What’s the Best Time for Rebalancing Your Portfolio?

Experts recommend rebalancing your investment portfolio, but how often should you?

Maintaining the right mixture of assets in your portfolio is important to your long-term investment success. Because some investments go up in value over time, and others go down, experts recommend periodically rebalancing your portfolio so that you don’t end up owning too much of some securities and not enough of others. But when—and how… Read More

Investments in Tax-Advantaged Accounts

Open an IRA, Roth IRA, or 401(k) investment account to take advantage of taxable account benefits.

Tax-advantaged accounts, such as IRAs and 401(k) plans, provide a great way to save for retirement. And if your only investments are in tax-advantaged accounts, then your primary focus should be on diversifying appropriately for your specific goals and risk tolerance. However, if you have assets in both non-tax-advantaged accounts as well as tax-advantaged accounts,… Read More

Dividend Stocks and Younger Investors

Should younger investors consider dividend stocks for their investment portfolio?

Controversy swirls around whether younger investors can benefit from emphasizing dividend-paying stocks in their portfolios—a practice normally associated with retirees. But evidence suggests that no age is too early to start thinking about income investing. Growth companies—one argument goes—may be more enticing to non-retirees because they can boost returns quickly. These companies are typically young,… Read More

Investors Leading a Low Cost Revolution

Investors are leading a low cost investing revolution by demanding more from their investment brokerage.

Shopping around can save you money at the grocery store, the car dealership, and perhaps most importantly, in your investment portfolio. More investors than ever realize that one of the keys to a successful investment experience is managing costs. Need evidence? Mutual fund expense ratios—the annual charges paid to cover management fees as well as… Read More

How REITs Can Benefit a Diversified Portfolio

REITs could benefit your investment portfolio if the return and risk profile matches your investment goals.

If you own a house, and your home equity represents a hefty portion of your total assets, you may not want or need any more investments in real estate. But if you’re trying flesh out your portfolio with some real estate exposure—without the hassle of becoming a landlord—one way to achieve it is through real… Read More

An Investment Strategy Checkup for the 4th Quarter

Be sure to evaluate your investment strategy at year-end to account for any changes that have happened over the past year.

Don’t look now, but here comes the 4th quarter. The end of the year is a good time to take a look at whether you’re on track with your investment strategy. Don’t wait until the end of December. That could force you to make decisions or take actions too hastily. First, review your financial goals…. Read More

Investing in Stocks During Retirement

Should you consider stock investing during retirement?

If you’re like most people, investing in stocks during your working years offers one of your best opportunities for growing a nest egg large enough for a comfortable retirement. And when retirement is still years away, any volatility that comes from stock ownership can be waited out by patiently holding a diversified portfolio. For most… Read More

Factoring Sequence Risk into Retirement Planning

Be sure to factor sequence risk into retirement planning.

When building your retirement portfolio, investing in a routine, systematic way can ensure that you purchase assets at random prices over time. So long as the market moves higher in the long run, any temporary declines, or even major corrections, will provide you with the chance to buy assets on sale. The same cannot be… Read More

Understanding Risk and Setting Realistic Expectations

Know the inherent risk in stock ownership before market volatility hits.

Until the recent global equity sell-off, stocks had been on an upward trajectory for some time, with the S&P 500 Index—a broad measure of U.S. stocks—delivering six straight years of gains. An investor who’d bought shares in an S&P 500 Index fund at the last market bottom, on March 9, 2009 would have seen that… Read More