Risk Reduction Ideas for Today’s Higher Interest Rate World
Picking the right asset allocation was relatively easy for investors over most of the last 14 years. Since the end of the Great Financial Crisis in 2009, and with the fed funds rate sitting between zero and 2.5 percent, it’s been stocks, stocks, and more stocks. But...
A Middle Way to Protect Your Portfolio from Inflation
Don’t go all out to boost income without taking account of capital risks. Let me take you back to the summer of 2018. It was the hottest on record for the UK. Inflation was running at less than 2 per cent, interest rates were at 0.75 per cent, and 18mn people watched...
Indexed Annuities: A Competitive Alternative to Bonds
Since the development of Modern Portfolio Theory by Harry Markowitz in 1952, and later the 60/40 model portfolio (60% stocks/40% bonds), little has changed in the realm of portfolio risk management and diversification over the past 70 years. Add the fact that over the...
What to Do With Your Tax Refund? Save for Emergencies.
The average federal income tax refund is smaller this year, but it’s still almost $3,000. And for strapped taxpayers, that can provide a financial boost. As of March 31, the average federal tax refund was $2,910, down 10% from $3,226 at the same time last year,...