CFOs expressed growing optimism for their own firms, with average optimism at 73.2 on a scale of 0 to 100 — above the fourth-quarter 2020 reading of 71. When asked to rate their optimism about the overall U.S. economy, the average rating was 67.7, which was a marked increase from the 61.6 reading in the fourth quarter.
The S&P 500 scraped its way to a record close on Wednesday in a mixed day of trading as the Federal Reserve indicated it would remain committed to policies supporting economic recovery. Eric Schiffer, CEO of the Patriarch Organization told MarketWatch he believes the market still likely “has room to run.”
Your preferred financial news source is always talking about the next wave sweeping over the financial advisory profession. That’s with good reason, technology has made access to different ways of doing business much more possible in the 2010s and 2020s than they ever were before.
The SEC alleges that actor Zachary Horwitz misappropriated investor funds for his personal use, including the purchase of his multi-million dollar home, trips to Las Vegas, and to pay a celebrity interior designer. Horwitz’s credits as an actor include low-budget features such as “Trespassers.”
The U.S. economy’s recovery from the pandemic continues to surpass our expectations, aided by the accelerating vaccine distribution, massive stimulus, and America’s desire to resume some semblance of normal daily life.
Rapid vaccine rollout in the United States and passage of its $1.9 trillion fiscal stimulus package have boosted its expected economic recovery. In anticipation, longer-term US interest rates have risen rapidly, with the rate on 10-year Treasury securities going from under 1 percent at the start of the year to over 1.75 percent.
Testing and vaccination for the coronavirus is free thanks to laws passed last year. Treatment isn’t, however, and may be about to get more expensive. The national public health emergency period ends April 21, though it may be extended by 90 days given we’re not out of the woods yet.
If you are fan of Warren Buffett, you may have seen his most recent opinion about investing in bonds. In his annual shareholder letter, he basically said if you own them, you face a bleak financial future. But bonds are a part of almost all prudent asset allocation strategies.
The coronavirus pandemic was unprecedented in how deeply it damaged the U.S. economy, as well as in how significantly the federal government responded. The $5 trillion in COVID-19 relief spending lawmakers passed in the last year has far eclipsed how much they doled out during the Great Recession and other downturns.
But by rising to the challenge of the worst global pandemic in 100 years, advisors who went above and beyond served as successful examples of how to navigate emergency situations while bolstering client loyalty.
What more can we say other than few months have been kinder to stocks lately than the month of April. In fact, it was last year that saw the S&P 500 Index gain an incredible 12.7%, for one of the greatest one-month gains in history.
Although the main principles of economics were established decades ago, the discipline is constantly evolving. One of the most recent contributions has been a new field called “behavioral economics.” Here, scholars have developed ideas explaining why- in some cases- individuals appear to go against their own self-interest.
Generally speaking, when inflation fears increase, bond prices decrease and rates rise, which is what we’ve seen in the bond markets recently. In fact, the primary reason we’ve seen falling bond prices/higher interest rates since bottoming in March 2020 and again in August of last year, has been growing fear of inflation.
What are the risks of listening to TikTok personal financial advice? TikTok just presents a new medium for people to spread it. But there is a whole other side of TikTok that spreads rumors, lies, and scams.
The original will might be “safe” in a safe deposit box, but it would be inaccessible without a probate judge’s order — and what does a judge need to make that order?
Furman Alexander Ford, 51, worked as an adviser for New York Life between 2012 and 2015. His major client, identified as “E.J.,” had inherited property worth $1.3 million, which Ford helped to sell and use the money to set up a charitable annuity.
The New York comptroller estimates the bonus pool for workers in the securities industry — which includes stocks, bonds and derivatives — also grew to $31.7 billion from December to March of this year, increasing from $29.7 billion from December 2019 to March 2020.
A year after the pandemic plunged the U.S. economy into it worst crisis since the Great Depression, Federal Reserve Chairman Jerome Powell is largely satisfied with the central bank’s rapid-fire response. Powell credited Congress for supplying trillions of dollars in support to struggling families and businesses.
The financial industry is fixated on boomers and their kids, the millennials, but the generation in between has the numbers and the dollars to warrant rapt attention, says Chip Roame of Tiburon Strategic Advisors.
