- Assets vs. Liabilities: Investment Strategy
Business firms use a financial analysis technique called asset vs. liability management (ALM) to mitigate risk due to a mismatch in their assets and liabilities. A mismatch occurs when assets and liabilities do not correspond to each other properly. A… read more…
- Try This Lucrative Investment Opportunity, But Make Sure You Make These Two Moves to Hedge Against Risk
Short-term bonds in 2022 offered better yields than longer-term bonds. That’s an exception to the historical pattern of longer-term bonds typically offering a higher interest rate than shorter-term bonds. Investors responded to this temporary role reversal by piling into one-,… read more…
- Four Things Vanguard Wants You To Know About Bond ETFs
In this bear market, investors are grasping at straws for stable securities that can deliver solid returns. Though investors do tend to gravitate toward bonds in times of volatility, Vanguard is highlighting the attractiveness of bond ETFs in particular. A financial… read more…
- What to Do When Your TIPS Post Negative Total Returns
Treasury Inflation-Protected Securities have had a rough year. Their price declines have far outpaced the upward principal adjustment they automatically get from inflation. Indeed, for the 12-month period through the end of September, these government securities have booked their worst… read more…
- Investing $200 a Month: How Much Will You Make?
Investing as little as $200 a month can, if you do it consistently and invest wisely, turn into more than $150,000 in as soon as 20 years. If you keep contributing the same amount for another 20 years while generating… read more…
- Investing $100 a Month: How Much Will You Make?
Investing $100 a month gives you the chance to make regular progress toward your financial goals. Sticking to a regular commitment can help you build wealth over time. If you are ready to invest $100 a month, your returns will… read more…
- Portfolio Variance: Investing Guide
Portfolio variance measures risk by assessing the dispersion of asset returns in a portfolio. Essentially, portfolio variance measures the spread of returns in a portfolio. A portfolio full of assets that have high correlations will have higher portfolio variance. If… read more…
- This Popular Portfolio Strategy Can Actually Make You Lose Money
Many long-term investors have championed the 60/40 portfolio, which holds 60% in stocks and 40% in bonds, as a classic investment strategy that can deliver risk-adjusted returns. But Morningstar says that persistent inflation and interest rate increases in 2022 have… read more…
- How Much Investing $500 Per Month Can Give You
Whether you’re investing $50 or $500 per month, it can be a great idea to regularly invest in the market if you’re looking for long-term growth for retirement. For most households, regular, fixed investments are one of the best ways… read more…
- How Many Stocks Should You Hold In a Portfolio?
For most household investors, your portfolio is generally a mix of three main asset classes: stocks, bonds and banking products. By banking products, we mean anything ranging from a savings account to a certificate of deposit that you hold with… read more…
- How Much Interest Can $500,000 Earn Per Year?
The savings and fixed-income landscape grows more diverse every day and individuals have many options at their fingertips. When making an investment, you will want to consider how much money you could get in return. Here’s a breakdown of how much… read more…
- How Much Interest Can $75,000 Earn Per Year?
Saving and investing money are two keys to building wealth. The more you have to save or invest, the more your money can grow as it earns interest. There’s a significant difference, for example, between saving $500 and $75,000. So… read more…
- How Much Interest Can $50,000 Earn Per Year?
A sum of $50,000 in cash can earn about $195 a year in an average bank savings account or as much as $2,300 if you put it into a high-quality corporate bond fund. Other options include money market accounts, money… read more…
- How Much Interest Can $2.5 Million Earn Per Year?
When you have seven figures to invest, your goals and outcomes can change. For some people, they want to continue growing their wealth. They look for the best opportunities and target growth as a long-term goal. Other people, however, no… read more…
- How Much Interest Can $750,000 Earn Per Year?
Interest is one of the most popular forms of investment return. Although it tends to generate lower returns than capital gains, interest payments are both income-generating and tend to be a safe asset class. This appeals to investors no matter… read more…
- What Is Fixed-Income Portfolio Management?
Fixed-income portfolio management is an investment approach that focuses on the preservation of a specific capital. It relies on investments such as bonds, CDs and annuities. While fixed-income portfolios can help maintain capital, there are some things to keep in… read more…
- Target Date Funds vs. Index Funds: Which Is Better?
Target-date funds and index funds are popular investments, particularly for retirement portfolios, since they require little action on the part of investors. Target-date funds, or TDFs, became particularly popular after they were approved for defined contribution 401(k) accounts. Both are… read more…
- Automatic Trading Systems: Investor’s Guide
Investors use automatic trading systems to buy and sell securities without human intervention by following specific trading strategies using algorithms programmed into computer software. Automatic trading systems eliminate human emotions, enforce discipline, improve speed and reduce costs of trading. However,… read more…
- How Much Interest Can $1.5 Million Earn Per Year?
Whether you’re saving to retire, or have just come into a nice windfall, knowing where to put your money to grow it is essential. There are multiple ways money can build interest, but how much interest does $1.5 million earn per… read more…
- Interest Rate Risks: Investment Guide
Interest rate risk refers to changes in interest rates that could affect the market value of your bond or other fixed-income investments. This is a real concern for investors in any economic climate but is especially concerning during periods of… read more…
- What Is a Barbell Investment Strategy?
Every investor needs to choose a strategy that makes sense for them and helps them achieve their financial goals. The barbell strategy is one investment strategy that might suit your needs if you have the time to properly manage it… read more…
- 8 Best Portfolio Management Software
Whether you’re an individual investor or a portfolio manager, the right portfolio management software can make a huge difference. The best software provides valuable tools to help you better analyze your overall portfolio and each investment individually. It can screen… read more…
- Understanding Risk-On Assets: Guide
An investor’s appetite for risk fluctuates over time. When the economy is performing well, and the market is rising, many investors want to buy riskier assets. This is known as a “risk-on” market. Understanding how risk-on assets work can help… read more…
- Non-Retirement Investments for Your Portfolio
Many people max out their 401(k) or IRA account each year and wonder what other investments they can utilize to growth wealth. These investments don’t require a special investment account as you’ll contribute post-tax dollars to these investments. However, you’ll… read more…
- Morgan Stanley Says the 60/40 Portfolio Will Make a Comeback
The first half of 2022 has not been kind to the classic 60/40 portfolio, but investment bank Morgan Stanley says there are still compelling reasons to consider this asset allocation. Part of the rationale for not dismissing this allocation has… read more…