Power of Compound Returns A quick Internet search reveals that Albert Einstein once called compounding “the most powerful force in the universe,” “the eighth wonder of the world,” or “the greatest invention in human history.” Although the validity of these quotes is debatable, Einstein would not have been far off in his assessments. Compounding happens […]
When Should Young Adults Start Investing for Retirement? Read More »
The CPI tracks changes in the cost of a market basket of goods and services purchased by consumers. Items are sorted into more than 200 categories that are weighted according to their “relative importance,” a ratio that represents how consumers divide up their spending, on average. Basic needs such as shelter (33%), food (14%), energy
The Inflation Experience Is Painful — and Personal Read More »
Investing internationally provides access to growth opportunities outside the United States, which may boost returns and/or enhance diversification in your portfolio. But foreign securities carry additional risks that may result in greater share price volatility; these risks should be carefully managed with your goals and risk tolerance in mind. Foreign Factors It’s often more complicated
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Considering the high level of public concern, it may be helpful to look at how a recession is officially determined and some current indicators that suggest strength or weakness in the U.S. economy. Business Cycle Dating U.S. recessions and expansions are officially measured and declared by the Business Cycle Dating Committee of the National Bureau
HOT TOPIC: Is the U.S. Economy in a Recession? Read More »
For the 12-month period ending in June 2022, the Consumer Price Index for All Urban Consumers (CPI-U) — the most widely used measure of inflation — increased 9.1%, the fastest pace in more than 40 years.1 The rate may trend downward as the Federal Reserve raises interest rates and supply-chain issues improve. But inflation is likely
Inflation Protection for Investment Dollars Read More »
When thinking about life insurance, you might focus on the death benefit that can be used for income replacement, business continuation, and estate preservation. But life insurance policies may include other provisions that allow you to access some or all of the death benefit while you are living. These features are often referred to as
Life Insurance Living Benefits Read More »
If you earn money through an app or online digital platform, you may be affected by a tax reporting change that took effect on January 1, 2022. A provision of the 2021 American Rescue Plan requires third-party payment processors to report business transactions totaling over $600 per year by issuing a Form 1099-K to the
Uncle Sam Wants to Know About Your Gig Income Read More »
The average price for a new vehicle reached $47,077 in December 2021, which amounts to a 14% price hike in just one year. Perhaps more startling, the average price paid for a nonluxury vehicle was $900 above the Manufacturer’s Suggested Retail Price (MSRP), otherwise known as the sticker price.1 Most people who have shopped for
Sticker Shock Is No Joke for Car Buyers Read More »
An extraordinary number of new business applications — nearly 5.4 million — were filed in 2021, far surpassing the previous record of 4.4 million set in 2020.1 Although some of these start-ups will replace businesses that closed earlier in the pandemic, it appears that many Americans reassessed their careers and were inspired to launch brand-new ventures
Six Steps to Starting a New Business Read More »
With more than 7,400 mutual funds to consider in the United States alone, some investors may feel overwhelmed by the thought of deciding which ones to select for their portfolios. At the same time, most mutual fund–owning households base their purchase decisions on these measures: historical performance (94%), investment objectives and risk potential (91%), and
A Wealth of Information: How to Read a Mutual Fund Prospectus Read More »
