By Eve Kaplan, CFP® We’re celebrating 10 years of a remarkable bull market in US stocks. Here are 5 lessons reinforced during this time: Lesson 1: Stay the Course When Things Get Rough The 2008-09 crash seemed to be The End of the World because the entire banking system (with knock-on effects worldwide) was in […]
Category: Investing
Better Annuities Are Fixed Annuities
by Eve Kaplan, Certified Financial Planner ™ In my prior article I explained the kinds of annuities that are “bad” or “ugly” for investors: virtually all variable annuities, including indexed annuities (that are misleadingly categorized at a type of fixed annuity). My objections have to do primarily with cost and the fact that they often are sold […]
Invest Like a “Tortoise” — Not Like a “Hare”
by Eve Kaplan, Certified Financial Planner(R) Aesop’s “The Tortoise and the Hare” is a perfect metaphor for the way people go about investing their money. As you recall in the fable, the hare brags about his ability to beat the tortoise and is overly confident about winning. In the investment world, the hare is someone […]
Market Forecasts: Helpful or Useless?
By Eve Kaplan, Certified Financial Planner® The financials industry spends a lot of time and money on preparing stock and bond market forecasts – especially at this time of year — but are they “helpful” or “useless” when it comes to making investment decisions? In my opinion, most of these forecasts have little predictive power. […]
“It’s Greek to Me!” – Understanding Your Investment Statements
By Eve Kaplan, Certified Financial Planner™ Note: I recently gave a seminar at the Bernards Township Library in Basking Ridge, NJ. Here are a few points that we touched on. When you look at your monthly investment statement, do you think “this looks like Greek to me”? Do you ignore all but the first page, […]
Are You a Near-Sighted or a Far-Sighted Investor?
by Eve Kaplan, Certified Financial Planner(TM). Are you a Near-Sighted or a Far-Sighted investor? If you’re a near-sighted investor, you probably check your investment balances frequently (even several times a day) and you feel good when your investments are up. Your focus is short-term, even though you may live another 30-50 years. Conversely, you worry or feel regret when […]
Five Easy Pieces of Investment Advice
by Eve Kaplan, CFP(R) Professional Here are Five Easy Pieces of Investment Advice that can s-t-r-e-t-c-h your investment dollars. The first 3 “Pieces of Advice” are connected. It’s a good practice to verify if your broker or advisor is following these tips or not (I’m always amazed to see how many money managers disregard these […]
The 3 Main Investment Styles: Pros and Cons
By Eve Kaplan, CFP® There are pros and cons to investing in the three main investment styles: active, passive and “evidence-based investing.” The benefits of “evidence-based investing” will be clearer after reviewing “active” vs. “passive” investing styles. 1. Active Investing through Mutual Funds: “Active” investors aim to “beat the market” (or a portion of a […]
How to Handle Market Turmoil
It’s hard to avoid reacting to market turmoil when you’re hit by a tsunami of dire investment warnings and falling prices. In 2008, the problem was credit risk fears and collapsing home prices – along with $100/barrel oil prices. This time the culprits are different (China economic growth worries, falling oil prices, etc.) but the […]
Annuities: The Good, The Bad and The Ugly
By Eve Kaplan, CFP® Professional Are annuities Good, Bad or Ugly? It depends on your needs, and on the type of annuity. An annuity is a lump sum of cash invested to produce a monthly stream of income for a fixed period or for life. The income can start now (immediate annuity) or in the […]