Category: Asset Management

Speculating and Investing are Two Different Things: Beware of Cryptocurrencies
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Speculating and Investing are Two Different Things: Beware of Cryptocurrencies | Jeff Holland

{3 minutes to read} It’s a strange phenomenon that people want to chase an investment after it has gone up—it can be hard to resist jumping on the bandwagon. In general, the global stock markets have gone up nicely in the last few  years—however, cryptocurrencies have exploded in value. Relatively new cryptocurrencies, like Bitcoin or Ethereum, have gone up in price in the last three to six months resulting in hype and interest from investors.

Click here to read Jeff Holland's full article...

Budgeting Basics: Part I
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Authored by , re: Accounting & Bookkeeping, Asset Management, Business Development, Financial Planning & Insurance, on .

Many small business owners seek resources and information for both business and personal budgets. I am pleased to share guidelines and best practices for both types of budgets. Below, I discuss the development of household/family budgets; in Part II, I will discuss business budgets. Why is it important to have a budget? Here are a few common reasons:

Click here to read Sallie Mullins Thompson's full article

Relax and Enjoy the Summer! There Will Always be Storms to Weather
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Relax and Enjoy the Summer! There Will Always be Storms to Weather | Jeff Holland

The market, like almost everything in life, has cycles and seasons. But unlike weather patterns, the market’s seasons are not predictable. Snow laden terrain and short days can be depressing; but, as long as we know that spring is on the horizon, the winter’s challenges are more easily accepted. The same is true for the market—expecting the market’s cycles and seasons will help you to manage your counterproductive emotions, particularly anxiety.

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“Someday” and “Maybe” Numbers: The Challenge of Dividing Retirement Assets Part 3
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“Someday” and “Maybe” Numbers: The Challenge of Dividing Retirement Assets Part 3 | Rachel Alexander

{4:00 minutes to read} In Part 2, we discussed marital vs non-marital retirement assets and how some of those assets require an actuary or other expert to figure out the “present value” before the asset can be divided.

We now arrive here: How do folks equitably divide these assets? Particularly because the present value doesn’t actually exist in a divisible form. It’s a theoretical, projected number!

Below are some popular options:

QDRO (NJ QDRO Overview)

A court order goes to the plan administrator, directing it to divide the asset in the way set forth in the order. This method avoids any tax consequences pursuant to this division at the time it is made.

Click here to read Rachel Alexander's full article...

“Someday” and “Maybe” Numbers: The Challenge of Dividing Retirement Assets – Part 2
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Authored by , re: Asset Management, Family & Divorce, MEDIATION, on .
“Someday” and “Maybe” Numbers: The Challenge of Dividing Retirement Assets – Part 2 by Rachel Alexander

{4:00 minutes to read} Just because we determine a value for something does not mean we divide it!Often spouses are concerned that the mere mention of an asset puts it on the auction block and forfeits their exclusive rights to it. Not so!

Getting a comprehensive picture and value of ALL assets is an important part of creating a solid settlement agreement. An agreement should even specify assets whose separate nature is undisputed, with the other party waiving any rights, title or interest thereto.

Click here to read Rachel Alexander's full article...

Via Four, A Trusted Financial Partner
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Via Four, A Trusted Financial Partner | Jeff Holland

When you partner with Via Four, you are not only gaining decades worth of experience from our advisors, you are also getting the security of our national brokerage custodians. According to Wikipedia, a custodian is a specialized financial institution responsible for safeguarding a firm’s or individual’s financial assets and is not engaged in “traditional” commercial or consumer/retail banking, such as mortgage or personal lending, branch banking, personal accounts, or automated teller machines.

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Is Now a Good Time to Invest? Yes!
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Is Now a Good Time to Invest? Yes! | Jeff Holland

{3:00 minutes to read} Everyday, the stock market has an expected rate of return. This means that on the day that you invest, you have the potential to earn an expected rate of return. If you wait for that “perfect” time and hold off, you miss capitalizing on the market’s rates of returns. When it comes to investing, you’re either in or you’re out.