Enforcement action increased on retail investment products such as variable annuities last year, according to the latest Eversheds Sutherland report. Expect more of the same in 2021.
Without the grace period, annuity agents and advisors in Virginia must be in compliance on May 1, which does not give enough time to get ready, IRI says.
The realization that most Americans aren’t ready for retirement has caused many states across our country to take initiative to help increase retirement plan access and savings by implementing state-run programs.
Picking up the phone is often a last resort for wealthtech clients because of their past negative experiences with customer service, so it is essential to create a platform that is user-friendly and has an interface that facilitates learning.
Exactly one year ago today, the Federal Reserve announced it would step in to start buying corporate bonds. The market had frozen up during the pandemic and the Fed’s move helped companies borrow money at low interest rates.
This decision to postpone retirement is driven primarily by financial reasons, MetLife said, with respondents citing the top reasons for the delay as a continued need for a monthly income (31%) and that the pandemic has impacted their ability to save (23%).
With millions of Americans getting vaccinated and a $1.9 trillion stimulus package signed into law, hopes are rising that the end of the pandemic is finally in sight — and with it, the comeback of the U.S. economy.
Jamie Hopkins, Director of Carson Coaching, returns with more video tips on what is happening with Social Security funding issues. The pandemic exacerbated Social Security funding issues and retirement plans might need to be looked at as a result.
It’s no secret that many American parents want to support their kids by paying for their college education. According to recent Ameriprise research, 87 percent of parents today already have paid for or plan to assist with these costs. Furthermore, 33 percent of respondents have delayed their own retirement, or plan to.
Though each generation experiences economy-related obstacles that impact their personal finances, the challenges U.S. millennials face are especially unique. A Federal Reserve report studied the financial health of this generation, defined as those born between 1981 and 1996, doubled their assets to achieve over $10 trillion.
As the stock market makes new highs and headlines, the pundits continue to debate which stocks will outperform. And how high could the stock market go?
By adopting best practices now and having an open mind to the future, advisors can ensure that their post-COVID work policies contribute to a productive, fair and growth-oriented office culture.
President Joe Biden signed the sweeping $1.9 trillion coronavirus relief package last week, and $1,400 checks are already arriving in individual bank accounts. Although the checks are getting the most attention, several items in the bill will help small-employer agencies and advisor businesses, trade association executives say.
A new LendingTree survey finds that many Americans may let luck or superstition influence their homebuying behaviors. More than a third of Americans have decided against buying a home because of a superstition. Men are more likely than women— 51% versus 27%, respectively— to skip out on a home purchase for superstitious reasons.
We’ re three months into 2021. Maybe you planned to build a $1,000 emergency fund, but the balance is still zero. “There’ s nothing magical about New Year’ s, and you don’ t have to wait until 2022 to try again,” says Amy Hubble, a certified financial planner and founder of Radix Financial LLC in Oklahoma City.
A recent $1.9 trillion coronavirus relief bill did not include any provision to cancel student debt, even though Biden and members of Congress had discussed forgiving anywhere from $10,000 to $50,000 in student debt.
The Oregon Division of Financial Regulation issued $220,000 in civil penalties, and Raymond James Financial Services, Inc. agreed to pay $123,279 in restitution to the victims of the excessive trading practices of Gary Dodds.
The Securities and Exchange Commission today announced fraud charges and an asset freeze and other emergency relief against an Irvine, Calif.-based trader who used social media to spread false information about a defunct company, while secretly profiting by selling his own holdings of the company’s stock.
The study reveals that U.S. millionaire investors – households with $1 million to $5 million in net worth, not including the value of their primary residence (NIPR) – increased by 600,000 to 11.6 million in 2020, a 5.5 percent increase over the previous year.
The fall in Treasuries yields, U.S. government bonds, supported gains in the stock market, which operated volatile for most of the day. Actions sensitive to the U.S. economic scenario have benefited from the implementation of the country’s $1.9 trillion tax package, as well as discussions on more investments in the infrastructure sector, which can be funded by…
With the NCAA college basketball tournament getting underway this week, LPL Research is getting in the spirit with its own version of March Madness. Here we share our “Final Four Factors” for the stock market in 2021: Vaccines, Policy, Profits, and Rates.
