AdviceIQ Articles

  • New Annuities to Defer Taxes

    The tax bill Congress passed at the beginning of this year is a boost for a new generation of low-cost variable annuities. As tax rates rise while variable annuity costs fall, it may be time to once again look at annuities for tax deferral, especially for high-income earners.

    New annuities, especially when used strategically to shelter high-return but tax-inefficient investments, can offset their costs with tax-deferral benefits in as little as a year or two.

  • Money Lessons for Teens

    When your kids near college age, you need to do everything you can to prepare them for financial adulthood. Many parents neglect this duty and hope that, like an infant thrown into a pool, their teenager learns to swim in deep financial waters with no instruction.

  • Is Your Pension Safe?

    Traditional pension plans, while shrinking in number, still cover millions of Americans, who depend on the income for their retirement.

    The city of Detroit recently filed the largest municipal bankruptcy in history. One of the potential casualties will likely be the city government’s retirees.

  • Why to Invest Like a Girl

    Men traditionally dominate the financial world, but women are actually better investors. Women are less impulsive and stick to a plan. Some male investors should take notice.

    Research sketches out how women differ from men when it comes to investing. According to a study by Barclays Wealth and Ledbury Research in 2011, women do indeed make more money in the stock market. We tend to take fewer risks, do more research before we invest and follow a buy-and-hold strategy.

  • A Simple Guide to Finances

    Some folks think financial planning is very difficult. While certain aspects are hard, such as constructing the right asset allocation to meet your goals, the basic concepts are not. The best approach to organizing your finances is the KISS rule: “Keep it Simple, Stupid.”

    KISS helps you refine your elevator speech, write concisely… and can boost your financial health. KISS can help you cut through the endless avalanche of financial and investment information. 

  • Contributions vs. Growth

    The two ways to grow your portfolio are through contributing your own savings and market returns. In the latter stages of life, your own contributions have a much larger impact on your overall savings.

    Obviously, saving $6,000 every year is better than saving just $6,000 once. But the contributions that you make earliest in life matter the most. The longer these funds stay in the market, the more you benefit from the magic of compounding returns.

  • Predicting the Ups and Downs

    Much of our financial future hinges on the stock market, yet most people can’t tell a put option from a call. On a recent day the Dow Jones rose .01%. Two days later it rose .02%, rebounding from a drop one day the week before of .03%. Why does the stock market go up and down every business day?

  • Conquering Student Debt

    If you just finished college or grad school, it’s time to find the best program to pay back your student loans. Thankfully, there are options for those of us who don’t have the high income to pay off debt quickly. Some have similar names but very different benefits, so it’s important to know the differences.

  • Relatives as Business Partners?

    Every now and then I get a call from a client wanting my opinion about starting a business with a friend, investing money in a family member’s venture or co-signing a loan to help a relative buy an enterprise. Dealing with these propositions can be very tricky.

    Being in business with family is something I know a little bit about, having been in partnership with my father and brother for 40 years. Business partnerships with family members or close friends can carry a high degree of risk, both financially and emotionally.

  • No Great Rotation – Yet

    Recent movements of investor money out of bond funds does not mean a major asset allocation shift has ignited. While a big realignment – known as the Great Rotation – is likely at some point, it’s too early to tell if the change is permanent, and the re-channeling may reverse itself.

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