Know Your Tolerance for Risk vs. Your Appetite for Risk Risk – The exposure to an impairment of standard of living and irretrievable loss of wealth. Risk Appetite – The amount and type of risk you’re willing to accept in…
Read More The Difference Between Risk Tolerance and Risk Appetite
Why do we recommend stocks for investing over the long-term? Because the evidence supports that investing in stocks has provided the best real returns (after inflation adjustments). From the Credit Suisse Global Investment Returns Yearbook 2016:
Heading into retirement the number one worry retirees have is will my money last. There is no concrete answer, but in pursuit of that goal retirees may want to adopt a couple of spending and investing rules. The popular spend…
Read More How Can You Make Sure Your Retirement Money Lasts?
When corporations moved from pension benefits to 401(k) plans, workers had to become the financial planner, investment manager and actuary in order to successfully plan for retirement income.
The IRS announced on Thursday that the limit on elective deferral for contributions to 401(k) plans, 403(b) plans, most 457 plans, and the federal government’s Thrift Savings Plan will increase from $18,500 in 2018 to $19,000 for 2019. However, the…
Returns from stocks can vary greatly from year to year, and as in the case of 2018, month to month during the year. Over short periods of time (monthly, quarterly, yearly) the returns from stocks can range from up 53%…
Using Retirement Assets for Estate Planning - Naming a beneficiary on your retirement accounts can help defer taxes over your heir’s lifetime. A tax deferred is a tax not paid – Phil DeMuth The “stretch” provision for IRAs and Inherited…
“Money makes money. And the money that money makes, makes money” – Benjamin Franklin Compounding is repeated actions that build on each other to produce results that are dramatically larger than you might expect. Compounding is used in saving and…
Read More Compounding – Small repeatable actions that have outsized effects.
The overall market was held up by the performance of a relatively small number of stocks in high-growth sectors, so if they stumble the rest of the market follows. The highest flying growth stocks are down significantly this week, with…
Read More How to Make Smarter Decisions About Money 10.12.18