To build sufficient retirement income, you need to invest in the financial markets through your 401(k), IRA and other accounts. But how should you respond when these markets go through periods of volatility? Your best defense is to remain invested.
Q: I have a 401 account and multiple IRA accounts. It should arrive in a white envelope bearing the Department of Treasury seal. The card should have a Visa logo on the front and on the back the name Metabank, the bank that issued the card.
Even as credit spreads have narrowed considerably off their widest levels, further value remains as the global search for yield motivates investors to allocate to selected investment grade and high-yield corporate bonds, and structured credit.
Investment analyst Michael Batnick, blogging at the Irrelevant Investor this week, posted what he called the most important chart of the decade. It showed the personal savings rate going back to 1960, and what leaps off the page is how Americans stashed so much money away in the terrible pandemic year of 2020.
Having good rapport with prospective clients is often deemed more important than educating them. A lot of bright and talented young people I meet and speak with today are passionate about serving clients. Many of them also worry that being introverted or quiet will disqualify them from fulfilling that mission.
A year ago, stock markets went into free-fall as the scale of the coronavirus crisis became apparent and countries desperately locked down to try to halt the pandemic. A year on, they have more than recouped the lost ground, some of them even driven to record highs by a tidal wave of cheap stimulus money.
The Securities and Exchange Commission charged George Heckler, of Charleston, S.C., for operating a decade-long investment adviser fraud through two private hedge funds, Cassatt Short Term Trading Fund LP (Cassatt) and CV Special Opportunity Fund LP (CV Special), that Heckler formed to conceal massive losses.
Advisors’ practices are not immune to the business impact of COVID-19. Just as expectations for profitability have declined dramatically for the most successful advisors and financial professionals in 2020, only 52% of all other advisors and financial professionals expected the profitability of their practice to increase in the next 12 months.
The COVID-19 pandemic has made Americans even more aware of the importance of planning for the unexpected. While no one knows exactly what’s in store for the future, one thing your clients can do for loved ones is create an estate plan that expresses their wishes in the event of incapacity or death.
Help is on the way through the new stimulus bill President Joe Biden is expected to sign this week. The new stimulus bill includes $20 billion in renters assistance, that’s in addition to the $25 billion passed in December, which is meant to help renters and landlords.
Jamie Hopkins, Director of Carson Coaching, returns with more video tips on how to handle the 10-year stretch period for an inherited retirement account.
The Securities and Exchange Commission has charged AT&T, Inc. with repeatedly violating Regulation FD, and three of its Investor Relations executives with aiding and abetting AT&T’s violations, by selectively disclosing material nonpublic information to research analysts.
Planning for emergencies by building — or rebuilding if the COVID-19 pandemic required making a withdrawal — a savings account to withstand the unforeseen can increase confidence in your overall financial health and reduce worry that a significant life event will negatively impact your finances.
Every American knows how critical video meeting platforms like Zoom have been holding our families and workplaces together in the past year. For many financial advisors, learning how to use such programs was the push they needed to catch up with a key technological trend.
The pandemic continues to create financial challenges for all Americans, but research shows that minorities are among those hit hardest. Lincoln Financial Group’s October 2020 Consumer Sentiment Tracker found Black consumers are most likely to have experienced job loss as a result of the pandemic.
If the government were not paying near-zero interest rates on its borrowing, then rolling over the $21.8 trillion national debt, which recently rose above 100% of GDP, might be a severe challenge. At whatever interest rate, the debt threatens to crowd out crucial spending for national defense, science, etc.
The Securities and Exchange Commission’s Division of Examinations today announced its 2021 examination priorities, including a greater focus on climate-related risks. The Division will also focus on conflicts of interest for brokers and investment advisers.
Turmoil in the bond markets, improving economic indicators, and a raft of government aid has economists and investors wondering: Is inflation set to rise in 2021? The likely answer is yes— but only by a healthy amount, and in the short term, because of how activity will resume as the pandemic subsides.
Robinhood has long capitalized on the belief that the little guy gets screwed by Wall Street. Now that story has boomeranged on the eight-year-old brokerage.
The Securities and Exchange Commission today charged seven individuals and a technology company in connection with a fraudulent scheme to gain control of Airborne Wireless Network, promote its stock, and defraud investors.
