Your analysis is actually correct, in that cash flow and growth rates are constantly changing, and generally they are changing for the better. As a result, future cash flow increases at a faster rate than previously expected and the stock price is adjusted up due to these increasing cash flows. Because no one can predict the future, as new facts become apparent they changes the expectations of future cash flows. This, of course, assumes . . . .
Read MoreDepending on your situation and your desire, there are two broad options each with their own tax implications. The option which allows you to defer taxes on the sale is a 1031 exchange and will require you not to have access to . . . .
Read MoreIt is definitely not too early and I commend you for taking advantage of the incredible returns you can get by starting an account at one year old. I am assuming your child will not need the money for at least 18 years so a stock-heavy portfolio would be appropriate. I would even be comfortable with a 100% stock portfolio assuming . . . .
Read MoreYou have three choices for the funds in your old 401(k) plan. The two you mentioned (leaving it where it is or rolling it over to your new employer) and rolling it over to an IRA. The best option for you would depend on several . . . .
Read MoreBased on the goal of using the funds to pay off the mortgage at an unknown and flexible future date, you will want to invest the funds in a traditional taxable account. You can set one up at a discount brokerage company, with a financial adviser, . . . .
Read MoreFinding the right adviser is difficult but not impossible. You will want to research advisers and then set up appointments with at least three or four of them. An adviser should be a fiduciary, should not be a commissioned. . . .
Read MoreSomehow missed this when it came out, but happy to be quoted in U.S. News & World Report and be able to help investors understand the uses of cap-weighted and equal-weighted funds.
Read MoreHappy to be quoted in U.S. News & World Report and be able to help investors understand the benefits and risks of investing Social Security proceeds.
Read MoreBefore we discuss the investment opportunities for paying back the loans, start by talking with a financial planning specialist to identify additional financial aid opportunities to offset the schooling costs. Although it's great you . . .
Read MoreI am sad you are having to deal with this. The annuity representative should have explained this to you and made sure you understood what you were buying. The contract/prospectus for annuities are very long and very . . . .
Read MoreThis information is reported, but it is not as highly publicised as total volume for two reasons. First, more people are interested in buying a stock than shorting one and shorting a stock has unlimited risk. Second, every stock . . . .
Read MoreHappy to be quoted in U.S. News & World Report and be able to help investors understand the benefits and risks of private placement investing.
Read MoreConsidering you have a 3-year timeline, a standard savings account isn't optimal due to the low interest rates being unlikely to keep up with inflation. A money market savings account or certificate of deposit would be a better to consider. If you are comfortable with taking on more risk . . . .
Read MoreYes, you will want to contribute the maximum you can to the Roth IRA, which is $6,500 in 2018 (you get access to the $1,000 catch-up contribution for being over age 50). You may also need to save additional money into a taxable account to supplement your tax-advantaged retirement funds. . . .
Read MoreIn order to stay within your "safest" criteria, you would want to stick with an FDIC or NCUA insured account. You can get slightly higher interest rates by shopping around for high-interest savings accounts from online banks and credit unions. Currently (November 2018), rates on savings accounts are….
Read MoreAlthough I cannot identify a specific asset allocation without doing a lot more analysis and knowing what your current asset allocation is, my general comment are below. You seem to be positioned well for the future. In fact . . . .
Read MoreThe end of last week saw a stock market drop which has many spooked and supposed experts have been using words like ‘market crash’, ‘historic drop’, and ‘recession’. Here are the 5 things you should do to keep the market downturn from ruining your financial plan.
Read MoreDespite what you might hear, there are some very good ‘pros’ in favor of annuities. But, there are also a lot of very big ‘cons’ with buying an annuity. Annuities provide a fixed income until you die, which is very attractive for retirees. With a fixed annuity, the fact the insurance company is taking. . . .
Read MoreBased on your information, the three strategies to begin exploring are maxing out your 401(k) plans, maxing out an HSA if you have access to one, and creating a Donor Advised Fund if you are . . . .
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