We think the decline in the S&P 500 Index on Tuesday may be more technical than fundamental.
Recent changes to the FAFSA form and process include a simpler form, fewer questions and a revised eligibility formula. Our Bill Cass highlights what you need to know to apply for federal financial aid for college.
Presidential elections tend to have limited impact on market performance, regardless of party win (although markets prefer Democratic switches). Investors should capitalize on the uptick in market volatility, which investors can use for strategic investing.
Successful advisors are persuasive. They understand persuasion is critical to converting prospects into clients and keeping them as clients.
Half your coworkers might have just spent August in Europe, but there were no holiday doldrums in the booming world of ETFs.
After a bit of an early-August swoon, the stock market came roaring back in the last few weeks of the month. The S&P 500 finished up 2.4%, though certainly in the early days of August, that did not feel like a particularly likely outcome. In client conversations a few days into the selloff, our feeling was to stay put and not tinker with the portfolios we suggested in early August.
In our view, stagflation scenarios tend to be worse for balanced portfolios than recessions.
As I write this, gold continues to trade above $2,500 an ounce after surging past the psychologically important level for the first time ever in mid-August. For seasoned gold mining investors, this should be a moment of validation. After all, the yellow metal has long been seen as the ultimate hedge against economic uncertainty.
Many recent studies have been done on the economics of different generations. Researchers want to know if Millennials and Gen Z are in fact worse off than their Boomer and Gen X parents. There are quite a few ways to look at this data.
While short-term fluctuations and sudden selloffs have tested the markets, key indicators such as corporate profits, employment data, and economic resilience have held firm.
We analyze Federal Reserve Chair Jay Powell’s comments about the potential for rate cuts in September and beyond.
Will 2030 DC plans perform better at preparing U.S. workers for retirement?
The latest retail sales report seems to have given Wall Street something to cheer about. Headlines touting resilience in consumer spending increased hopes of a “soft landing” boosting the stock market.
The market’s 8.5% decline during August sent shockwaves through the media and investors. The drop raised concerns about whether this was the start of a larger correction or a temporary pullback. However, a powerful reversal, driven by investor buying and corporate share repurchases, halted the decline, leading many to wonder if the worst is behind us.
After market expectations spiked to nearly five interest rate cuts in 2024 based on disappointing labor market report early in the month, reassuring data in the form of Retail Sales and Unemployment Claims have quelled market Markets have eased expectations for interest rate cuts, pricing closer to four cuts as of the end of last week.
The last two years of high school can be particularly important as students approach the final college decision. Our Bill Cass highlights some action items for students and parents.
We explore how strong fundamentals and a resilient economy may position high-yield bonds as a potentially compelling choice in today’s fluctuating market.
Stocks that offer artificial intelligence have been the hot ticket in the stock market – seeing their prices surge – many to astronomical heights. In this video, Chuck Carnevale, Co-Founder of FAST Graphs, a.k.a. Mr. Valuation will use FAST Graphs to see if he can locate some AI stocks that might not be so expensive, but his primary focus is going to be on Dell Technologies (DELL), as well as Dell’s competitors.
A recent article co-authored by Stephen Miran and Dr. Nouriel Roubini, aka Dr. Doom, accuses the U.S. Treasury Department of using its debt-issuance powers to manipulate financial conditions.
Markets were recently rattled by concerns the U.S. may slip into recession, but it's not clear that those fears are justified.
Stocks that offer artificial intelligence have been the hot ticket in the stock market – seeing their prices surge – many to astronomical heights.
Families may want to consider a comprehensive plan for college, including actions to take during the high school years, and consider how a 529 plan can help guide savings. Our Bill Cass offers details on college planning.
Economic indicators are released every week to provide insight into the overall health and performance of an economy.
Investor complacency is often blamed when rising stock markets ignore potentially unsettling data for weeks and then viciously sell off. But this very human-sounding characteristic mostly isn’t in the minds of traders: It’s baked into the structure of modern investment strategies.
Today’s passive index investing requires active choices, as customization and innovations in index funds have resulted in new considerations for investors and the potential for greater control.
According to some pundits, we had a bloodbath in the information technology sector yesterday, should you buy, sell or hold?
