AdviceIQ Articles

  • The Housing Recovery Mirage

    One of the signs of economic recovery that optimists point to is the resurgence of the housing market. But investors beware: The rebounding market is not a house of brick, but a house of cards.

  • 5 Tips for Business Owners

    Owning a business is a dream for many, but achieving financial success with your own company is not as straightforward as it is for company employees. There are so many decisions to make that have tax implications, which could make or break you.

    The trouble is that if you go it on your own, nobody tells you what is best. If you own a business, here are five things you must do right now.

  • How to Be a Patient Investor

    An all too common investment mistake is to view the stock market as some kind of casino for short-term gains. That’s why one of my favorite rules of thumb is this: Don’t put money in stocks unless you can afford to leave it there for at least five years – and ideally as long as 10 years.
    What’s the rationale behind this suggested time frame?  Statistics. A longer time horizon dramatically increases the odds that you get a positive return on your investment.

  • How to Be a Saver, Not a Spender

    Are you a spender or a saver? Many people think they are savers, but are fooling themselves. Successful savers make sure their money habits add up to saving in reality, not just fantasy.

  • A CD That Pays Well? Huh?

    A certificate of deposit that yields as much as 6% – and still guarantees your principal? The idea seems absurd when CDs pay tiny amounts. But that’s what the new market-linked CDs promise. How is this possible?

    Some of the larger banks offer these CDs, which are tied to the results of the stock market. Essentially, these let you invest in the stock market and get a guarantee that your investments don’t lose money. There are no exorbitant fees or commissions on these. If stocks go up, you share in the profits. If stocks go down, you don’t lose money.

  • Why Cash Is Still Useful

    Cash is very unpopular these days. Not just literal paper and metal money, but liquid cash in low-interest accounts is out of style as investors take risks to get a good return in stocks and elsewhere. Folks often complain that they earn only pennies in interest in their savings or money market accounts, but it is still important to have some cash on hand for an emergency.

  • Advisors Who Ignore Calls?

    Many companies get away with poor customer service these days, thinking that it is more cost-effective to put the customer off than to hire a person to help serve their needs. But now, some advisors believe they don’t have to returning clients’ phone calls in a timely fashion. What a mistake.

  • Interest Rates and Retirement

    What combination of assets creates the greatest likelihood of providing income you will not outlive? Most likely one with a lot of stocks and an annuity linked to inflation increases.

    The question is increasingly important amid current low interest rates, which appear likely to stay low for a while. This environment is spurring re-examination of theories surrounding the sustainability of retirement income. Longevity risk grows (the possibility of outliving your assets) and health-care costs add uncertainty, so academics again are running simulations.

  • Tax Tips for Newlyweds

    We’re deep into the 2013 wedding season, and lots of folks are tying the knot. While the Internal Revenue Service is hardly on anyone’s mind as they celebrate, there are some important tax tips to keep in mind.

  • 5 Reasons to Avoid Bitcoins

    Bitcoins, the digital crypto-currency, is the latest financial craze hitting the streets, but I advise you to sit this one out. Completely digital transactions might be the way to spend money in the future, but don’t mistake it for a safe investment.

    Bitcoins are never used as physical currency. They don’t have the backing of any government. In fact, its very existence is a legal gray area. To get this currency, you can go through an exchange or “mine” them with a powerful computer.

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