FMD Capital Management

Wealth Management

Four Years Ago…

Written by David Fabian, March 15th, 2017

Four years ago, we set out to build something special.  The founding of FMD Capital Management became not only a professional achievement, but also the start of a journey to find a better way to manage money.

This week marks the fourth anniversary of our firm’s origin.  We started this company with the commitment to work harder than other investment advisors.  To be advocates for our client’s best interests and to share our knowledge in real-time.  It’s with great pride that we continue that same bedrock promise to this day. Read more

Trading Commissions Only Tell Half Of The Transaction Cost Story

Written by David Fabian, March 01st, 2017

The recent announcement by Fidelity Investments and Charles Schwab that they are lowering trading fees to $4.95 per transaction is a tremendous benefit to investors.  The moves by both firms signal a continuation of the fee wars to lure additional assets on both the retail and institutional platforms.  In many ways, this is an extension of the ongoing battle for lowest ETF expense ratio that has been raging for years now as well, with each firm trying to undercut the other. Read more

Knowing When To Do Nothing

Written by David Fabian, February 27th, 2017

There is a misplaced psychology among active investors and many advisors that they must always be doing something with their portfolio.  It’s the notion that activity leads to profitability or that instant gratification is a requirement of sticking with any process for more than a few months.

This emotional response is compounded when you are paying someone to look after your account with very little physical action – i.e trading.  It’s easy to think to yourself that “I don’t need to pay this person to sit there, I can do that myself for free”. Read more

The Value Of Incremental Steps In Your Investment Portfolio

Written by David Fabian, February 03rd, 2017

Investing is a stressful endeavor – plain and simple.  You never have all the facts to make a perfect decision.  You are only able to see the right answer with the benefit of hindsight.  Things are always slow on the way up and frenetic on the way down.  This all leads to emotions taking their toll on every single one of us.  Read more

The Downfall of A ‘Yield At Any Price’ Strategy

Written by David Fabian, January 25th, 2017

Many investors are familiar with the GARP acronym, which stands for Growth At A Reasonable Price.  The basic definition is to uncover stocks with reasonable fundamentals (undervalued) that have sustainable growth potential.  The methodology seems sound and is essentially a way of saying – don’t chase price simply for the sake of recent performance.

On the flip side of that ideology is a perilous path that I have seen many investors tread in recent years.  I call it “Yield at Any Price” or YAAP.  Read more