The case for beginning to recalibrate rates in the S. is on a winning streak for getting stronger with each data print
Notwithstanding whether there was a formal agreement, the petrodollar is not going anywhere. Even if Saudi Arabia accepts rubles, yuan, pesos, or gold for its oil, it will need to convert those currencies into dollars in almost all instances.
We are in the time of year when Americans pack transatlantic airliners for their European vacations. I had actually hoped to be one of them. That didn’t work out but we can still talk about events in Europe. And we probably should, because potentially major changes are happening.
Explore the complexities of the high-yield market through comprehensive insights from our experts.
The addition of Dell Technologies and Super Micro boosted the weighting to the technology sector. We also analyze changes to the value and growth indexes.
The bond trade that some of Wall Street’s biggest banks say will dominate the rest of 2024 is gaining steam before a crucial inflation reading that will help seal the wager’s fate.
The expert and you are in a car and the expert is driving. After awhile, you notice that the expert is driving the car by looking through the rearview mirror. Concerned you ask him why he’s not looking ahead as he drives.
Rebalancing events help ensure benchmarks maintain exposure to companies within their targeted asset class or markets, but the rebalancing can also impact investment portfolios.
Initial rate cuts by the European Central Bank and Bank of Canada may signal a transformative trend toward monetary easing.
The US government’s finances keep looking worse. The latest Congressional Budget Office projections suggest that it will need to borrow an added $400 billion this year to cover its budget deficit — and trillions more over the next decade.
Big swings in Nvidia Corp. shares have reignited debate about the staying power of the chipmaker’s rally. While the stock’s valuation and threat of competition are major concerns, one variable is key: durability of demand.
Higher education is one among many paths to success.
As the performance of China’s equity markets remains uneven and unpredictable, portfolio manager Hardy Zhu and Chief Investment Officer Sean Taylor highlight the potential growth agents that could improve long-term investment returns.
When it comes to personalization, automation can be one of our most powerful tools. That might sound paradoxical, but it’s not.
I may as well just say it. Based on the present combination of extreme valuations, unfavorable and deteriorating market internals, and a rare preponderance of warning syndromes in weekly and now daily data, my impression is that the speculative market advance since 2009 ended last week.
The nonpartisan Congressional Budget Office ramped up its estimate for this year’s US budget deficit by 27% to almost $2 trillion, sounding a fresh alarm about an unprecedented trajectory for federal borrowing.
Nvidia Corp. insiders have sold shares worth more than $700 million this year as the stock continues to push deeper into record territory amid unrelenting demand for its chips.
You know I’m highly concerned about government debt in the developed world, particularly the US. I’ve said for years a crisis is coming. We’ve blown right past all our chances to avoid it. Now all we can do is imagine what the crisis will look like… and how much it will hurt.
JOLTS (job opening data) had a massive surprise, three standard deviations below consensus estimates, the driving job openings to unemployed workers ratio back to pre-pandemic levels.
With a Presidential election less than five months away, expect to hear a great deal of discussion about inequality: the gap between the rich, the poor, and the middle class.
Pop Quiz! Without recourse to your text, your notes, or a Google search, what line item is the largest asset in Uncle Sam's financial accounts?
While governments responsibly issue debt to fund public investment and dampen the business cycle, the US federal government has borrowed at an increasingly prolificate pace over recent decades.
A defining feature of the post-COVID investment regime has been the persistence of elevated market uncertainty and volatility. The below visual highlights how this has led to a wider range of market performance outcomes, focusing in on the vast difference between the last two calendar years.
Few investments pay off as well as time spent pursuing financial history – to paraphrase George Santayana only slightly: study the past in order to prevent it from picking your pockets.
While rules-based monetary policy thrived when globalization put downward pressure on inflation, the COVID-19 pandemic has revived central bankers’ long-dormant preference for inflationary policies. This shift may help central banks maintain their independence, but it also increases the likelihood of another surge of price growth.
Ross Riskin's op-ed examines the potential drawbacks of using glide path portfolios in 529 college savings plans, particularly during high-interest rate environments. He suggests that money market options may offer better capital preservation for funds needed during college enrollment, emphasizing the shift from growth to stability in investment strategies.
Our recent 529 Month webinar focused on how 529 plans are used, the impact on federal financial aid, and expanded uses. Here are some of the leading topics discussed.