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3 Crucial Estate Planning Documents
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3 Crucial Estate Planning Documents | Peter Gordon

{4:40 minutes to read} Why should you have a living will, healthcare proxy, and power of attorney? People are living longer and enjoying fuller lives. However, it is possible that because of a sudden illness or injury, you may be unable to talk to a doctor to make decisions about your treatment or direct your financial decisions. To plan in advance, it is important to prepare a few simple legal forms.

Click here to read Peter Gordon's full article..

Ensure that Your Portfolio Is a Winner: Diversify!
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Ensure that Your Portfolio Is a Winner: Diversify! | Jeff Holland

{1:30 minutes to read} According to Nobel Prize winner and economist Harry Markowitz,diversification is the only “free lunch” in economics. The smartest investors diversify—by doing so, you drastically minimize risk and the potential sabotage of your financial future. By diversifying your assets, you’ve ensured a “win.” The Kentucky Derby provides a fitting analogy; all the horses are great, but their prowess can vary from race to race, from year to year. By diversifying, you bet on all of the horses—and you always win! (And hopefully you will sell some of the winning “horses” and buy some of the losing ones knowing that they will be winners one day).

Click here to read Jeff Holland's full article...

Relax, the Year is Almost Over
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Relax, the Year is Almost Over | Jeff Holland

{1 minute to read} Enjoy the holiday season! The election is over. The year is almost over. Don’t think about your money. Let your money work for you. Markets are always priced to have a positive expected rate of return. The media and your neighbor or friend are always going to try to scare you or get you to do something. But you should follow the plan that you have in place. Election years are very stressful on both sides, and you may have been very passionate about your candidate. You may or may not like the president-elect, but the markets have already reacted to the presidential election and priced him into the market. You’ve been told to worry by the media for 11 months of the year about what’s going to happen. Now you should take the month off of worrying and let your plan and the markets work for you—and do this in the future, too. And let the markets work for you, not against you.

Click here to read Jeff Holland's full article...

Lessons from 2016 Election: Invest, Don’t Predict
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Lessons from 2016 Election: Invest, Don’t Predict | Jeff Holland

{2 minutes to read} People often base their investments on their emotions and their predictions. What I want people to realize is that when you’re investing properly, you’re not really making any predictions. You’re using data and empirical research that incorporates information from market participants globally. Predictions can seem very entertaining. They might even be fun, with a small stake of the money. But you only remember your correct predictions. Predictions can cause you to go off the rails and not achieve your financial goals. You should not base your portfolio on predictions. You want to succeed with your financial goals. And if you think you’re smart because you make an accurate prediction, remember you can also be wrong. As John Kenneth Galbraith said, “The only function of economic forecasting is to make astrology look respectable.”

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Expect Price Fluctuations
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Authored by , re: Asset Management, FINANCIAL ARTICLES, Financial Planning & Insurance, on .
Expect Price Fluctuations | Jeff Holland

{Read in 1:50 minutes} Price fluctuations are a normal part of investing. The stock market can go up any given year, but the price fluctuations within each day, week or month can go up or down. Long-term investors shouldn’t equate those granular ups and downs with overall risk in a portfolio. Risk is a permanent loss of capital. The volatility, or price fluctuations, come in unforeseen clusters. We would all like to be able to get out before the downturns, but it isn’t possible to systematically avoid downdrafts.   The better option is to focus on the investment goals rather than day-to-day price fluctuations, or the people who talk about them ( read talking heads).

Click here to read Jeff Holland's full article...

Trust Market Prices
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Trust Market Prices | Jeff Holland

Don’t let outside noise interfere with your long-term plan. The market effectively enables competition among many market participants who voluntarily agree to transact. This trading aggregates a vast amount of dispersed information and drives it into security prices. In 2015, 98.6 million trades a day took place in World Equity Trading and the dollar volume was $447.3 billion a day. (Source: World Federation of Exchanges) When was the last time you met anyone who has made their fortune from outguessing stock prices? I would guess you have never met someone like that. Perhaps you’ve met people who earn fees from buying public stocks, or maybe people who put together real estate funds, but the odds are that you’ve never met a person who said, “Yeah, I trade stocks all day and make millions a year.”

