investing

Long-Term Investing Truths

Key lessons for retirement savers.  You learn lessons as you invest in pursuit of long-run goals. Some of these lessons are conveyed and reinforced when you begin saving for retirement, and others, you glean along the way.    First and foremost, you learn to shut out much of the “noise.” News outlets take the temperature of global markets five days a week (and on the weekends), and economic indicators change...

Beware of Emotions Affecting Your Money Decisions

Today’s impulsive moves could breed tomorrow’s regrets. When emotions and money intersect, the effects can be financially injurious. Emotions can cause us to overreact – or not act at all when we should. Think of the investors who always respond to sudden Wall Street volatility. That emotional response may not be warranted, and they may come to regret it. In a typical market year, Wall Street can see big...

Keep Calm, Stay Invested

Expect more volatility, but avoid letting the headlines alter your plans. Recent headlines have disturbed what was an unusually calm stock market. The political uproar in Washington may continue for weeks or months, and it could mean significant, ongoing turbulence for Wall Street. As an investor, a retirement saver, how much will this turmoil matter to you in the long run? Perhaps, very little. There are many good reasons...

What Could You Do With Your Tax Refund?

Instead of just spending the money, you could plan to pay yourself.   About 70% of taxpayers receive sizable refunds from the Internal Revenue Service. Just how sizable? The average refund totals about $2,800. 1 What do households do with that money? It varies. Last year, consumer financial services company Bankrate asked Americans about their plans for their federal tax refunds. Thirty-one percent of the respondents to Bankrate’s survey...

Active & Passive Investment Management

What do each of these terms really mean? Investment management can be active or passive. Sometimes, that simple, fundamental choice can make a difference in portfolio performance. During a particular market climate, one of these two methods may be widely praised, while the other is derided and dismissed. In truth, both approaches have merit, and all investors should understand their principles. How does passive asset management work? A passive...

Should You Care What the Market Does Each Day?

A calm investor may realize better long-term returns than an overly concerned one.  Investors are people, and people are often impatient. No one likes to wait in line or wait longer than they have to for something, especially today when so much is just a click or two away. This impatience also manifests itself in the equities markets. When the S&P 500, Dow, or Nasdaq take a tumble, some...

The Lottery is No Retirement Plan

Pay yourself first instead, with your future in mind. Provided by William J. Prentice II, AWMA®, CFP®, CIMA® Powerball fever swept across America last week, with a record jackpot of $1.5 billion eventually being split by three winners in the January 13 drawing. Millions lined up for lottery tickets, hoping to realize their dreams of being rich, independent, and carefree.1,2 This infinitesimal chance at massive wealth was certainly alluring...