The price of oil is hovering around $76 per barrel, 38% off its 5-year high. With so much geopolitical tension, why isn’t it higher?
In the best-case scenario, subscription services are the heir apparent for the delivery of wealth management services because they bestow the greatest amount of flexibility on the advisor to help their clients achieve comprehensive and lasting financial security.
VettaFi discusses changes in the MLP/midstream investment product landscape.
Target Corp.’s sales slump last quarter marked the latest example of supposed softening in US consumption, making some stock-market investors jittery that recession could still be in the cards.
Strong Q1 earnings were a bright spot as sticky inflation and dimmed expectations for rate cuts cast some shade on U.S. equity markets. Fundamental Equities investor Carrie King looks beyond the headlines to offer four takeaways from the most recent earnings season.
There’s no denying that human emotions play a role in managing money. Even someone who’s usually level-headed can get caught up in excitement, fear, or uncertainty.
With his signature student-loan-forgiveness plan struck down by the Supreme Court, President Joe Biden is pushing to cancel debts by other means. His latest proposal aims to relieve nearly 30 million borrowers, on top of those who’ve received forgiveness under previous initiatives.
More than one in 10 Americans with federal student loans have been approved for some measure of debt relief under President Joe Biden, the White House said, as it announced a new round of forgiveness.
A grandparent may choose to fund a 529 plan for a grandchild’s education. Our Bill Cass discusses key tax and estate planning considerations as well as the impact on student financial aid.
To say that inflation data during the first quarter of the year surprised us and the markets is clearly an understatement and by Tuesday of this week, with the higher-than-expected Producer Price Index (PPI) print for April, markets were clearly on edge as they were also potentially expecting a higher reading for the Consumer Price Index (CPI) on Wednesday.
While extracting yield is a prime option for bonds exposure, the risk associated with depreciating prices shouldn't put off investors.
For families saving for college, 529 plans remain popular. Our Bill Cass shares some key facts about 529 plans.
Our holiday from history has come to an end. I am referring not to world peace but to the zero-interest-rate environment so many people expected would last forever.
US household debt has reached a record and more borrowers are struggling to keep up.
As of last week, the total return of the S&P 500 was even with 3-month Treasury bill returns since the valuation peak of January 2022, more than two years ago. In our view, investors continue to “grasp at the suds of yesterday’s bubble,” ignoring extreme valuations, lopsided bullish sentiment, emerging pressure on profit margins, economic conditions at the border of recession...
When each of my children was born, I had their application for a 529 college fund filled out, mailed, and funded with the first $100 before they were released from the hospital.
Understanding the broader tax benefits, 529 plans may be a more tax-efficient way to save for college than custodial accounts. Our Wealth Planning Director Bill Cass highlights several reasons to consider this strategy.
It was an irresistible pitch. Give us your money, executives at Ray Dalio’s Bridgewater Associates and other hedge funds said, and we’ll funnel it into a money-minting, sure-thing strategy for the long haul.
Establishing a sense of financial responsibility in your children is a daunting yet important step in their development.
Educating workers about workplace benefits is vital to employee retention, according to findings from Franklin Templeton’s 2024 “Voice of the American Workplace” survey. Our Jacque Reardon shares findings from the survey related to what employees want—and how employers can meet these needs to benefit both parties.
There are rules to follow if you set up a 529 college plan. If you don’t follow the rules, then the IRS will get involved, which is something you want to avoid.
In the competitive financial advisory landscape and ongoing quest for new clients, advisors often miss an obvious opportunity – the children and grandchildren lying within their existing clientele.
While these tax-advantaged accounts are effective tools for meeting future education needs, a 2023 analysis found that overfunding a 529 plan can result in a large tax bill if money remains in the account after the beneficiary has graduated.
As he announced his latest round of student loan forgiveness last week — the previous one was just last month — President Joe Biden was greeted with an unpleasant reminder of why his policy is not only ill-considered but also ill-timed.
President Joe Biden’s alternative student-debt relief plan could forgive loans for as many as 26 million Americans, a far-reaching initiative that will be tested by the same challenges that beset his original program struck down by the Supreme Court.
While getting your loans wiped out can seem like a lifesaver, it may come with some negative financial implications.
By taking a few key steps, you will find many practical ways to prepare financially for the college education of your children.