These days in Washington, every policy announcement and appointment is dissected as hugely significant if not revolutionary. It’ s just a fact of life in this seemingly endless pandemic, in this hammered economy, after this presidential election.
Investors have been forced to cope with an extremely low interest rate environment for an extended period of time, which creates challenges for those who need to maintain a level of liquidity in their portfolios to safeguard their investments, or are saving for near-term goals.
Behavioral finance is the area of economics that studies how the financial decisions we make are influenced by factors beyond a purely logical analysis of the situations we face. Specifically, it studies how our biases and emotions affect the manner and quality of our decision-making.
As part of its continuing effort to respond to potential attempts to exploit investors during the recent market volatility, the Securities and Exchange Commission suspended trading Friday in the securities of 15 companies because of questionable trading and social media activity.
Many Americans are in need of another lifeline, like the $1,400 direct payments proposed under President Joe Biden’s $1.9 trillion American Rescue Plan, as the country approaches a year spent in the grips of the coronavirus pandemic.
The average retirement age in the United States last year was 61, but most retirees are unable to collect full Social Security benefits until 67. According to the American Association of Retired Persons, the average U.S. retiree earned $1,543 per month from Social Security.
Federal Reserve Chair Jerome Powell underscored the U.S. economy’s ongoing weakness Tuesday in remarks that suggested that the Fed sees no need to alter its ultra-low interest rate policies anytime soon. “The economic recovery remains uneven and far from complete, and the path ahead is highly uncertain,” Powell said.
Planners spend their days meeting with clients, working on plans, educating themselves, keeping up with responses to calls and emails, marketing, and trying to find moments to gather their thoughts. The to-do list can feel overwhelming and unapproachable. But, it is possible to organize these tasks and take back control of your time.
Interest rates have remained low for nearly a year due to COVID, which has fueled substantial mortgage refinance activity. However, as current political and economic factors evolve, Freddie Mac is reporting a fluctuation in rates.
The Securities and Exchange Commission today suspended two former KPMG auditors from practicing before the SEC in connection with settled charges against the two for improper professional conduct during an audit of the now defunct, not-for-profit College of New Rochelle.
About half of all younger adults surveyed also reported that COVID-19 prompted their interest in estate planning. Despite the growing interest among younger adults, most Americans still fail to take any action beyond talking to loved ones about estate planning, with 67% overall not yet having a will.
Despite the turmoil the world has experienced since the outbreak of the pandemic, the S&P 500 marched forward to set new all-time highs less than 6 months later on August 18 and hasn’t looked back. So after such a wild year since the market peaked on this day in 2020, what have we learned?
Many are hoping President Joe Biden will take steps to ease what’s become a massive student debt problem. Supporters say that debt, more than $1.6 trillion currently, is holding back the American economy, keeping people from buying homes, getting married and otherwise taking their next steps in life.
Former White House National Economic Council Director, Larry Kudlow, is joining The Bahnsen Group, a $2.6 billion national wealth management firm with offices in New York City and Newport Beach, California, as an economic advisor.
For the average, middle-class American, an emergency fund should contain between three and six months’ worth of expenses. Americans in two-income households can more safely err toward three months’, though the risk is still higher with that arrangement.
Keith Gill went from YouTube and Reddit fame as the investor who helped inspire the runup in GameStop stock to a star witness in a congressional hearing this morning. And he did it all from his big, red gamer chair.
In days past, premerger planning consisted of a series of face-to-face meetings, which allowed the buyer and seller to build a relationship before heading into legal and financial considerations. But remote RIAs don’t have the luxury of in-person meetings.
When the pandemic hit in early 2020 and the entire economy hunkered down, demand collapsed. We were not driving to work, going to restaurants, or taking vacations and business trips. Suddenly, there was gasoline at the gas stations with no takers, perishables that restaurants were not buying, and theme parks and malls shut down.
The Dow Jones Industrial Average hit a new record high on Wednesday while tech stocks dragged the other major U.S. indexes down. Verizon stock and Chevron stock helped to lead the Dow higher, gaining 5.19% and 3% respectively, after filings showed that Warren Buffett’s Berkshire Hathaway had large stakes in both companies.
