Finlume
Smarter decisions about money — practical, evidence-based finance guides.
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Calendar or Drift? How to Optimize Your Rebalancing Schedule
Should you rebalance monthly or once a year? Vanguard's 88-year simulation shows frequency barely matters — your band rule (absolute vs. relative) does.
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Lean, Fat, or Barista: Which FIRE Strategy Fits Your Goals?
Lean and Fat FIRE share the exact same 25x multiplier — only your spending base differs. Barista FIRE changes the formula entirely. Here's how to choose.
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Stop Draining Your Emergency Fund for Planned Expenses
If your emergency fund keeps shrinking, it's rarely about saving too little — it's mixing planned expenses with true emergencies. Sinking funds fix that.
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Real vs. Nominal Returns: Calculating Your True Growth
Your statement says 8% — but inflation ate part of it. Learn the quick approximation vs. exact Fisher equation, with an error table by inflation level.
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How Much of Your Portfolio Should Be in a Single Stock?
How much of your portfolio should sit in one stock? Industry thresholds, the disposition effect, and Bessembinder's data on how rarely single winners pay off.
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Cash vs. Margin Brokerage Accounts: Which Should You Open?
Cash and margin accounts aren't a checkbox — they're a risk contract. Here's the structural difference in settlement, buying power, and forced liquidation.
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Finding the Break-Even Point on Your Insurance Deductible
A higher deductible lowers your premium, but it only pays off after enough claim-free years. Here's the break-even formula, with two worked examples.
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Personal Loan vs. Credit Card: Financing Large Purchases
Personal loan or credit card for a big purchase? Which is cheaper depends on your payoff timeline — see the real cost comparison and crossover point.
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Why Copying a Billionaire's Stock Picks Doesn't Work
A famous investor bought a stock, so you bought it too. Here's why the filing is weeks old, the context is missing, and your position size never matches theirs.
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How Accurate Are Analyst Price Targets? The Answer Depends on the Definition
Analyst price targets look precise, but 'accurate' varies by definition. Here's what hit-rate research actually shows — and how to read it.
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3% vs 4% vs 5%: How Long Will Your Retirement Portfolio Actually Last?
Does 3%, 4%, or 5% actually last 30 years? A data-driven comparison across retirement horizons and countries, plus what a 1-point difference costs you in years.
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The True Cost of Pausing Your Retirement Contributions for 2 Years
A 2-year savings pause early on costs about 7x more than the same pause right before retirement. Here's the math, and the catch-up cost.
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Why Getting the Trend Right Still Doesn't Make You Money
Correctly predicting the next big industry doesn't guarantee a profit. Here's why thematic investing can fail even when the forecast is right.
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US-Only vs Global Portfolios: Does International Diversification Pay?
Is the S&P 500 alone enough? Home-bias data, the 2000s lost decade, and the 2025 reversal — what the numbers say about diversifying globally.
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Why You Can't Outrun High-Frequency Trading Algorithms
A handful of firms trade in microseconds — no retail trader can out-speed that. Why it's not about skill, and how a longer time horizon flips the game.
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The Fastest Way to Clear Credit Card Debt: 3 Strategies Compared
A card-by-card simulation of the snowball, avalanche, and consolidation methods — with the exact months and interest each strategy actually costs.
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Why Margin Investing Can Cost You More Than Your Entire Stake
Borrowing to invest amplifies gains and losses equally. The loss table by leverage, how margin calls get enforced, and the interest hurdle explained.
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The Hidden Concentration Risk in Market-Cap Weighted Index Funds
Your index fund holds hundreds of companies — but how much rides on just the top 10? Here's how to measure real concentration risk in your own fund.
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Why Beating Earnings Doesn't Always Lift the Stock
Why stocks can fall on record earnings: surprise vs. expectations, guidance, mean reversion, and how entry valuation shapes long-run returns.
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Bond Fund vs Individual Bonds: Which Belongs in Your Portfolio?
Individual bonds return face value at maturity; bond funds fluctuate daily. A decision framework covering duration, credit risk, and cost.