Dynasty 529 plans allow savvy families with significant means to potentially fund college costs forever.
Beginning this year, the SECURE Act 2.0 allows owners of 529 plans to convert unused 529 funds to the beneficiary’s Roth IRA.
A 529 plan offers higher contribution limits as well as more flexibility when it comes transferability and your range of investment choices.
Most of us associate 529 accounts with college savings. They’re flexible, allowing you to transfer assets to anyone, including yourself, for the express purpose of furthering the education of your beneficiary. But did you know that a 529 can be a powerful estate planning tool?
Here’s a look at how a new legislative provision may be an opportunity to help jump-start retirement savings for children while saving for college at the same time.
The year-end fiscal 2023 government funding bill contained legislation that makes the most significant changes to the U.S. retirement savings system in decades. The SECURE 2.0 Act builds on retirement savings changes passed in 2019 and contains new provisions that further raise the required minimum distribution (RMD) age, shift to automatic plan enrollment and provide for new matching/emergency withdrawal opportunities.
Very early this year our economics team got a pleasant surprise: Consensus Economics, which collects forecasts from roughly 200 economists around the world, rated us the most accurate forecasters of the United States for 2022, based on our forecasts for GDP and CPI. Unfortunately, we don’t expect a repeat award for 2023.
Since the financial crisis of 2008, policymakers have been cracking down on leverage at banks. As a result, banks cut back on any lending that didn’t seem profitable enough if it wasn’t juiced by leverage.
The economics teams looks back at the most significant stories we covered during 2023.
Trying to outperform the market by timing exits (just before the bear awakens from its hibernation) and entries (as the bull enters the arena) is a fool’s errand.
529/College Planning
Volatility Strikes in September: Our Thoughts
We think the decline in the S&P 500 Index on Tuesday may be more technical than fundamental.
Navigating Financial Aid: New FAFSA Rules and Tips for Families
Recent changes to the FAFSA form and process include a simpler form, fewer questions and a revised eligibility formula. Our Bill Cass highlights what you need to know to apply for federal financial aid for college.
Maintain Your Investment Strategy During Election Years
Presidential elections tend to have limited impact on market performance, regardless of party win (although markets prefer Democratic switches). Investors should capitalize on the uptick in market volatility, which investors can use for strategic investing.
Evidence-Based Persuasion Secrets
Successful advisors are persuasive. They understand persuasion is critical to converting prospects into clients and keeping them as clients.
Sizzling ETF Flows in Manic Markets Fuel a $609 Billion Haul
Half your coworkers might have just spent August in Europe, but there were no holiday doldrums in the booming world of ETFs.
Quant Street September 2024 Investor Letter: All Eyes on the Fed
After a bit of an early-August swoon, the stock market came roaring back in the last few weeks of the month. The S&P 500 finished up 2.4%, though certainly in the early days of August, that did not feel like a particularly likely outcome. In client conversations a few days into the selloff, our feeling was to stay put and not tinker with the portfolios we suggested in early August.
Stagflation vs. Recession
In our view, stagflation scenarios tend to be worse for balanced portfolios than recessions.
Why Gold Stocks Could Be a Contrarian Investor’s Dream Right Now
As I write this, gold continues to trade above $2,500 an ounce after surging past the psychologically important level for the first time ever in mid-August. For seasoned gold mining investors, this should be a moment of validation. After all, the yellow metal has long been seen as the ultimate hedge against economic uncertainty.
Break the Cycle and Create Generational Wealth
Many recent studies have been done on the economics of different generations. Researchers want to know if Millennials and Gen Z are in fact worse off than their Boomer and Gen X parents. There are quite a few ways to look at this data.
Fundamentals Matter
While short-term fluctuations and sudden selloffs have tested the markets, key indicators such as corporate profits, employment data, and economic resilience have held firm.
Analysis of Fed Chair Powell’s Comments: September Cut Likely, but What After?
We analyze Federal Reserve Chair Jay Powell’s comments about the potential for rate cuts in September and beyond.
8 Ways DC Plans Are Likely to Change by 2030
Will 2030 DC plans perform better at preparing U.S. workers for retirement?
