Posts by SmartAsset Team
How to Invest
OpenAI Stock IPO: Expected Valuation, Timeline and Investment Options
OpenAI, the company behind ChatGPT, confidentially filed an S-1 registration statement with the SEC on May 22, 2026. This formally begins its process of going public. CNBC reported that Goldman Sachs and Morgan Stanley are leading the deal, with the company targeting a public debut “as soon as the fourth quarter” of 2026.1 OpenAI said… read more…
How to Invest
Anthropic IPO: Expected Valuation, Timeline and Investment Options
Anthropic, the AI company behind the Claude family of models, confidentially submitted a draft S-1 registration statement with the SEC on June 1, 2026, giving the company the option to pursue an initial public offering after SEC review.1 The filing came after Anthropic announced a $65 billion Series H funding round at a $965 billion… read more…
Real Estate
Diversifying Stock Into Real Estate: Opportunities and Risks
Stocks have long been the go-to investment vehicle for building long-term wealth, yet they’re just one part of a diversified portfolio. Real estate represents an entirely different asset class that responds to different market forces and offers unique benefits, such as consistent rental income, tangible value and inflation protection. Yet jumping into real estate investment… read more…
Inheritance
Date of Death Valuation: Calculation and Taxes for Heirs
When someone inherits investments, real estate or other valuable assets, they may be familiar with the asset’s date of death value. This valuation determines not only what an inherited asset is worth for estate purposes, but also how much tax an heir may eventually owe if they decide to sell it. Ask a financial advisor… read more…
Roth & Traditional IRAs
Opening an IRA? The Costly Mistake That Leaves Your Money Earning Nothing
Gen Z is the youngest generation of workers and they are now out-saving every older age group. They started earlier than Boomers, Gen X and even Millennials. Many are still early in their careers and underpaid, yet they have leaned into one advantage that older savers often overlook. If you are not using it too,… read more…
Social Security
The $45,000 Line: This New Plan Protects Lower Earners But Caps COLA for Everyone Above It
Every year, your Social Security check gets a small raise to keep pace with inflation. And right now, every retiree gets the same percentage, top to bottom. But a recent proposal could change that for some people. If your annual benefit sits above a certain line, your yearly increase could get cut. The question worth… read more…
Portfolio Management
Discount for Lack of Marketability: Uses and Calculation
Not all assets can be sold quickly or easily. A minority stake in a family business, restricted stock or an ownership interest in a private company may have significant value on paper but be difficult to convert into cash. That’s where a discount for lack of marketability (DLOM) comes into play. By accounting for the… read more…
Inheritance
Alternate Valuation Date: Estate Planning Uses and Examples
Imagine inheriting your parent’s estate, only to watch the stock market tumble in the weeks that follow. Then you learn the IRS still expects estate taxes from the higher values on the day they passed away. It’s a frustrating scenario, but the tax code offers a potential remedy in the alternate valuation date. This allows… read more…
Rollovers & Conversions
How to Do a Backdoor Roth Conversion: Caps, Steps and Examples
A backdoor Roth IRA allows high-income earners to move money into a Roth IRA. It is a simple two-step strategy that works because, while the IRS sets income limits on direct Roth IRA contributions, it sets no income limits on Roth IRA conversions. Anyone whose modified adjusted gross income (MAGI) is too high can still… read more…
Investment Taxes
Tax-Loss Harvesting: Investment Benefits and Strategy Tips
Tax-loss harvesting involves two steps. First, you sell investments at a loss to offset capital gains or a portion of ordinary income. Then, you reinvest the proceeds in a similar but not identical position to keep your portfolio working. The reinvestment step distinguishes it from simply selling at a loss. It preserves your long-term investment… read more…
Financial Planning
Five C’s of Credit: Definitions, Uses and How to Improve Them
Before approving a loan or line of credit, lenders use a framework to evaluate a borrower’s creditworthiness. The five C’s of credit (character, capacity, capital, collateral and conditions) help lenders gauge how likely a borrower is to repay what they owe. Once you know how to measure each factor you can improve your approval odds.… read more…
Financial Planning
Debt Management Plan: Pros, Cons and Alternatives
Rising credit card balances and high interest rates can make it difficult to keep up with monthly payments, especially when juggling multiple debts simultaneously. A debt management plan (DMP) offers a potential solution by consolidating payments into a structured repayment program that reduces interest charges and simplifies budgeting. Understanding how debt management plans work, how… read more…
Financial Planning
Ancillary Benefits: Examples and Individual Alternatives
Health insurance and retirement plans are often the first benefits employees consider. However, many workplace perks extend far beyond basic coverage. Ancillary benefits like dental insurance, disability coverage, life insurance and wellness programs can provide valuable perks. They help protect your finances, reduce out-of-pocket expenses, and provide added peace of mind during unexpected situations. A… read more…
Financial Planning
Joint Bank Accounts: Pros and Cons for Unmarried Couples
Sharing finances can be a major step for unmarried couples, especially when it comes to opening a joint bank account. While a shared account can simplify budgeting, it can also create financial and legal complications. Couples should understand the benefits, risks, and alternatives to joint accounts. Then they can decide how to manage money together… read more…
Investing for Beginners
High Net Worth Investment Management: Services and Examples
Managing significant wealth involves more than picking the right investments. High-net-worth investors often deal with tax strategies across multiple accounts, estate planning, concentrated stock positions and access to private markets, all at the same time. High-net-worth investment management brings these pieces together through customized portfolios, comprehensive planning and a team-based approach built around each client’s… read more…
How to Invest
$10,000 Invested in Apple Stock 20 Years Ago: How Much Is It Worth?
