What Happened to Greece?

As the summer temperatures fade in and out of the hot zone, so too does Greece fade in and out of the news.  Constant headlines about the possibility of a Greek default are accompanied by an equal number of predictions about what that might mean for world markets.

Some interesting facts about Greece.  Did you know that the economy of Greece is about half the size of the state of Ohio?  Further, while its debt is large at 180% of its GDP, Greek debt represents about one quarter of 1% of the overall world debt markets.  Everyday, markets are digesting the latest news almost instantaneously, as reflected in current prices.

The question then becomes, what to do about it? 

Does it make sense to adjust your portfolio based on some prediction about what will happen in the market?  In the below video, Weston Wellington from Dimensional Funds gives a good explanation and example of why it makes sense to maintain a disciplined approach and not try to out guess the market.