In this time of disappearing pensions, corporate downsizing, and high unemployment it becomes a great concern that many folks are still not saving enough for retirement. This may be due to a failure to realistically assess future costs or because we’re spending too much without saving – which is a hallmark of the baby-boom generation. Granted, there are plenty of good reasons why spending is out of control – with healthcare costs increasing all the time, for example. But I suspect that much more of the blame for our low savings balances is …Read More
The answer is simple: enough to ensure that if you (or a covered family member) get sick or injured, you’re not footing the entire medical bill on your own.
If you receive health insurance through your employer, your choices are limited. Some employers will offer plans from multiple health insurance providers, but most limit their offerings to one provider. Additionally, most employers offer one or more of the following: an HMO, a PPO or a traditional plan.
• An HMO (or health maintenance organization) is usually the lowest-cost alternative. As a result, enrollees …Read More
Here is more evidence that executives at America's largest corporations are consumed by what Jack Bogle, the founder of the Vanguard Group, calls "short-termism" which occurs when excessive focus is put on the next few quarterly earnings reports. Meanwhile, the long-term interests of shareholders, employees and the local economies they participate in suffer.
James Montier's recent essay, The World's Dumbest Idea, illustrates that during the last twenty years, CEO salaries have skyrocketed and the majority of this growth has come in the form of stocks and options.
The move to award CEOs with generous stock and options …Read More
Whenever we’re out shopping or online shopping there’s always the temptation to purchase things we really don’t need. For example, I was at the store the other day and tried on a few pairs of jeans. Did I really need them? No. Did I want them? Of course. You may have seen yourself in a similar situation – wanting something but knowing you most likely didn’t really need it.
Here’s the …Read More
You’ve almost certainly read about the recent drop in the global (and U.S.) stock markets, as a result of the “shocking” announcement by the Swiss central banking authority that it would not force the Swiss franc to trade at 1.2 euros. Be prepared to be shocked: you can now buy a Swiss franc with a euro.
If you’re like most of us, you’ve probably wondered why this shocking development would have anything to do with the enterprise value of the individual companies that make up the various global indices. What’s the story here?
The story is actually pretty simple—and surprisingly, …Read More