a drop in the value of your existing bonds, because investors will want to buy the newly issued bonds that offer higher yields than yours.

And yet, despite this possible drop in their value, the bonds you own can still help you make progress toward your financial goals. Consider these benefits of bond ownership:

Income — No matter what happens to the value of your bonds, they will continue to provide you with income, in the form of interest payments, until they mature, provided the issuer doesn’t default — and defaults are generally unlikely with investment-grade bonds (those rated BBB or higher). Your interest payments will remain the same throughout the life of your bond, which can help you plan for your cash flow and spending.

Diversification — As you’ve probably heard, diversification is a key to successful investing. If you only owned one type of asset, such as growth stocks, and the stock market went into a decline, as has happened this year, your portfolio likely would have taken a big hit — even bigger than the one you may have experienced. But bond prices don’t always move in the same direction as stocks, so the presence of bonds in your portfolio — along with other investments, such as government securities and certificates of deposit — can help reduce the impact of volatility on your holdings. (Keep in mind, though, that by itself, diversification can’t guarantee profits or protect against all losses in a declining market.)

Reinvestment opportunities — As mentioned above, rising interest rates and higher yields may reduce the value of your current bonds, but this same development may also offer you some favorable reinvestment opportunities. If you own bonds of varying durations — short-, intermediate- and long-term — you should regularly have some bonds maturing. And in an environment such as the current one, you can reinvest the proceeds of your expiring short-term bonds into new ones issued at potentially higher interest rates. By doing so, you can potentially provide yourself with more income. Also, by owning a mix of bonds, you’ll still have the longer-term ones working for you, and these bonds typically (but not always) pay a higher interest rate than the shorter-term ones.

It might not feel pleasant to see the current value of your bonds drop. But if you’re not selling them before they mature, and you take advantage of the opportunities afforded by higher yields, you’ll find that owning bonds can still be a valuable part of your investment strategy.

Michael Christodoulou, ChFC®, AAMS®, CRPC®, CRPS® is a Financial Advisor for Edward Jones in Stony Brook. Member SIPC

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For many in the area, Wednesday from 1 to 3 p.m. is a time they put aside to talk about stocks and investing.

Through the pandemic, Steven Kelman, of Port Jefferson Station, and Bill Greenbaum, of Fort Salonga, have been offering the Bates House Investment Group through Zoom. The workshop provides those interested in learning about investing with a weekly discussion and learning experience. Members discuss different investments such as stocks, bonds and more. They also talk about how current events affect portfolios, and the workshop leaders share insights into investing, investment resources and analyzing the stock market.

“We had some people that started with absolutely no knowledge at all, and they’re presenting reports like they’ve been doing it for 20 years now,” Kelman said.

The workshops initially were offered through Osher Lifelong Learning Institute at Stony Brook University, better known as OLLI. Before the pandemic, the class was moved from SBU to the Bates House in Setauket. When COVID-19 hit, and the pandemic lockdowns began, Zoom enabled Kelman and Greenbaum to reach more people, even those who don’t live in the Three Village area or on Long Island. Kelman said with non-OLLI members interested in participating, the workshop leaders decided to make it available to anyone interested and no longer offered the class through OLLI.

Greenbaum said Zoom has worked out well for them.

“During the pandemic, it’s really been wonderful that it was a connection point for everyone,” he said.

Greenbaum, who was a global controller in the finance department of Disney before he retired, said when he was younger, he would look over his grandfather’s shoulder when he read stock reports. Kelman, who for 42 years worked for the Federal Aviation Administration after serving in the U.S. Air Force, said he’s been interested in investing on and off for 30 years.

The approximately two dozen workshop members are nonprofessionals, Kelman said, and they range in experience from advanced to beginners. He added that a few have lost a spouse and weren’t sure what to do regarding investments, and the workshop has provided a good starting point.

Greenbaum said it’s impressive to see newcomers who sometimes might sit back at first, but as they begin to learn become more experienced. The two have also learned from the members, Kelman said.

“The diversity of the group is quite amazing, people from all walks of life,” Greenbaum said.

Members attend for free, and no money is actually invested in the market. Each individual picks a stock and researches it. They each then present their choice to the class and the group will discuss and then virtually buy it if they all agree on it. The members keep track of how the stock does and have a mock portfolio. After investing in a particular stock, they will also discuss if they made the right decision.

Kelman said they track about 35 to 40 stocks. He said it constantly changes as they set up a fictitious figure of $250,000. Once they get to that amount, they have to sell something to buy additional stocks, which also teaches when to sell.

Even though the group doesn’t actually invest, many take what they learn and invest on their own.

Greenbaum added that with the market going down recently, the group also provides a form of moral support.

“It’s nice to have a group of people that you could share that with,” he said. “Normally you can’t. This topic is not for everybody.”

For more information, contact Steven Kelman at 631-473-0012.

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