I frequently get asked about college 529 savings plans. The question I usually get asked is: how much should I put into my kid's 529 Plan each month? The question clients should be asking is: SHOULD I contribute to my kid's 529 plan each month? Let's start with the basics*. 529 plans are sponsored by …
Tag: Naperville Wealth Management
The Power of Compounding
I recently took the family down to Naples, Florida for some vacation time. On one afternoon we took the kids on a boat cruise around the harbor with the goal of seeing some dolphins (which we saw!). After explaining some of the history around the harbor, the tour guide quickly moved the conversation to real …
Investing Trends – Commodities
If you follow the financial markets, you have most likely seen the "I" word recently - inflation. Although benign since 2008, inflation is on the "risk radar" of many asset managers heading into 2018. Some asset managers believe that higher inflation may cause the FED to raise rates faster than expected, which should cause bond …
Low Risk, Great Returns
Take a look at the following chart*, which was published in a book I am reading called "Adaptive Markets" by Andrew Lo. Based on the performance you see here, if you were to invest your entire life savings into one of these investment vehicles today (at the end of each line), which one would you …
What’s Your Carry?
Most people are unfamiliar with the investing term "carry". Carry is simply the cost or benefit of owning an asset. Bonds have a "positive carry" since they give you periodic coupon payments. All things being equal, bonds pay you to own them. An asset like crude oil may have a negative carry if you include …
The Naperville Financial Planner 