It’s that time of year – time to fill out the Free Application for Federal Student Aid used by more than 99% of public universities. Many parents take the “why bother” approach. “We have too much money. We’ll never get any aid.” The first thought is usually “why did I have kids” while the second, [...]
Here’s an interesting look at the RORs of various asset classes over the past 10 years: Calculated values reflect returns of the following ETFs/ETNs: EM = iShares MSCI Emerging Markets ETF REITs = Vanguard REIT ETF Mid Cap = SPDR S&P MidCap 400 ETF Small Cap = SPDR S&P 600 Small Cap ETF Large Cap [...]
Really enjoyed this Vox article about the fallacy of willpower. So many applications. From a financial planning perspective items #1 and #2 in the “what we can learn from people who are good at self-control” section hit close to home – the former b/c we’ve found clients that make choices as opposed to being forced [...]
It’s time to don the professorial robe for another lesson in econ 101. Today we deal with something we all know and love – money. In both a literal and figurative sense here’s the CliffsNotes version of the three basic functions of money: https://www.cliffsnotes.com/study-guides/economics/money-and-banking/functions-of-money See a problem? For a currency to serve as money it [...]
Behavioral psychologists know humans are OK being ignorant – we just hate being deprived of information. Big Media uses this to drive clicks and ratings. Which of the following headlines will make you want to read more? Woman loses 10 lbs by making this small change to her daily routine. Woman loses 10 lbs by [...]
It was a great year for the S&P 500: S&P 500 – up 19% It was a great year for the FAANGs: Facebook - up 53% Amazon - up 56% Apple - up 46% Netflix - up 55% Google - up 35% With such eye-popping returns the FAANGs dominated the list of best-performing S&P 500 [...]
Oh those cute TV commercials. They entertain while helping firms become household names. There's no better way to distract current and potential clients from the number of advisers with misconduct on their regulatory records. Should you really trust Ameriprise? Merrill Lynch? Read the full rankings here. Caveat Emptor!
Ostensibly written to explain economic events this article is one of the best you’ll ever read. Understanding what we tell ourselves and why is the first step down a path of better life decisions.
This chart does a nice job showing the prior laws, the competing Senate/House proposals for change and how things were resolved during the reconciliation process to create the new laws to go into effect beginning in 2018. Missing from the chart is discussion of the changes to §529s. Previously distributions in order to qualify for [...]
Both the House and Senate passed Bills to reform the Internal Revenue Code. Here's how they stack up as they had into the reconciliation process: