Disclosures are always necessary but rarely sufficient to fulfill fiduciary obligations. …As important new guidance, the SEC notes that some complex or extensive conflicts may defy adequate disclosure, thereby depriving clients of the… Read More
When you were a kid, did you ever dream of being able to just let it all go – not having to follow any rules, no penalties, no restrictions? What if I told you that the IRS provides you with just such an environment – where you are free to literally do (or not do) almost anything you want with your IRA? Including buying yourself that octopus costume you always wanted?
So just where is this nirvana? Where you can just go willy-nilly and do whatever suits you with your IRA? It’s not a where, but rather, when.
Between …Read More
I recently received the following reader question:
In “Appreciating Assets Part 1: Stocks and Bonds,” you wrote, “On average, equity investments appreciate at a rate of 6.5% over inflation.”
Can you please let me know on what study this is based? As I read the historic equity risk premium is about 4.6%, substantially lower, and this would have a huge impact on your draw down rates.
There is a difference between “equity risk premium” and “real return over inflation.”
The historical equity risk premium is the return of equities minus the so-called risk free rate of …Read More
The post Both Spouses Need to Increase their Financial Literacy appeared first on Yardley Wealth Management, LLC.
The New York Times recently ran a great article about financial literacy.
Business school professors did a study and found out that when one person handles most of the financial chores in a household, that person gets better at it. That makes intuitive sense. With anything that you practice at or do routinely, you tend to improve.
I would say from my personal experience in working with hundreds of couples and families, one person usually makes most of the decisions.
That turns …Read More