Investing Archives - Darrow Wealth Management

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

Asset Management Bonds Investing Retirement Planning

Living Off Dividends: Another Retirement Myth?

The idea of living off dividends in retirement sounds nice, but it's challenging. What investors don't always realize is how much money they'll need invested to generate enough income from dividends. For example, over the last 25 years, the S&P 500's average dividend yield was 2.01%.¹ If you have a…

Kristin McKennaOctober 18, 2021

Asset Management Forbes Investing Retirement Planning

Should You Change Your Asset Allocation in Retirement?

If you recently retired or are planning to, you likely have questions about how to position your investments going forward. Conventional wisdom suggests investors should change their asset allocation in retirement to be more conservative. However, depending on your pre-retirement asset allocation, income sources/needs, and long-term goals, that may not…

Kristin McKennaOctober 11, 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

Current events Investing Tax & Estate Planning Tax planning Updated for 2021

Will Tax Hikes Hurt Stocks? Impact of Tax Rates on the S&P 500

Between the Biden tax plans and other bills already before Congress, it's likely that some level of tax legislation will make its way into law before 2022. For investors, there's a concern that tax hikes will hurt stocks, a reasonable conclusion. But historically, tax rates have mostly moved independently from…

Kristin McKennaMay 11, 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

Business owners Cash Management Financial Planning Investing Tax & Estate Planning

What To Do With The Money From The Sale Of Your Business

After selling your business, you may receive a lump sum in cash. Deciding how to allocate and invest the proceeds after selling your business is a big decision that requires careful planning. If you are expecting a sudden windfall, develop a plan to invest the money so you're not sitting…

Kristin McKennaApril 26, 2021

Forbes Investing Retirement Planning

Only 27% of Workers Say They’re on Track for Retirement. Where Do You Stand?

According to a recent survey of U.S. households by Schroders, only 27% of respondents who were still working reported 'very good' and 'fully on track' when asked how they feel about their retirement planning. Even more alarming, only 18% of workers between age 60 - 67 say the same. But…

Kristin McKennaApril 12, 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

Asset Management Building Wealth Forbes Investing Managing Risk

Should I Invest When the Market is High? Dispelling the Buy Low, Sell High Myth

Most investors realize trying to time the market by always buying low and selling high isn't a realistic endeavor. Yet even with that knowledge, if you have a substantial amount of cash to invest, the thought of investing when the stock market is hovering near all-time highs may give you…

Kristin McKennaMarch 15, 2021