I like graphs because they provide an image of numerical values and for me help to make things more clear. However in finance, graphs are tell what has ALREADY occurred and not anything about the future.

Let's talk about the graph that we have for the screen. It is the S & P average annual 10-year performance. Viewed in this way we can see how the economy and businesses were doing since 1936 to the end of February 2011. We can see the times when things were rocky and the times of prosperity but we can't tell the future. We might hazard a GUESS about the future, and isn't that what we do every day when we enter into a contract, change jobs, marry someone and invest?

The very far right of the graph shows the lowest point in 2007 and the improvements since. This information is like looking in the rear-view mirror of your car. It shows the past.

But this kind of info, along with other information, helps me as an advisor, help clients. And I thought it would be helpful for our viewers, too.

So, graphs, pie-charts and other information like this provides a way to see figures as they relate to a set value, in this case 0% growth. It helps me and may be a good way for you to evaluate your investments.

Marion R. Syversen, MBA - President
NorumbegaFinancial
207.862.2952
Marion@NorumbegaFinancial.com
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Disclosure:
Only securities and advisory services offered through Wall Street Financial Group, Inc. Registered Investment Advisor. Member FINRA/SIPC. We believe the sources of this information to be reliable, however, the accuracy and the completeness of the information is not guaranteed. Past performance is not indicative of future results.

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