- Is the Santa Claus Rally Real? – 2020 Study
The U.S. stock market hit record highs leading up to Thanksgiving in 2020. Two days before the holiday this year, the Dow Jones and S&P 500 indexes broke 30,000 and 3,600 points, respectively. While some stock analysts and investors are concerned that these prices belie a frothy market soon set to pop, others speculate that… read more…
- What Are the Stock Market Holidays?
Several reasons play a role in when and why the New York Stock Exchange (NYSE) might temporarily close its markets, but the primary “culprit” behind the closings is national holidays. There are 10 main holidays on which NYSE closes its… read more…
- Pros and Cons of a Mixed Economy
A mixed economy is an economy that incorporates elements of both free market transactions and government control. While a mixed economy generally allows private property and prices, it also will typically have sectors or industries controlled or subsidized to a… read more…
- Best Cities for Young Financial Advisors to Start Their Careers – 2020 Study
Financial advisors in the U.S. tend to be on the older side. About 29% of financial advice professionals are between the ages 55 and 64, and another 12% are older than 65, according to market research firm Cerulli Associates. By contrast, only 16% of advisors are between the ages 35 and 44, and just 10%… read more…
- Bullish vs. Bearish: What’s the Difference?
Over time, the major U.S. equity indexes go up and down based on internal and external factors. Performance like that excites investors, but typically in opposite ways. Constant gains lead some investors to expect more of the same. Others worry… read more…
- Why Is Gold Valuable?
Recent history, including the pandemic-caused recession, has piqued an interest in gold. That interest has further grown as inflation has soared and the value of the dollar has declined. As a result, many people seek gold as a more reliable store… read more…
- How to Retire into a Bear Market
With millions of Americans depending on 401(k) and IRA assets for their retirement income, a market downturn can wipe out decades of investment in a single go. And while young workers at least have the time to rebuild their savings after a… read more…
- PEG Ratio: Definition, Calculation and Usage
A PEG ratio is a tool used in fundamental stock analysis by investors to assess a share’s value. It measures a stock’s price-to-earnings ratio against the anticipated earnings growth for the underlying company. If the ratio is significantly above 1, the stock might… read more…
- PPP Loan Acceptance Rates in the First and Second Rounds of Funding – 2020 Study
Overseen by the Small Business Administration (SBA), the Paycheck Protection Program (PPP) is the largest fixture of federal coronavirus financial relief programs. The program provides forgivable loans to small businesses, defined as those with fewer than 500 employees, to cover payroll and associated costs. There have been two rounds of funding through the program. An… read more…
- How The Coronavirus Has (and Hasn’t) Hit Housing
Times of economic uncertainty and market instability tend to affect the housing market, frequently including drops in average home prices. Yet for all the economic and financial convulsions of the coronavirus pandemic the housing market has remained strikingly steady. The purchase prices of residences have edged higher while the cost of renting a residence has… read more…
- How the CARES Act Affects Current College Students
The Coronavirus Aid, Relief, and Economic Security (CARES) Act includes over $2 trillion in federal funds to help address the economic fallout from the coronavirus global pandemic. The bill includes several provisions that affect college students, including deferred student loan payments and money for carryover funding of colleges and universities around the U.S. At the… read more…
- What’s In an Investment Advisory Agreement?
Working with a financial professional can offer numerous benefits when you need clarity or guidance on managing your money and investments. Once you have decided to engage the services of a financial advisor rather than a financial planner or another type of… read more…
- Why Is the Stock Market Up?
By some estimates, nearly one in four Americans is out of work. A steady stream of bankruptcies has begun, both out loud and quietly, and many businesses have shuttered for good. The full extent of the damage wrought by the coronavirus recession will not become apparent until local economies begin to reopen. But there’s one… read more…
- Real Property vs. Personal Property: Why the Difference Matters
All property falls into two categories: real or personal property. Whether something is considered real property or personal property depends on a surprisingly simple test: Can you physically move it? The outcome of that test determines the distinction between real… read more…
- Stock Buyback Bans in the CARES Act
The $2.1 trillion CARES Act, which Congress passed in response to the coronavirus pandemic, includes a ban on corporate stock buybacks. Specifically, the law prohibits large corporations that receive loans or loan guarantees authorized under the legislation from buying their own or their parent company’s stock. This ban continues until 12 months after such a loan… read more…
- How to Spot an Overvalued Stock
When market volatility strikes, savvy investors recognize it as an opportunity rather than a setback. One such strategy to consider is short selling – an approach that can yield significant returns when executed correctly, but requires a solid understanding of the risks involved. Short selling involves borrowing stocks, selling them at their current market price… read more…
- What Happens If a State Goes Bankrupt?
State bankruptcies became a topic of concern in 2017 when Puerto Rico, a U.S. territory, filed for bankruptcy, spotlighting the vulnerabilities in public finances. Even earlier, analysts were warning of the deteriorating financial health of various states. While no U.S. state has ever declared bankruptcy – and with the exception of Arkansas in 1933, no… read more…
- Coronavirus Financial Relief: The CARES Act and Beyond
More than 1 million people in the U.S. have COVID-19, the disease caused by the novel coronavirus, and by the end of April nearly 60,000 Americans had died of the illness. The symptoms of some COVID-19 patients are mild and don’t require medical attention; others don’t experience any symptoms at all. But many people with… read more…
- How the CARES Act Helps Investors
The Coronavirus Aid, Relief and Economic Security (CARES) Act introduces a number of provisions to help Americans who may be impacted financially by the COVID-19 pandemic. The $2 trillion stimulus package offers relief to individuals and small businesses in an effort to support the economy and markets. As an investor, there are several things to… read more…
- The Oil Market Crash, Explained
When markets closed on April 20, 2020, crude oil on the futures market sold for -$37.63 per barrel. That minus sign is not a typo. In fact, the price of crude oil had indeed closed negative, tumbling far below its previous all-time front-month contract low of $10.42 per barrel set on Mar. 31, 1983. Many sellers… read more…
- Marriage Tax Penalties and Bonuses in America – 2020 Study
When it comes to taxes, is it more advantageous to get married or stay single? As far as the IRS is concerned, your income and location can ultimately determine whether a union is for richer or poorer. The federal government, along with many state governments and some local governments, has a system of progressive tax… read more…
- Coronavirus Relief for Businesses
To be a business owner during the coronavirus pandemic is to be in serious financial straits. That is, unless you’re in the business of selling groceries, medicine, other essentials or streaming services. As the country reopens in fits and starts, Main Street is not expected to rebound right away. The lost revenue, for big and small businesses, is… read more…
- Coronavirus Stimulus Package: What You Need to Know
In an effort to help curb the economic effects of the coronavirus pandemic, President Donald Trump signed a coronavirus stimulus package called the Coronavirus Aid, Relief, and Economic Security (CARES) Act. The CARES Act is the biggest rescue package in U.S. history with a staggering price tag of $2 trillion. The legislation seeks to provide… read more…
- Coronavirus Stimulus and Relief Program Guide
As the coronavirus pandemic intensifies, Americans are facing not only a public health crisis but an economic one as well. To help you navigate this uncertain period and protect your financial well-being, SmartAsset has gathered a list of resources to help you answer the difficult money questions you may have. We’re updating this page daily,… read more…
- Futures vs. Options: What’s the Difference?
Did you know that it’s possible to earn a profit in the stock market even when share prices are falling, or in the commodities market when prices drop? Typically, we think of the classic “buy low, sell high” strategy, but you can reverse this approach and still achieve gains. Two popular methods for profiting in… read more…