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Will No-Cost Trading Improve Your Investment Returns?

Earlier this week Charles Schwab & Co. announced that they would eliminate online transaction fees for ETFs, stocks, and options. Two days later TD Ameritrade followed suit, causing brokerage stocks to suffer their worst weekly drop in well over a decade as investors digested the earnings losses brokerage firms are likely to experience. Is this…
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Is This A Good Time To Invest In Bonds?

You’ve probably heard through the financial media that bonds are on a tear this year. The 10-year U.S. Treasury bond, one of the safest investments on the planet, has gained over 10% so far. That is its best performance in over a decade. Is this the right time to start selling those risky stocks and…
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Beware of Overconfidence Bias

In 2006 James Montier, a researcher at the investment banking arm of Dresdner Bank, decided to test the behavioral biases of some 300 investment fund managers. One of the questions he asked was “Are you above average at your job?” Over 70% of the respondents answered yes. A number even included comments along the lines…
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There’s A Trust For Almost Any Situation

When it comes to estate planning, trusts are most commonly used for transferring assets after death to heirs or charities in order to avoid the cost, visibility, and potential delays associated with having only a will. But did you know that trusts can be used to transfer assets to others while you’re still alive? And…
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What to Do With A Leftover 529 Plan

Despite the burgeoning cost of higher education these days, some parents might still end up with unspent money in a 529 plan after their child has graduated from college. As you may know, if you withdraw the money for purposes other than for your child’s education, you have to pay taxes plus an additional 10%…
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Does Yesterday’s Market Drop Portend a Recession?

The Dow Jones Industrial Average (DJIA) experienced another jarring 800-point drop yesterday, roughly a 3% loss. The media attributes it to (1) the inversion of the yield curve and (2) the 0.1% decline in Germany’s GDP. Talk of an impending recession has ramped up. Most likely the questions on investors’ minds are “Is a recession…
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