Red Flags In The Latest Retail Sales Report
The latest retail sales report seems to have given Wall Street something to cheer about. Headlines touting resilience in consumer spending increased hopes of a “soft landing” boosting the stock market.
Market Decline Over As Investors Buy The Dip
The market’s 8.5% decline during August sent shockwaves through the media and investors. The drop raised concerns about whether this was the start of a larger correction or a temporary pullback. However, a powerful reversal, driven by investor buying and corporate share repurchases, halted the decline, leading many to wonder if the worst is behind us.
Macro Thoughts – Recalibration or Accommodation
After market expectations spiked to nearly five interest rate cuts in 2024 based on disappointing labor market report early in the month, reassuring data in the form of Retail Sales and Unemployment Claims have quelled market Markets have eased expectations for interest rate cuts, pricing closer to four cuts as of the end of last week.
College-Bound High School Juniors and Seniors Focus On a Strong Finish
The last two years of high school can be particularly important as students approach the final college decision. Our Bill Cass highlights some action items for students and parents.
High-Yield Bonds: Exploring Opportunities in a Volatile Market
We explore how strong fundamentals and a resilient economy may position high-yield bonds as a potentially compelling choice in today’s fluctuating market.
Investing in Transformative AI: How Dell Technologies is Shaping the Future
Stocks that offer artificial intelligence have been the hot ticket in the stock market – seeing their prices surge – many to astronomical heights. In this video, Chuck Carnevale, Co-Founder of FAST Graphs, a.k.a. Mr. Valuation will use FAST Graphs to see if he can locate some AI stocks that might not be so expensive, but his primary focus is going to be on Dell Technologies (DELL), as well as Dell’s competitors.
Stealth QE Or Rubbish From Dr. Doom?
A recent article co-authored by Stephen Miran and Dr. Nouriel Roubini, aka Dr. Doom, accuses the U.S. Treasury Department of using its debt-issuance powers to manipulate financial conditions.
Schwab Market Perspective: Spinning
Markets were recently rattled by concerns the U.S. may slip into recession, but it's not clear that those fears are justified.
Investing in Transformative AI: How Dell Technologies is Shaping the Future
Stocks that offer artificial intelligence have been the hot ticket in the stock market – seeing their prices surge – many to astronomical heights.
Kick Off Your College Planning During the First Two Years of High School
Families may want to consider a comprehensive plan for college, including actions to take during the high school years, and consider how a 529 plan can help guide savings. Our Bill Cass offers details on college planning.
Exploring Economic Indicators: Household Debt, Services PMI & Trade
Economic indicators are released every week to provide insight into the overall health and performance of an economy.
Beware the Bombs Baked Into Modern Stock Markets
Investor complacency is often blamed when rising stock markets ignore potentially unsettling data for weeks and then viciously sell off. But this very human-sounding characteristic mostly isn’t in the minds of traders: It’s baked into the structure of modern investment strategies.
Index Investing as an Active Decision: Implications for Equity Investors
Today’s passive index investing requires active choices, as customization and innovations in index funds have resulted in new considerations for investors and the potential for greater control.
15 Semiconductor Stocks Plunge: Should You Buy, Sell, or Hold?
According to some pundits, we had a bloodbath in the information technology sector yesterday, should you buy, sell or hold?
The Case for Recalibrating Rates Gets a Winning Streak
The case for beginning to recalibrate rates in the S. is on a winning streak for getting stronger with each data print
Petrodollar Panic: Separating Fact from Fiction
Notwithstanding whether there was a formal agreement, the petrodollar is not going anywhere. Even if Saudi Arabia accepts rubles, yuan, pesos, or gold for its oil, it will need to convert those currencies into dollars in almost all instances.
Attitude Adjustments
We are in the time of year when Americans pack transatlantic airliners for their European vacations. I had actually hoped to be one of them. That didn’t work out but we can still talk about events in Europe. And we probably should, because potentially major changes are happening.
Finding Value in High-Value Bonds and Credit Markets
Explore the complexities of the high-yield market through comprehensive insights from our experts.
Russell 1000 Index Annual Rebalance: Tech Leads Weighting Gains
The addition of Dell Technologies and Super Micro boosted the weighting to the technology sector. We also analyze changes to the value and growth indexes.
