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Diversification Forbes Investing

The S&P 500 Is Up 97% Since 2019. What’s The Market Outlook In 2022 And Beyond?

Since 2019, the total return on the S&P 500 is nearly 97% (almost 27% on an average annualized basis).¹ This outperformance is leaving many investors nervous, waiting for the other shoe to drop. Yes, current market conditions certainly imply lower returns for the stock market in the years ahead. But…

Kristin McKennaNovember 15, 2021

401(k) Plans Diversification Employee benefits Financial Planning Forbes Retirement Planning Tax planning Updated for 2021

Net Unrealized Appreciation Rules for Company Stock in a 401(k)

If you have company stock in your 401(k), you may want to consider whether to take advantage of net unrealized appreciation at retirement. Under the net unrealized appreciation rules, employees can roll over the portion of their 401(k) invested in company stock to a brokerage account and pay tax at…

Kristin McKennaSeptember 13, 2021

Diversification Forbes Investing Managing Risk

Is Bigger Better? Stocks Tend to Underperform After Joining Top 10

With the dominance of the largest U.S. stocks often occupying headlines, it's worth remembering that the biggest companies don't always produce the best returns. In fact, according to research from Dimensional Fund Advisors, historically, stocks tend to underperform after entering the top 10 largest stocks by market capitalization. On average,…

Kristin McKennaJune 14, 2021

Brokerage Account Building Wealth Diversification Forbes Investing Managing Risk

Trading vs. Investing: Which Is Better for Long-Term Goals?

Tesla, GameStop, Hertz, Dogecoin: retail traders continue to dominate headlines in the financial news media. Some individuals may be wondering, how is trading different from investing and which is better? For investors saving for long-term goals like retirement, placing speculative bets on single stocks rarely makes sense. But that doesn't…

Kristin McKennaMay 3, 2021

Diversification IPO Stock options Updated for 2021 Video

Managing Stock Options in a Direct Listing – Going Public Without an IPO

What happens to stock options if a company goes public without an IPO? A Direct Public Offering (DPO) or direct listing is a way for a company to list itself on a public stock exchange without the traditional Initial Public Offering (IPO) process. If you have employer stock options and…

Kristin McKennaApril 1, 2021

Asset Management Diversification Forbes Investing During a Crisis

3 Investing Lessons Learned from the 2020 Covid Crash

It was almost a year ago when the Covid-19 induced selloff in the financial markets reached a bottom. The S&P 500 fell from its February 19th peak with record-setting speed: it took only 16 trading days to enter a bear market (a decline of 20% or more from a previous…

Kristin McKennaMarch 29, 2021

Diversification Investing Investing During a Crisis

6 Crazy Facts About The Stock Market in 2020

We're all ready to put 2020 behind us. But before closing the books, it's worth reflecting on what was a crazy year in the stock market. Here are 6 stunning facts about the stock market in 2020. (more…)

Kristin McKennaMarch 22, 2021

Building Wealth Diversification IPO ISOs NQSOs Stock options Sudden Wealth Updated for 2022

What Does an IPO Mean for Employees? What to Do When Your Company Goes Public.

What does an IPO mean for employees? And what should you do when your company is about to go public? For early-stage employees and executives with stock, a company going public can potentially be life-changing. For workers hired closer to the IPO, there's still potential for some type of windfall. If…

Kristin McKennaMarch 6, 2021

Bonds Diversification Interest rates Investing Managing Risk

Bond Basics: How Bonds Work and the Benefits of Investing in Bonds

How do bonds work and why buy them in your investment accounts? There are several benefits of investing in bonds. Most notably, bonds provide investors with income, diversification from stocks, and stability compared to riskier asset classes. There's a lot to know about bonds, but here are the bond basics…

Kristin McKennaFebruary 8, 2021

Bonds Diversification Investing Managing Risk

Stocks vs. Bonds: Differences in Risk and Return Make a Case for Both

Stocks and bonds differ in many aspects, including the risk and return investors can expect. Because of these differences, stocks and bonds accomplish different things in an asset allocation. When you own a stock, you're buying a piece of equity ownership in the company. With bonds, you're buying the issuer's…

Kristin McKennaJanuary 25, 2021

Diversification