Eric Reed

Custodial accounts allow you to manage finances for a child or other minor. Usually, these types of accounts are set up by a parent, relative or guardian on behalf of a family member, although this… Read more

Index funds minimize risk by tracking a market metric, like the S&P 500 or a specific industry as a whole. Hedge funds maximize profits by taking high-risk positions and making investments that… Read more

The strangle is an options strategy that you create out of multiple options contracts to maximize your upside while minimizing your risk. With the strangle, you generally believe you know which… Read more

The straddle is an options trading strategy, so named for the shape it makes on a pricing chart; your position literally “straddles” the price of the underlying asset. With the straddle, you trade on… Read more

Investors use many metrics to pick stocks. Some pursue certain industries, for example, while others invest based on price changes and trends. One common strategy is to focus your trading on either… Read more

In the last few years, something called a special purpose acquisition company (SPAC), has become a popular way to raise capital. A SPAC, also known as a blank check company, bears some resemblance to… Read more

The foreign currency market (“forex”) has a lot in common with the stock market. Both are speculative ways of investing, meaning that they offer higher risks and higher rewards than many other assets… Read more

Investors tend to use the terms “stock” and “share” interchangeably, and usually that’s fine. A stock comes in shares and you buy a share of stock. But these ideas aren’t always interchangeable.… Read more

Micro futures allow investors to trade against the stock market at large. They’re priced so that ordinary investors can afford to trade futures on the major market indices, which have otherwise… Read more

Exchange-traded funds (ETF) generally offer two strategies for investing. One approach emphasizes traditional capital gains growth. As products listed on an exchange, ETFs are highly liquid assets.… Read more

The dividend record date establishes when shareholders are eligible to receive dividend payments. Anyone who owns shares before the record date will collect the dividend, while anyone who owns shares… Read more

When it works, dividend growth investing is a best-case scenario for income investing. In this strategy you buy a stock that not only grows in value year after year, but it also pays you a steady… Read more

Investment income is an umbrella term that includes just about any money you make from buying, holding and selling assets. However, there are three main forms of investment income, which we discuss… Read more

When you assign someone power of attorney you give them the authority to make decisions for you and on your behalf. Whatever the agent, as this person is called, decides will be as binding as if you… Read more

Failing health often robs people of their agency. Whether due to age or illness, many hospital patients can’t effectively communicate their own wishes. For legal matters, this is handled through… Read more

The FAANG stocks are a set of five high-value technology stocks. Together they make up nearly a fifth of the S&P 500’s total value. The “N” in FAANG stands for Netflix. One of the first major tech… Read more

Every investment class needs someone to manage it. From the market makers and clearing houses that ensure stock trading to the bankers who move currencies around the world, markets are not natural… Read more

A market sell-off happens when traders make a lot of sales very quickly. Sometimes a sell-off, which is a particularly aggressive form of a bear market, can encompass an entire market. Other times it… Read more

Coinbase has taken cryptocurrency legitimate. At least, that’s the position of many in the cryptocurrency community who see the company’s IPO as proof that digital assets have arrived as mainstream… Read more

Oil prices have had a remarkable year. Historically volatile, like most commodities, oil prices tumbled during the pandemic to the point where they dipped into negative territory, meaning it cost… Read more

The Fama-French Three Factor model is a formula for calculating the rate of return on a given asset. Like many (if not most) such models, it offers an estimated value based on market factors at large… Read more

You have probably heard of securitization. It’s a way of turning non-financial assets into liquid securities that investors can buy and sell. Despite its role in the market crash of 2008 and… Read more