Big Bond Bet Favored by Citi, JPMorgan Gets Boost Before CPI
The bond trade that some of Wall Street’s biggest banks say will dominate the rest of 2024 is gaining steam before a crucial inflation reading that will help seal the wager’s fate.
Monthly Global Economic Report
The expert and you are in a car and the expert is driving. After awhile, you notice that the expert is driving the car by looking through the rearview mirror. Concerned you ask him why he’s not looking ahead as he drives.
Summer Index Rebalances: How They Work and Why They Matter
Rebalancing events help ensure benchmarks maintain exposure to companies within their targeted asset class or markets, but the rebalancing can also impact investment portfolios.
Rate Cuts Begin
Initial rate cuts by the European Central Bank and Bank of Canada may signal a transformative trend toward monetary easing.
The Real Reason to Worry About the Huge US Budget Deficit
The US government’s finances keep looking worse. The latest Congressional Budget Office projections suggest that it will need to borrow an added $400 billion this year to cover its budget deficit — and trillions more over the next decade.
Nvidia’s Wild Stock Swings Put AI Rally Stamina in Spotlight
Big swings in Nvidia Corp. shares have reignited debate about the staying power of the chipmaker’s rally. While the stock’s valuation and threat of competition are major concerns, one variable is key: durability of demand.
Is College Still Worthwhile?
Higher education is one among many paths to success.
Identifying Recovery Catalysts in China
As the performance of China’s equity markets remains uneven and unpredictable, portfolio manager Hardy Zhu and Chief Investment Officer Sean Taylor highlight the potential growth agents that could improve long-term investment returns.
Automation Supports Personalized Service
When it comes to personalization, automation can be one of our most powerful tools. That might sound paradoxical, but it’s not.
You Can Ring My Bell
I may as well just say it. Based on the present combination of extreme valuations, unfavorable and deteriorating market internals, and a rare preponderance of warning syndromes in weekly and now daily data, my impression is that the speculative market advance since 2009 ended last week.
CBO Jacks Up US 2024 Budget Gap Forecast by 27% to Nearly $2 Trillion
The nonpartisan Congressional Budget Office ramped up its estimate for this year’s US budget deficit by 27% to almost $2 trillion, sounding a fresh alarm about an unprecedented trajectory for federal borrowing.
Nvidia Insiders Cash In on Rally as Share Sales Top $700 Million
Nvidia Corp. insiders have sold shares worth more than $700 million this year as the stock continues to push deeper into record territory amid unrelenting demand for its chips.
The Coming Supercyclical Crisis
You know I’m highly concerned about government debt in the developed world, particularly the US. I’ve said for years a crisis is coming. We’ve blown right past all our chances to avoid it. Now all we can do is imagine what the crisis will look like… and how much it will hurt.
Haywire Labor Data Points in Every Direction
JOLTS (job opening data) had a massive surprise, three standard deviations below consensus estimates, the driving job openings to unemployed workers ratio back to pre-pandemic levels.
Spotlighting Inequality
With a Presidential election less than five months away, expect to hear a great deal of discussion about inequality: the gap between the rich, the poor, and the middle class.
The Fed's Financial Accounts: What Are Uncle Sam's Largest Assets?
Pop Quiz! Without recourse to your text, your notes, or a Google search, what line item is the largest asset in Uncle Sam's financial accounts?
A Stealth Tax on Prosperity
While governments responsibly issue debt to fund public investment and dampen the business cycle, the US federal government has borrowed at an increasingly prolificate pace over recent decades.
Targeting Uncorrelated Returns in Uncertain Markets
A defining feature of the post-COVID investment regime has been the persistence of elevated market uncertainty and volatility. The below visual highlights how this has led to a wider range of market performance outcomes, focusing in on the vast difference between the last two calendar years.
Santayana’s Dividend: On Investing in U.S. Financial History
Few investments pay off as well as time spent pursuing financial history – to paraphrase George Santayana only slightly: study the past in order to prevent it from picking your pockets.
Central Banks’ New-Old Inflationary Bias
While rules-based monetary policy thrived when globalization put downward pressure on inflation, the COVID-19 pandemic has revived central bankers’ long-dormant preference for inflationary policies. This shift may help central banks maintain their independence, but it also increases the likelihood of another surge of price growth.
