The demands of investors- particularly millennial investors- are dramatically changing how people find and use investment advice. One massive trend is the shift toward automated investment services, or using “robo advisors”. Is this type of service ultimately better for investors? Now, the zombie reference is an exaggeration. But it’s used to make the point that […]
Don’t invest in things that you don’t understand. That’s a line from Warren Buffett, the billionaire investor and CEO of Berkshire Hathaway. The line gained popularity before and shortly after the tech bubble burst in the early 2000s. Buffett didn’t jump on the tech stock bandwagon during the 1990s for a few reasons. First, many of […]
There’s a critical issue investors face at year-end. If you sold a stock, mutual fund or bond investment, what is cost basis? You need to know the cost basis calculation to understand the gain or loss on your investment. The calculation can be confusing- and simply finding cost basis information can be a hassle. […]
I’m writing this during the holiday season, so I thought I’d use Frank Capra’s brilliant film, It’s A Wonderful Life, to explain a concept. If you’re not familiar with the film, IMDB (a great site for movie fans) provides a plot summary. George Bailey manages the Building and Loan started by his father. On Christmas […]
It doesn’t matter if you’re young, old- or some age in between: health care costs are increasing. What matters is that you understand why costs are increasing, and what the financial impact is to you. Once you have that information, you need to fit that cost increase into you personal budget. Have a question about […]
We all love predictability- just the word itself sounds great, doesn’t it? We want out cars to start on a cold winter morning. Travelers want that holiday flight to see the kids to arrive on time. All of us buy particular brands of food, because we know what we’re getting (I stick to Campbell’s Soup, […]
If there’s one investment that causes controversy in the investment business, it’s variable annuities. It seems that no one is in the middle on annuities- a lot like our politics today. Some financial advisors love them, because they can offer many choices. Others hate them and think they’re very expensive. So, here are some surprising […]
Many politicians use an autobiography as a way to market themselves and advance their political careers. It’s a familiar strategy: Governor Smith writes an autobiography. The Governor promotes the book on radio and TV talk shows, in magazines and podcasts. He hits the road for book signings. Governor Smith gets exposure for his next politician […]
The decisions you make as an investor- even small decisions- have a huge financial impact on your life. You work hard to save, you invest, you put a plan in place. However: that’s not enough. In my 30-years kicking around accounting and finance, I see several actions that investors should take- but don’t. Now, these […]
The Ferrari passed me going 60 MPH, passing the “Speed Limit 40” sign. I was driving on a road I take the to gym everyday. Sure enough, a police car was hiding near the school entrance- and he pulled over the Ferrari. I was by myself, but couldn’t resist laughing at the driver’s bad fortune… […]