If you invested $10,000 in Apple stock on May 18, 2006, that investment would be worth approximately $1.32 million as of May 2026. This calculation is based on Apple’s share price of $297.84 as of May 18, 2026, and its May 18, 2006 closing price of $2.26. You should note that this figure reflects price… read more…
Financial Planning
Personal Loan vs. Credit Card: Types of Credit, Rates and Payments
Personal loans and credit cards are both common ways to borrow money, but they work differently and carry very different costs. A personal loan gives you a fixed amount upfront with a set repayment schedule and a predictable monthly payment. A credit card gives you a revolving line of credit you can draw on repeatedly,… read more…
Tax Planning
Bunching for Charitable Donations: Tax Strategy and Examples
Giving to charity can support causes you care about, but it does not always translate into meaningful tax savings. That is why some households use a strategy called charitable donation bunching, which involves combining several years of donations into one tax year to potentially unlock larger deductions. As tax rules change and itemized deduction limits… read more…
Inheritance
Intestate Probate Process: Rules, Examples and Steps
When a loved one passes away without a will, their estate doesn’t simply transfer to the people they cared about most. Instead, it enters a court-supervised process called intestate probate, where state law decides who inherits what. This default system can produce surprising and sometimes unwelcome outcomes. It can leave long-term partners with nothing, divide… read more…
Retirement Planning
How to Build a Retirement Investment Plan: Strategies and Steps
A retirement plan that needs to last 30 or more years can succeed or fail based on its structure. Account types, contribution levels, asset allocation, tax treatment and withdrawal sequencing will determine how much you keep, how long it lasts and how much goes to taxes. That is why the decisions you make when setting… read more…
Other
Statutory Durable Power of Attorney: Uses and Requirements
A statutory durable power of attorney authorizes someone you trust to manage your financial affairs if illness, injury or cognitive decline makes it impossible for you to do so yourself. Without one, family members may face court proceedings just to access accounts or pay bills, and those proceedings take time that a financial emergency rarely… read more…
Market Analysis & Economic Trends
Behavioral Economics: Definition, Goals and Examples
Why do people panic and sell investments during market downturns or overspend even when trying to save money? Why do some avoid financial decisions altogether? Traditional economics assumes people make rational choices based on logic and self-interest. However, real-life behavior often tells a different story. Behavioral economics examines the psychological and emotional factors that influence… read more…
Credit Score
Credit Score Factors: Uses, Weights and Examples
Your credit score can quietly shape some of the biggest financial decisions of your life, sometimes without you even realizing it. Whether you’re applying for a mortgage, signing a lease or even setting up a new phone plan, this three-digit number ultimately determines your options and the rates you’ll pay. However, your score doesn’t appear… read more…
Real Estate
Real Estate Asset Classes: Types, Benefits and Risks
Real estate has long been a cornerstone of wealth building and options have expanded far beyond rental properties. Today, investors can access apartment buildings, office space, data centers, life sciences facilities and cell tower infrastructure. Each investment has its own risk profile, return potential and place in a portfolio. Knowing the differences between each could… read more…
Investing for Beginners
Ethical Investment Funds: Types, Uses and How to Choose One
Ethical investment funds incorporate values-based, environmental, social and governance criteria into their selection process alongside traditional financial analysis. These pooled investment vehicles allow investors to align their portfolios with personal or institutional values while still getting the diversification, professional management and accessibility that conventional funds provide. A financial advisor can help you identify which ethical… read more…