Submitted by Nicholas Atkeso... on Fri, 10/17/2014 - 9:00am
The epic bond rally that began in the early 1980s seems about to end, as the Federal Reserve eyes raising interest rates. So investors keep hearing about a so-called Great Rotation out of bonds into stocks. Well, it’s not happening, due to lingering leeriness about equities after the horrendous market slide that the financial crisis created – memories that this month’s slide have reinforced.
Submitted by Jeff Stimpson on Wed, 10/15/2014 - 3:00pm
The explosion of the 401(k) and decades of dwindling employer pensions powered mutual funds to dominance in the investing landscape. The funds, once meant to simplify investing for the little guy, flourished to the point of becoming almost as confusing to pick as individual stocks. What can you look for?
Submitted by Dan Crimmins on Wed, 10/15/2014 - 9:00am
War rages in the Middle East and Ukraine. An economic deceleration dogs China. Once again, Japan struggles to revive its economy. Europe heads into another economic slowdown. Why bother investing outside America?
Because the U.S. no longer dominates world stocks, foreign troubles will eventually abate and overseas bargains now abound.
Submitted by Brenda P. Wenning on Tue, 10/14/2014 - 9:00am
Around the globe, government manipulation of currencies and stock markets are increasingly common. The likely outcome: a huge mess, menacing the world’s economies, including that of the U.S.
The value of money is variable. The currency of one country continuously fluctuates in value relative to the currency of every other country – and owing to global interdependence, those fluctuations can have a dramatically baleful economic impact.
Submitted by Yale Bock on Mon, 10/13/2014 - 9:00am
What’s odd about this stock rally is how it over-reacts to events, such as turmoil overseas, that show little ability to harm the U.S. economy – which after all is what American equity values are mostly based on.
Consider the latest market buffeting. In September, the Dow Jones Industrial Average lost 0.31%, the Standard & Poor’s 500 fell 1.58%, and the Nasdaq dropped 2.15%.
Then on Oct. 1, the markets really got hammered. The Dow slid 1.4%, the S&P 500 1.32% and the Nasdaq 1.59%.
Submitted by Josh Patrick on Fri, 10/10/2014 - 12:00pm
You know you need to put money away. You might want to save for retirement or for your child’s education or just need a rainy-day fund for emergencies. Whatever your target, know that different financial goals require different strategies.
I hate it when a client says, “I have X amount of dollars to invest” and yet won’t tell me anything about his or her goals. I can’t give you a good answer unless I can understand what you’re trying to accomplish with money.
Submitted by Joseph A. Clark on Fri, 10/10/2014 - 9:00am
The stock market rally of 2014 is not uniform. Turns out that not all stocks are created equal. Small–cap stocks are negative this year, at odds with their historical tendency to do well in an economic expansion. That sounds a cautionary note for investors.