Credit Risk associated with bonds
Credit Risk associated with bonds Credit Risk associated with bonds are distinguished by their credit ratings. A rating provides an indication of the risk that the issuer will fail to pay interest and principal for a particular bond when those payments are due. This risk credit risk associated with bonds. Rating agencies A bond issuer […]
Fixed Income Securities
Fixed Income Securities Fixed income securities (or debt) securities, such as bonds and notes, are issued by corporations, federal and state governments and their agencies, and municipalities. The issuer is essentially borrowing money from the investor. In return for this ‘loan,’ the company promises to repay the face amount (the principal value) at a specified […]
Stocks and investment risk
Stocks and investment risk Stocks and investment risk in this post we will define common stock then discuss the advantages and disadvantages. Common stocks A share of common stock represents a fractional ownership interest in the issuing corporation. Returns on stocks come in the form of capital growth or appreciation, and the possibility of dividends. […]
Attributes of Sound Investment Policy
Attributes of Sound Investment Policy Attributes of Sound Investment Policy. Sound investment policy is realistic, has a long-term perspective, and is clearly defined. Policy must be realistic Every planner has had the painful experience of dealing with the unrealistic client – the person whose return expectations are unrealistic. Taming unrealistic expectations is one of the […]
Save Early and Often
Save Early and Often Save early and often – it is likely that the majority of young households will have little discretionary income each month, and the tendency is to put off saving. When you are young, and have your first real job, probably the last thing on your mind is retirement. Then, before you […]
Determining Your Retirement Goals
Determining Your Retirement Goals Determining your retirement goals comes after the previous steps of analyzing cash flow statement and balance sheet. I like to start by talking to my clients about their visions of retirement, their goals, and their values. Picture a day in retirement. Will it involve pure leisure and hobbies, or maybe some […]
Top Trends in Retirement Planning
Top Trends in Retirement Planning Top trends in retirement planning will give a general understanding of the current situation many of my clients will face or are facing. Pension plans are increasingly scarce Defined benefit plans are designed to provide participants with a guaranteed lifetime income, or a pension. These plans, however, are becoming increasingly […]
Planning for Retirement if You Have 5 Years
Planning for Retirement if You Have 5 Years Planning for retirement if you have 5 years means you have little time to waste. Make a list of retirement “needs” and “wants.” If you do not have enough savings to meet your “needs,” make a five-year plan to increase your funds. Double-check your reported Social Security […]
First time Home Buyer information
First time home buyer information First time home buyer information can help save you time, money and help you obtain the home of your dreams. The process of buying a home isn’t overly complicated for most. You see a home, you buy a home and you move in and live happily ever after. However, the […]
First credit card at age 48
First credit card at age 48 First credit card at age 48. Recently a client reached out to me with news that his mortgage application was denied. He went on to tell me that he has good savings and a high paying job. My client was besides himself asking how it was possible. Someone with […]