Click here to read Jeff Holland's full article...

Don’t Invest Based Upon the Financial Press
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Don’t Invest Based Upon the Financial Press | Jeff Holland

{Read in 1:30 minutes} While informative and knowledgeable, the financial press is backward-looking rather than forward-looking, which means it has no predictive value for the future. Journalists do a great job of describing what has already happened, but that’s known information, and as they say, hindsight is 20/20. Journalists can’t describe what will happen; it’s not their job to prognosticate the future. They make opinions about trends, but those opinions are not meaningful when it comes to managing portfolios.

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Ignore the Fed!
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Ignore the Fed!| Jeff Holland

{Read in 1:50 minutes} The federal government—”the Fed”—is interesting. It’s fun to talkabout, much like a sporting event or celebrity gossip or the latest health scare. And it is just as much the subject of daily headlines as those news items. Financial journalists love to report the Fed’s every financial movement, trying to make it relevant to investment. Some advisors play along, pretending they can predict markets based on the Fed, in hopes of attracting investors and motivating them to keep making transactions. Some say that the interest rates move and the Fed follows.

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The New Fiduciary Mandate: Business as Usual at Via Four
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The New Fiduciary Mandate: Business as Usual at Via Four| Jeff Holland

The United States Department of Labor (DOL) has set forth a new guideline, known as“401,” for investment houses. 401 will make it mandatory that their agents take a fiduciary role with all of their clients’ retirement accounts. The proposal, which is set to take effect in 2017, will require all investment advisers of individual retirement accounts (IRAs) and 401k’s to take on the the role of a fiduciary and disclose all of the investment fees including compensation to their investors. It will provide transparency.

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Surviving the Stock Market: Stay Ahead Of Your Emotions
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Surviving the Stock Market: Stay Ahead Of Your Emotions | Jeff Holland

{1:22 minutes to read} All stocks have to be owned by someone. Investors essentially have long-term ownership in the world’s businesses. Like any owners, they get paid last. But often, especially if they globally diversify their portfolio, they also get paid most. And, like any owners, they are often the first ones affected by revenue changes, which can be scary. Human emotions are the major driving force behind most short-term fluctuations in stock prices.

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Have You Rebalanced Your Portfolio Lately?
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Authored by , re: Asset Management, FINANCIAL ARTICLES, Financial Planning & Insurance, on .
Have You Rebalanced Your Portfolio Lately? | Jeff Holland

{2:30 minutes to read} Maintaining a healthy balance is important in many areas of life;you constantly monitor and make ongoing adjustments to your monthly finances, your health, etc. But did you know it’s just as important to maintain balance & consistency in your investment portfolio? This adjustment is called “rebalancing.” Some people call it “pruning.” Just as you might prune a tree, you also need to prune off some of the returns of a high-performing fund, then plant some more seeds in the ones that have done less well over the last year.

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Staying the Course: Recency Bias and International Diversification
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Staying the Course: Recency Bias and International Diversification | Jeff Holland

{1:40 minutes to read} Recency bias—the tendency to make predictions about the future based on the recent past—is often used in investing. The problem with recency bias is that trends change all the time. Nothing is certain in investing. Most investors want to be invested only in the “hot performers.” In the the 2000s, international markets were the hot performers. In more recent years, it’s been U.S. markets. Now, some people are questioning whether they should continue holding on to international securities.

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Vigilance Rules the Day
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Vigilance Rules the Day | Rebecca Eddy

{4:40 minutes to read} In greater and greater numbers, seniors are living alone and facing the daily danger of unintended chaos. We all must do our best to be aware of such seniors and to protect them. While this often requires great vigilance and commitment, it does not have to be done alone. Doris, an 80-year-old woman, found herself helpless in a nursing home. She had been injured in a fall in her apartment and was rushed to the hospital.

