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What to Do With Extra Money

Despite the massive economic toll the coronavirus pandemic has wreaked on many people, others may have added some unexpected cash to their bank accounts. According to a Pew Research Center…

The Best ESG Funds For Great Returns & Low Costs

Investing can help you achieve goals that go beyond monetary returns. While your focus as an investor should always be on getting the best possible performance, more and more people also want their money to reward companies that have a positive impact on the environment and society. ESG investing is a strategy that channels dollars […]

The Average Net Worth Of Americans—By Age, Education And Ethnicity

Determining your net worth is like giving yourself a financial report card. By counting up your assets and liabilities, you can get a clearer view of your finances, identify what’s working and fix what’s not. Once you know your net worth and compare it to the average net worth of other people your age, you […]

How Does The Stock Market Work?

The stock market is a constellation of exchanges where securities like stocks and bonds are bought and sold. In the United States, “the stock market” and “Wall Street” can refer to the entire world of securities trading—including stock exchanges where the shares of public companies are listed for sale and markets where other securities are […]

Financial Planners Help You Accomplish Your Money Goals

A financial planner helps you chart a course for your financial life, from budgeting and saving, to minimizing your tax burden and leaving a financial legacy for your children. If you’re thinking about hiring a financial planner, here’s what you need to know. What Does a Financial Planner Do? A financial planner helps you understand […]

How Fiduciary Duty Impacts Financial Advisors

Fiduciary duty is the requirement that certain professionals, like lawyers or financial advisors, work in the best financial interest of their clients. U.S. law dictates that members of certain professions who are doing business for certain clients be bound by fiduciary duty. Let’s take a closer look at fiduciary duty, what a fiduciary is, which […]

Understand The Total Value Of Your Investments With Total Return

How do you know if your investments are performing well? Your first thought might be to look at a chart and figure out how much they’ve grown in value over time—but that’s not always the best answer. Instead, you need to understand total return, which takes into account how much an investment has gained in […]

How Married Couples Can Save For Retirement With A Spousal IRA

Generally, you can’t contribute to an individual retirement account (IRA) unless you earn an income in a given year. The spousal IRA, however, is an exception to this rule. If one spouse works and the other spouse has zero earned income, the working spouse is allowed to contribute double the normal limits to an IRA […]

Blowing Bubbles: What Is A Stock Market Bubble?

A stock market bubble—also known as an asset bubble or a speculative bubble—is when prices for a stock or an asset rise exponentially over a period of time, well in excess of its intrinsic value. Eventually, prices hit a wall and then fall very far, very fast, as the bubble “pops.” Bubbles can occur to […]

Should You Be Worried About Inflation?

Inflation may be an unavoidable economic fact of life, but it’s starting to make a lot of people very nervous. Economists, investors and everyday folks believe inflation is primed for rapid growth as trillions in federal stimulus spending is layered on top of the Federal Reserve’s rock-bottom rates, a nascent economic recovery and hordes of […]

What Are Closed-End Funds? How Do They Work?

Closed-end funds are investment vehicles that bear a passing resemblance to mutual funds and exchange-traded funds (ETFs). All three fund types are pooled investments that sell shares to investors and use the proceeds to build a broadly diversified portfolio of assets. But the similarities between closed-end funds and their mutual fund and ETF brethren end […]

What Is A Stock Exchange?

A stock exchange is a marketplace where stocks, bonds and other securities are bought and sold. But stock exchanges are more than just markets: They provide companies with a valuable way to raise capital, encourage investors and companies to be open and transparent, and help the public as a whole understand the value of their […]

How Do Fractional Shares Work?

More and more often, big name stocks come with big price tags. As of August 2020, one share of Google parent, Alphabet, Inc., was priced at more than $1,500—while one share of Amazon.com, Inc. was above $3,000. Thankfully, fractional shares let you buy the priciest stocks and exchange traded funds (ETFs) for as little as […]

How To Open A Brokerage Account

Opening a brokerage account may feel like a daunting process, but it doesn’t have to be. Before you begin, you need to understand the kinds of brokerage accounts available and which features are most important for your investing goals. “What are you trying to accomplish with the account? What are you looking to trade? Certain […]

Investing Basics: How To Buy Stocks

Stocks play a key role in your investment portfolio, and learning how to buy stocks is your first job as an investor. Between 1926 and 2018, a 100% stock portfolio returned an average 10.1% a year, according to Vanguard. Over the same timeframe, a 100% bond portfolio earned 5.3% a year. Just remember, buying stocks […]

SoFi IPO: Here’s What You Need To Know

Social Finance—more commonly known as SoFi—wants to be the future of banking. Founded in 2011, this fintech veteran’s initial pitch was to student debt-laden millennials, some of whom were struggling to find their footing in the economic recovery that followed the Great Recession. Over the years, the San Francisco-based company has added a suite of […]

Treasury Inflation Protected Securities (TIPS)

Treasury Inflation Protected Securities, or TIPS, are bonds issued by the U.S. government that offer protection against inflation plus modest interest payments. “Many investors save and invest so they can spend in the future,” says Wes Crill, head of investment strategists at Dimensional Fund Advisors in Austin, Texas. “For investors prioritizing preservation of purchasing power, […]

Treasury Inflation Protected Securities (TIPS)

Treasury Inflation Protected Securities, or TIPS, are bonds issued by the U.S. government that offer protection against inflation plus modest interest payments. “Many investors save and invest so they can spend in the future,” says Wes Crill, head of investment strategists at Dimensional Fund Advisors in Austin, Texas. “For investors prioritizing preservation of purchasing power, […]

Understanding The Financial Risk Manager (FRM) Certification

Risk is the chance that an investment’s actual performance could differ from its expected return. Assessing and managing risk is one of an investor’s main jobs, whether they’re individuals or giant financial companies. Financial risk manager is an accreditation for financial professionals who are trained to help institutions identify, measure and manage risk. What Is […]

Understanding The Financial Risk Manager (FRM) Certification

Risk is the chance that an investment’s actual performance could differ from its expected return. Assessing and managing risk is one of an investor’s main jobs, whether they’re individuals or giant financial companies. Financial risk manager is an accreditation for financial professionals who are trained to help institutions identify, measure and manage risk. What Is […]

When Should You Choose Taxable Investment Accounts?

While tax-advantaged retirement accounts, like 401(k)s and IRAs, are the most common way Americans own stocks, it’s possible—and even advisable—to choose taxable investment accounts for some of your financial goals. While taxable investment accounts aren’t right for every situation, but they could be a good fit for some of your investing dollars. What Is a […]

When Should You Choose Taxable Investment Accounts?

While tax-advantaged retirement accounts, like 401(k)s and IRAs, are the most common way Americans own stocks, it’s possible—and even advisable—to choose taxable investment accounts for some of your financial goals. While taxable investment accounts aren’t right for every situation, but they could be a good fit for some of your investing dollars. What Is a […]

NYSE: What Is The New York Stock Exchange?

The New York Stock Exchange (NYSE) is the world’s largest stock exchange, with the market capitalization of its listed companies clocking in at a whopping $24.5 trillion. Over nine million corporate stocks and securities are traded on the NYSE every day. Some of the biggest companies trade on the NYSE, particularly within the technology, healthcare, […]

NYSE: What Is The New York Stock Exchange?

The New York Stock Exchange (NYSE) is the world’s largest stock exchange, with the market capitalization of its listed companies clocking in at a whopping $24.5 trillion. Over nine million corporate stocks and securities are traded on the NYSE every day. Some of the biggest companies trade on the NYSE, particularly within the technology, healthcare, […]