A soft landing is achieved when an economy moves from a growth period in a business cycle to that of slow growth, or no growth, while avoiding a recession. In the U.S., hard and soft landings...
What are the benefits of individual bonds over bond mutual funds when investing in fixed income?
There are unique risks and benefits to investing in either individual bonds or in bond mutual funds. We have detailed a few of these risks and benefits below. Price Stability of Individual Bonds vs....
How can I help my children / grandchildren start investing?
As a parent or grandparent, you want to help guide your loved ones towards a path of success. Teaching them about compound interest and the importance of investing early in life will help guide them...
Should I consider investing in U.S. Treasury Series I Bonds?
Interest rates remain at historically low levels. While we expect the Federal Reserve to start a path toward higher interest rates in March, we are also experiencing high inflation. This can put a...
What is the role of dividend-paying stocks in a portfolio?
In our last Q&A, we discussed the role of fixed income (or bonds) in a balanced portfolio. Continuing on the topic of balanced portfolios, dividend-paying stocks also play a key role in balanced...
What is the role of fixed income in a balanced portfolio?
Balanced portfolios combine various asset classes and investment strategies to balance an appropriate level of risk with an acceptable level of return. These portfolios are typically comprised of a mix of equities (i.e. stocks) and fixed income (i.e. bonds). Historically, bonds have served three major purposes in balanced portfolios: diversification, capital preservation, and income generation.
What is my risk tolerance, and why is it important?
Risk tolerance refers to the amount of loss an investor is prepared to take on when making an investment decision. Everyone has a different level of risk tolerance based on their personal financial situation and stage of life, and this level of tolerance plays a critical role in determining the allocation of your portfolio.
Why didn’t you include XYZ stock in my portfolio?
We get this question on a regular basis, usually when the stock in question has recently been in the news and has seen a meaningful move higher in price. When building portfolios, we choose high-quality companies with consistent and predictable earnings through a detailed evaluation process.
Wealth Management Q&As
Wealth Management is more than investment management. It considers the larger picture. While your investments are critical to your success throughout retirement, it is also important to understand how your taxes, finanical plan, estate, and insurance can affect both your overall situation. Do you know when you should begin collecting social security to maximize its benefit? Have you followed the necessary steps to help your assets pass efficiently to your heirs, avoiding probate? If 529 plans are applicable to you, have you considered 529 plan superfunding or how to maximize 529 plan tax advantages? Our wealth management Q&As consist of popular topics among our clients and are not limited to investment management.