When it Comes to 529 Plans, “Target” Enrollment Portfolios Can Miss the “Mark”
Ross Riskin's op-ed examines the potential drawbacks of using glide path portfolios in 529 college savings plans, particularly during high-interest rate environments. He suggests that money market options may offer better capital preservation for funds needed during college enrollment, emphasizing the shift from growth to stability in investment strategies.
Advisors’ Top 529 Questions, Answered
Our recent 529 Month webinar focused on how 529 plans are used, the impact on federal financial aid, and expanded uses. Here are some of the leading topics discussed.
Another Regional Conflict that Could Impact Oil Prices
The price of oil is hovering around $76 per barrel, 38% off its 5-year high. With so much geopolitical tension, why isn’t it higher?
Subscription Services: A Case Study
In the best-case scenario, subscription services are the heir apparent for the delivery of wealth management services because they bestow the greatest amount of flexibility on the advisor to help their clients achieve comprehensive and lasting financial security.
ETFs, CEFs & More: MLP Investment Products Evolve
VettaFi discusses changes in the MLP/midstream investment product landscape.
The ‘Everyone Wins’ Stock Market Is Dead — Ask Target
Target Corp.’s sales slump last quarter marked the latest example of supposed softening in US consumption, making some stock-market investors jittery that recession could still be in the cards.
4 Equity Insights From a Mostly Sunny Earnings Season
Strong Q1 earnings were a bright spot as sticky inflation and dimmed expectations for rate cuts cast some shade on U.S. equity markets. Fundamental Equities investor Carrie King looks beyond the headlines to offer four takeaways from the most recent earnings season.
Navigating Client Emotions with Behavioral Economics
There’s no denying that human emotions play a role in managing money. Even someone who’s usually level-headed can get caught up in excitement, fear, or uncertainty.
Biden Doubles Down on His Student-Loans Mistake
With his signature student-loan-forgiveness plan struck down by the Supreme Court, President Joe Biden is pushing to cancel debts by other means. His latest proposal aims to relieve nearly 30 million borrowers, on top of those who’ve received forgiveness under previous initiatives.
Biden Widens Student Loan Relief to More Than 10% of Borrowers
More than one in 10 Americans with federal student loans have been approved for some measure of debt relief under President Joe Biden, the White House said, as it announced a new round of forgiveness.
Reasons Why a Grandparent-Owned 529 May Make Sense
A grandparent may choose to fund a 529 plan for a grandchild’s education. Our Bill Cass discusses key tax and estate planning considerations as well as the impact on student financial aid.
Inflation Math Inconsistent With Economic Math in Q1 2024
To say that inflation data during the first quarter of the year surprised us and the markets is clearly an understatement and by Tuesday of this week, with the higher-than-expected Producer Price Index (PPI) print for April, markets were clearly on edge as they were also potentially expecting a higher reading for the Consumer Price Index (CPI) on Wednesday.
Bonds Are Still an Attractive Option in Current Environment
While extracting yield is a prime option for bonds exposure, the risk associated with depreciating prices shouldn't put off investors.
Decision Made: Why 529 Plans Are a Popular Choice for Education Savings
For families saving for college, 529 plans remain popular. Our Bill Cass shares some key facts about 529 plans.
Higher for Longer? Rates Could Be Higher Forever
Our holiday from history has come to an end. I am referring not to world peace but to the zero-interest-rate environment so many people expected would last forever.
Overdue Bills Are Rising With US Debt Delinquencies, Fed Survey Shows
US household debt has reached a record and more borrowers are struggling to keep up.
This Is Where You Start Bear Markets From
As of last week, the total return of the S&P 500 was even with 3-month Treasury bill returns since the valuation peak of January 2022, more than two years ago. In our view, investors continue to “grasp at the suds of yesterday’s bubble,” ignoring extreme valuations, lopsided bullish sentiment, emerging pressure on profit margins, economic conditions at the border of recession...
From College Fund to Retirement Nest Egg – Tax Free
When each of my children was born, I had their application for a 529 college fund filled out, mailed, and funded with the first $100 before they were released from the hospital.
Consider a Reset of College Savings With a 529 Plan
Understanding the broader tax benefits, 529 plans may be a more tax-efficient way to save for college than custodial accounts. Our Wealth Planning Director Bill Cass highlights several reasons to consider this strategy.
