In our office, we celebrated privately the passing of the four year anniversary of what would be a 13 year stock market low point.
That’s right, it has already been four years since March 9, 2009 when the S&P 500 Index closed at 676—a level last seen in the summer of 1996. As of the date of this article, the S&P 500 Index has surpassed its all-time high of 1565, which was achieved in October 2007!
When it comes to structuring a tax-efficient investment portfolio, we believe it is important to consider “asset location.” That is—which types of investments should be held in which accounts? Conventional wisdom would reason as follows:
We are often asked about our outlook for the economy and the financial markets from clients, journalist and peers. We generally believe that the investment markets are efficient and accurately reflect all of the information currently available. However, it is important to have an idea of where the economy may be headed. Not necessarily from the standpoint of “timing” the investment markets, but rather from a standpoint of managing return expectations and developing a framework for rebalancing and positioning portfolios.
Will the European Union ever get it together and decide on a plan to save the Euro? Or will the debt-laden nations (specifically Greece, Spain, Portugal and Italy) abandon their attempts at austerity causing further stress on an already weak banking system?
How do you track the cost basis on investments held in your taxable portfolio? What portfolio accounting method does your broker, custodian or advisor report to you or your CPA? This is a decision that, for some investors, can save thousands of dollars in taxes and ultimately make a significant difference in a portfolio’s after-tax rate of return.
There are a number of indexes that attempt to measure the performance of the financial markets and serve as a gauge of economic activity. The following are descriptions of several of the most common indexes: (more…)
It is easy to understand how mutual fund investors can be confused by the myriad of choices when it comes to mutual fund “share classes.” For many mutual funds, there are more than three share classes for each fund within a mutual fund family. In every case, a different share class represents a different method of calculating the fees in which mutual funds levy on investors. The following are the most common share classes:
Parents with special needs children can face a unique set of financial challenges. However, like all financial challenges, it is important to take measures early to financially prepare for the future. Here are a number of financial planning ideas and considerations for those parents who have special needs children: (more…)
This video discusses the purpose and key components of an investment policy statement.
Let’s face it, seniors today are healthier, more active and are likely to have longer lives. So what are the financial implications for retirees who will likely live well into their 80s and possibly their 90s?
We believe that from a financial standpoint, retirees need to make financial planning decisions that reflect the high probability that they will live longer.