Unbiased financial advice from fee-only financial planners

Brought to you by the National Association of Personal Financial Advisors

1
Where Should You Establish Your IRA?
2
Inflation, Deflation, Disinflation – What’s the Difference?
3
SEC Head Schapiro Indicates Support for Fiduciary Standard
4
Historical Cash Positions & P/E Ratios
5
When Buying or Refinancing a Home You Should….

Where Should You Establish Your IRA?

Establishing and contributing to an IRA (Traditional or Roth) is pretty simple and straightforward. There is a wide variety of institutions that offer IRA accounts:  banks, savings and loans, credit unions, insurance companies, mutual fund companies, and brokerages.  There are pros and cons to each type of institution, as we’ll list below.  These alternatives represent the major options for opening your IRA, in no particular order.

Banks, Savings and Loans & Credit Unions
Pros: Banks are well-known as some of the most stable and conservative institutions in our financial industry.  For many folks, this is an assurance that there is
Read More

Inflation, Deflation, Disinflation – What’s the Difference?

Increasingly in the media, there are discussions relating to deflation: are we experiencing deflation, and is deflation worse than inflation? Occasionally, discussions of the economy refer to disinflation. This will be the first in a series of posts exploring price changes and their implications for investing.

Inflation: our old familiar friend
Inflation is a pretty familiar phenomenon for most people; we’re used to seeing prices go up generally over time. If you’re old enough, you may even remember the 1970’s, when prices spiraled dramatically upward and President Gerald Ford encouraged everyone to respond by wearing “Whip Inflation Now” lapel …

Read More

SEC Head Schapiro Indicates Support for Fiduciary Standard

One of the regulatory issues that many financial planners are concerned about is the current disparity between the rules governing Registered Investment Advisers and those that govern brokers.  Registered Investment Advisers, who are regulated by the states and/or by the SEC, are normally required to act in their clients’ best interests; they are fiduciaries.

Under current …

Read More

Historical Cash Positions & P/E Ratios

The above chart indicates the amount of cash investors have held as a percentage of the Wilshire 5000 at any point dating back to 1974. First, this chart confirms the belief that people invest money when they feel good, and pull money out of the market when they are fearful. Look at the 1990s. The percentage of cash not invested in the market steadily decreased throughout a decade where returns were constantly high. Consequently, in percentage terms, more money was invested in the stock market right before the crash of 2000 than during any other period studied. Additionally, you can …

Read More

When Buying or Refinancing a Home You Should….

Make sure you understand the fine print!

It’s a great time to buy or refinance a home. Interest rates are extremely low (As of Jan 2009 a no points, 30 year fixed, mortgage rate of 5% is very common). While this great interest rate opportunity creates a terrific chance to lower your monthly payment, it also can create confusion. The confusion lies in understanding the good faith estimate (GFE) and the HUD closing statement.

The GFE is the proposal the lender sends to you outlining your projected closing costs and the new mortgage payment amount. So often people will only …

Read More

Copyright 2014 FiGuide.com   About Us   Contact Us   Our Advisors       Login