“My sense is that the regulation has evolved to such an extent that many people think it should be part of the portfolio,” says Rick Rieder, chief investment officer of global fixed income at BlackRock.
When investors think about income, or yield, they would normally think bonds first. Next they might think about getting extra yield from their stock portfolios, maybe with a dividend strategy that might be heavy on real estate investment trusts (REITs) and utilities.
Interest rates continue to remain low and that’s putting the potential for families to save tens of thousands of dollars by refinancing to a 15-year mortgage. Experts don’t see interest rates rising anytime soon. The Federal Reserve wants to keep people borrowing to stimulate the economy.
The Securities and Exchange Commission released the first proposed changes in the rules affecting advisor advertising in 40 years. But what did they change?
Making good financial decisions can be difficult, even for smart people. One reason is that most people make decisions based, in large part, on their biases and the emotions they are experiencing at the time rather than a thorough review of the facts.
Jamie Hopkins, Director of Carson Coaching, returns with more video tips on how trusts previously set up to help clients need to be reviewed for language that might conflict with new provisions of the SECURE Act.
January was a month of transition. Markets took a break, with small gains or declines. The presidential inauguration handed the reins from the Trump administration to the Biden administration. What will February and March bring?
Talking about money may be one of the most difficult conversations to have with family, but, ironically, they can help to strengthen the bonds. Family meetings can provide a platform for healthy dialogue on topics that may never be discussed without such an opportunity.
In the coming weeks, Congress will begin hearings to address the GameStop frenzy that hit the market two weeks ago, when a band of casual traders on Reddit pushed up the company’s stock price so hedge funds who bet on the price going down would lose billions.
After Tesla announced it has invested $1.5 billion in bitcoin and expects to start accepting the cryptocurrency as a payment for its electric vehicles in the near future, the bitcoin price went soaring. It went from around $39,400 to an all-time high of over $48,000 in less than 24 hours.
Some prospective retirees may look forward to traveling once they no longer have to go to work each day, while others may plan to return to school. Regardless of how adults envision spending their retirement, they’re going to need money when they’re no longer being paid by their employers.
Nearly three-quarters (70%) of Americans are considering adding another source of income after witnessing the economic damage caused by the COVID-19 pandemic, according to a survey released today from the National Association of Personal Financial Advisors (NAPFA).
Remarks by Federal Reserve Chairman Jerome Powell, who reassured investors interest rates will remain low for some time to spur the economy and jobs growth, provided no new insights on the U.S. central bank’s stance on monetary policy.
During the financial crisis, the American Recovery and Reinvestment Act of 2009 was passed to stimulate the economy. It appeared to have little impact, as the economy grew at an average rate of 2.3% for eight years. Will a stimulus have a different result this time.
A key determining factor of someone’s ability to build wealth in America is homeownership, and as retirement faces a mounting series of challenges, that ability to build wealth can factor crucially to an older individual’s retirement plans. Employing the housing asset can be an important piece of building wealth, Forbes says.
The resilience of the US economy continues to exceed our expectations. With encouraging progress toward ending the pandemic, and massive fiscal stimulus in place—and more likely coming soon, our prior economic growth forecasts may prove overly conservative.
According to Conning, high dividend equity strategies can serve institutional investors in this period of low interest rates by enhancing income and portfolio diversification along with the potential for capital appreciation.
Fewer consumers report consulting financial professionals in 2020 vs. 2019, according to research from Hearts & Wallets. Bank and insurance reps show the biggest decline, a 10-point drop, in consumers turning to them as sources for investment information and advice.
Jamie Hopkins, Director of Carson Coaching, returns with more video tips on how to best advise and prepare clients for retirement. In this video, Hopkins discusses how to appropriately “layer” annuity purchases as part of an effective retirement income plan.
Cetera announced a deal today to acquire certain assets related to the independent financial planning channel of Voya Financial Advisors (VFA). Through this acquisition, VFA independent financial professionals providing holistic financial planning to 385,000 retail customers with nearly $40 billion in assets will become part of Cetera.
The Legacy IRA Act gives middle-income seniors more flexibility to make gifts to charities through their individual retirement accounts (IRAs). It would expand the IRA Charitable Rollover by enabling seniors age 65 and over to give up to $400,000 annually tax free to an annuity held by the charity of their choice.