Ray Dalio’s Famous Trade Is Sputtering, Investors Bailing
It was an irresistible pitch. Give us your money, executives at Ray Dalio’s Bridgewater Associates and other hedge funds said, and we’ll funnel it into a money-minting, sure-thing strategy for the long haul.
Navigating Family Financial Support with Precision
Establishing a sense of financial responsibility in your children is a daunting yet important step in their development.
Mind the Benefits Gap
Educating workers about workplace benefits is vital to employee retention, according to findings from Franklin Templeton’s 2024 “Voice of the American Workplace” survey. Our Jacque Reardon shares findings from the survey related to what employees want—and how employers can meet these needs to benefit both parties.
529 Plan Withdrawal Rules
There are rules to follow if you set up a 529 college plan. If you don’t follow the rules, then the IRS will get involved, which is something you want to avoid.
The Strategic Advantage of Multigenerational Wealth Planning
In the competitive financial advisory landscape and ongoing quest for new clients, advisors often miss an obvious opportunity – the children and grandchildren lying within their existing clientele.
Don’t Make This Mistake With a 529 Plan
While these tax-advantaged accounts are effective tools for meeting future education needs, a 2023 analysis found that overfunding a 529 plan can result in a large tax bill if money remains in the account after the beneficiary has graduated.
Biden Has Lost the Plot on Student Debt Relief
As he announced his latest round of student loan forgiveness last week — the previous one was just last month — President Joe Biden was greeted with an unpleasant reminder of why his policy is not only ill-considered but also ill-timed.
Biden Pursues Student-Debt Relief for About 26 Million Americans
President Joe Biden’s alternative student-debt relief plan could forgive loans for as many as 26 million Americans, a far-reaching initiative that will be tested by the same challenges that beset his original program struck down by the Supreme Court.
How Does Student Loan Forgiveness Affect Someone’s Finances?
While getting your loans wiped out can seem like a lifesaver, it may come with some negative financial implications.
Eight Ways Parents Can Plan for Their Kids’ College
By taking a few key steps, you will find many practical ways to prepare financially for the college education of your children.
What Is a Dynasty 529 Plan and How Does It Work?
Dynasty 529 plans allow savvy families with significant means to potentially fund college costs forever.
The Law and Strategies to Convert a College 529 to a Roth
Beginning this year, the SECURE Act 2.0 allows owners of 529 plans to convert unused 529 funds to the beneficiary’s Roth IRA.
529 Plan versus Coverdell: What’s the Best Way to Save for College?
A 529 plan offers higher contribution limits as well as more flexibility when it comes transferability and your range of investment choices.
529s Are More Than a College Savings Tool
Most of us associate 529 accounts with college savings. They’re flexible, allowing you to transfer assets to anyone, including yourself, for the express purpose of furthering the education of your beneficiary. But did you know that a 529 can be a powerful estate planning tool?
Secure 2.0 Creates New Backdoor Roth Opportunity
Here’s a look at how a new legislative provision may be an opportunity to help jump-start retirement savings for children while saving for college at the same time.
How Does Secure Act 2.0 Change Saving for Retirement?
The year-end fiscal 2023 government funding bill contained legislation that makes the most significant changes to the U.S. retirement savings system in decades. The SECURE 2.0 Act builds on retirement savings changes passed in 2019 and contains new provisions that further raise the required minimum distribution (RMD) age, shift to automatic plan enrollment and provide for new matching/emergency withdrawal opportunities.
A Mild Recession and S&P 4,500
Very early this year our economics team got a pleasant surprise: Consensus Economics, which collects forecasts from roughly 200 economists around the world, rated us the most accurate forecasters of the United States for 2022, based on our forecasts for GDP and CPI. Unfortunately, we don’t expect a repeat award for 2023.
Private Credit Should Be Welcomed — and Watched
Since the financial crisis of 2008, policymakers have been cracking down on leverage at banks. As a result, banks cut back on any lending that didn’t seem profitable enough if it wasn’t juiced by leverage.
Top Themes of 2023
The economics teams looks back at the most significant stories we covered during 2023.
Timing the Market is A Fool’s Errand
Trying to outperform the market by timing exits (just before the bear awakens from its hibernation) and entries (as the bull enters the arena) is a fool’s errand.