These Investments Should Come with a Warning Label

These Investments Should Come with a Warning Label

Exchange-traded products (ETPs) have been lauded by investors and investment professionals for helping to democratize investing. The most popular type of ETP is the exchange-traded fund, better known by its acronym ETF. Exchange-traded notes (ETNs) are a lesser known type of ETP. ETNs differ from ETFs in that ETNs don’t hold underlying securities, like stocks or bonds. Rather, they are unsecured debt instruments issued by a bank that promises to pay the performance of an underlying investment, typically an index or basket of securities.

The Biggest Sector Structure Change in GICS History

The Biggest Sector Structure Change in GICS History

On September 21, 2018, the Global Industry Classification Standard (GICS) sector structure will experience the biggest change in its history. Specifically, the Telecommunication Services sector will be broadened to include companies from the Consumer Discretionary and Information Technology sectors and renamed Communication Services.

What’s the Point?

What’s the Point?

Whether you are a first time home buyer or a seasoned mover, there are many intricate details involved with taking out a mortgage. If you are purchasing or refinancing a home, there may be an opportunity to lower the interest through buying mortgage points. Although a lower interest rate sounds appealing, there may be drawbacks depending on your unique situation.

The Longest Bull Market in History?

The Longest Bull Market in History?

When the closing bell rang on Wednesday, August 22, 2018, many media outlets were quick to celebrate the longest bull market in United States history. However, there are many investment professionals and historians who beg to disagree with this notion. You’re probably asking yourself how can there be a disagreement on whether this bull market is the longest ever? It either is or isn’t. It’s black or white. Day or night. Unfortunately, it’s not that simple.

The Changing Dynamics of Emerging Markets’ Economies

The Changing Dynamics of Emerging Markets’ Economies

The MSCI Emerging Markets Index looks significantly different today than it did at its inception thirty years ago. For one, the market capitalization of emerging markets companies has increased from $52 billion in 1988 to $5.3 trillion as of May 31, 2018. This underscores the ability of emerging markets countries to contribute to the global economy, especially as global markets have expanded.

The Second Longest Ever Period of U.S. Economic Expansion Continues

The Second Longest Ever Period of U.S. Economic Expansion Continues

When the calendar turned from July to August, the United States economy celebrated its 109th consecutive month of expansion. This current period, which began in June 2009 following the Great Recession, is the second longest economic expansion in the history of the United States. While this current economic expansion is one for the record books, it sure hasn’t felt that way for a range of Americans who still don’t feel financially secure. As the chart below shows, annualized real gross domestic product (GDP), which is a measure of economic growth, is the lowest of any economic expansion since 1950.

An Umbrella What?

An Umbrella What?

Protecting yourself and your family is top priority for most, and households purchase different types of insurance to ensure that they are properly covered from unforeseen events.

A very important form of insurance that people frequently overlook is Excess Personal Liability, which is commonly referred to as Umbrella insurance. Umbrella insurance provides additional liability coverage above the limits established through other basic liability policies like auto and homeowner’s/ renter’s. Umbrella insurance is designed to help guard against large and potentially devastating liability claims or judgments caused from bodily injury, property damage, lawsuits, libel, and slander.

The Same Names at the Top

The Same Names at the Top

Since the start of the U.S. stock bull market following the Great Recession in 2009, consumer discretionary and technology have been the best performing sectors of the S&P 500. In the first half of 2018, that trend continued. It is not uncommon for market sectors to experience long periods of strong performance, but what has some in the financial media buzzing is that the same handful of technology companies continue to be among the best performers.

Understanding Your Federal Student Loans: Part 3

Understanding Your Federal Student Loans: Part 3

The first two articles in the series, “Understanding Your Federal Student Loans”, provided an introduction to student loans, how to evaluate your loan options, and incentives associated with Federal loans.  The final article, Part 3, in this series will explore the alternatives to traditional, federal student loans.

Designating a Successor Family Chief Financial Officer

Designating a Successor Family Chief Financial Officer

Every couple has its own unique way of divvying up the household’s financial chores. This may mean one spouse is in charge of investments and one spouse is in charge of paying the bills, or one spouse could assume all the financial responsibilities. In the latter case, the responsible spouse effectively assumes the role of the family’s chief financial officer (CFO).

An Emerging Markets Shakeup

An Emerging Markets Shakeup

China is one of the fastest growing economies in the world and is home to some of the best-in-class businesses, particularly in the technology industry. However, most investors domiciled outside of China have had limited access to these Chinese companies. China’s capital markets are not fully open to foreign investors because the Chinese government does not allow the free flow of capital into or out of mainland China.

Is Amazon a Technology or Retail Company?

Is Amazon a Technology or Retail Company?

Sector investment strategies have been around for decades and the proliferation of exchange-traded funds, or ETFs, have made these investment strategies available to the masses at a relatively low cost. The problem with sector investment strategies is that while businesses change with technological advancements, the traditional sector classification system has remained unchanged.

Trust The Process

Trust The Process

I am not a fan of basketball, but one story this year caught my attention. The Philadelphia 76ers, who were far and away the worst team in the National Basketball Association over the past few seasons, surprised many fans and basketball insiders alike when they won 52 games en route to the number 3 seed in the Eastern Conference playoffs. For the 76ers players and fans, the mantra “trust the process” served as a rallying cry for the team throughout the season and into the playoffs.