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What Do I Do with All My Parents’ Books?
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What Do I Do with All My Parents’ Books | Rebecca Eddy

{4:25 minutes to read} Books bring great joy to those who love to read and collect them. But they pose challenges when people move to smaller quarters or when their estates are settled. At Eddy & Schein, we are often called to assist clients, or their heirs, find a good solution - a recent case involved us finding a buyer for 4,000 books in mint condition. Most books have no value. However, that does not mean you should discard them. Here are some tips: First, survey the selection. What does it consist of?

Click here to read Rebecca Eddy's full article...

9 Ways to Ensure a Better Investing Experience
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9 Ways to Ensure a Better Investing Experience | Jeff Holland

{4:15 minutes to read} Most people who invest are caught up in chasing past returns, but investing is actually about having a belief system. Here are 9 tips to ensure you have a better investing experience based on science, not predictions.

  1. Embrace market pricing. The market is an effective information-processing machine. Millions of people buy and sell securities every day – $302 billion trade in world equity markets daily. The markets aggregate all known information.

Senior Housing Choices – Bewildering, Fear-provoking, Yet Plentiful
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Senior Housing Choices - Bewildering, Fear-provoking, Yet Plentiful | Rebecca Eddy

{5:25 minutes to read} Choosing senior housing and care is a critical part of aging. We are asked almost daily, “Where shall I go and when?” The options available are plentiful and they fall into a few distinct areas. Deciding where to go and eliminating where not to go is often based on four factors: physical and medical needs, home size and preparedness, social and emotional needs, and last, but hardly, least financial needs and resources.

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Social Security Fraud Happens: Taking Steps to Resolve the Problem
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Social Security Fraud Happens: Taking Steps to Resolve the Problem |Rebecca Eddy

{3:55 minutes to read} Jonathan has Alzheimer’s, and as a result, he has not been handling his finances for over a year. He has an agent under his Power of Attorney (POA) and Eddy & Schein taking care of his financial affairs. A Geriatric Care Manager and a Home Health Aide Agency are caring for his physical and medical needs. Each week Diane Lansing stops by to visit with Jonathan and collect his mail.

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Daily Money Managers Help Seniors With Financial Administration
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Daily Money Managers Help Seniors With Financial Administration | Rebecca Eddy

{4:50 minutes to read} In recent months we have been highlighting various professional resources for seniors. This month’s article examines the benefits of a Daily Money Manager. Think of the mail coming into your home, the bills that need to be paid, the calls or emails that should be made about insurance, wills, retirement planning and more. Now imagine handling all this with impaired eyesight, decreased hearing, arthritic hands, or failing memory.

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Preparing For “The Talk” with Your Aging Loved Ones
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Preparing For “The Talk” with Your Aging Loved Ones | Rebecca Eddy

{2:55 minutes to read} Recently, Laura called our office to learn about the different services we offer. As a result of our conversation, she could envision her parents benefiting from the support Eddy & Schein provides, but she wasn’t sure how to get them onboard with the idea. She had tried having “The Talk” with her parents about their finances, their health, their legal documents, and plans for where to live. Unfortunately, the conversation was not successful. Her parents got defensive and refused to continue the discussion.

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Single Payment Life Insurance
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Single Payment Life Insurance | Michael Fliegelman

{2:12 minutes to read} Some of our clients have expressed a desire to make one payment into a cash value life insurance policy and be guaranteed paid-up. For them, we have a concept called the Single Payment Plan. Putting one payment into a cash value life insurance policy is a preferred way to fund a policy for some as then they do not have to think about any future payments for the life insurance policy.

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9 Reasons You Should Take Another Look at Whole Life Insurance
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9 Reasons You Should Take Another Look at Whole Life Insurance | Michael Fliegelman

Sometimes when we look at things one way, we see the world with a certain landscape, but when we revisit it, we may see it very differently because of our experiences and perspective.

I want to urge you to read the following article which is called “Nine Reasons You Should Take Another Look at Whole Life Insurance”. The article references John Jamieson, an advisor who was staunchly opposed to whole life insurance. He was always of the mindset to buy term and invest the difference. But then someone got in front of him who had a different perspective, and showed him the value of permanent life insurance.

Click here to read Michael Fliegelman's full article...