Review Category : Investments

Why Do We Give Names To Our Cars?

Our oldest daughter recently graduated college from the University of Georgia.  When she turned 16, we were fortunate enough to buy a beat up 2009 Hyundai Tucson from my mother and that’s pretty much what my daughter has driven since she became a driver.  As we finally made a change for her to get a new car (we stuck with Hyundai), my daughter told me how sad she was to see Sage go.  I thought to myself, “What in the world is a Sage?” so I asked my daughter.  Unbeknownst to me, my daughter had a name for her car and already had a name ready to go for the new car.  I’ve heard people give their cars names before, but always wondered when did this start becoming a common practice? Apparently, naming cars isn’t a new tradition at all.  For centuries before us, human beings have been giving names to vehicles and boats for centuries.  Think about shows like ...

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How Will The Tariffs Affect Your Every Day Wallet?

The stock markets continue to see increased volatility as the tariff and trade war between the United States and China continues to heat up. We’ve quickly realized that one tweet, media story, or heightened news coverage can send the markets soaring or spiraling in a day.  Here’s a recent example of a tweet: The reality is that these negotiations are extremely difficult, and nobody really likes to see them be prolongated.  Think about the most difficult negotiations you have probably done in your lifetime which is the buying or selling of a home and how your emotions ran high over $10,000 or $20,000 of negotiations when someone asked you to repair a cracked window or a lock that didn’t work. We are in an unprecented $420 billion-dollar trade gap right now which really means we buy a lot more stuff from China than they buy from us.  The tariffs (which really are a tax) act as a way for us ...

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Opportunity Investing

There are many successful investing strategies.  Warren Buffett likes to buy-and-hold.  For Jimmy Buffett, it’s always 5 o’clock somewhere.  Some people say diversify (don’t put all your eggs in one basket) to reduce risk.  Others look for opportunities that lead to tremendous growth. Let’s take a closer look at “opportunity investing”.  There are always Investment opportunities.  They come and go, some are good and some are bad.  If you’re old enough to be reading this while drinking your morning Starbucks Green Tea Crème Frappuccino®, then you probably remember the dotcom boom in the late 1990s, or the real estate boom in the mid-2000s.  Presently, there are several investing themes that have people excited, including:  cannabis, genomic revolution, blockchain (bitcoin), eSports, sports betting, and 5G. One opportunity we believe will have a tremendous and long-lasting impact is 5G.  PC Magazine says “5G is an investment for the next decade”.  So, “What is 5G” you may ask?  Let’s take a look. 1G ...

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Are Mothers Losing Income Equality When They Have Kids?

Request a FREE no obligation consultation: www.oxygenfinancial.net The pay gap between men and women is still not close to equal, but there are more signs when it comes to motherhood that the gap is widening even more. For example, one study showed that for women, incomes drop 30% after giving birth for the first time and never catch up. That’s according to a working paper by Henrik Kleven, Camille Landais and Jakob Egholt Sogaard published by the National Bureau of Economic Research in January 2018. The study used Danish administrative data from 1980-2013. (source: CNBC) Also called the “motherhood penalty,” women start falling behind men in terms of their rank and their probability of being promoted just after the birth of the first child, the researchers found. About a decade later, women’s earnings plateau around 20% below the level just before becoming a parent. (source: CNBC) So, is this motherhood penalty something that will continue, and just what can be done to ...

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Invest 2% Of Your Income In You

When we think about investments, we often direct our attention to categories such as stocks, bonds, and real estate.   What we don’t think about often is our most valuable asset, which is our ability to earn an income and how we can grow that income faster.  Almost 20 years ago, I met an extremely successful business owner who gave me a simple lesson: Invest 2% of everything you earn back into your ability to grow your income. So, what does this mean exactly? Investing in you is like diversifying your portfolio investments.  It means that you might take a chance and invest in that side hustle you think could be a business.  It means investing in a training course or advanced education that could further your current career.  It means investing in a personal coach who could improve your business performance.  It could also mean investing in an exercise or nutrition program that could give you more stamina every day ...

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The Three Most Important Letters In Retirement R M D

What is a required minimum distribution? (*) You’ll sometimes hear that you have important financial decisions to make when you turn the age of 70 ½.  The IRS has never seen a nickel of tax revenue on account you may have started in your early 20’s, so now they are wanting to get their due.  An RMD or required minimum distribution is the amount that the tax laws require you to take out of certain types of retirement accounts once you reach the age of 70 ½. If you have a traditional IRA, a 401(k) account, 403(b), or other types of retirement plans, then you’ll generally have to start taking RMDs once the provisions of the law kick in. The rules apply to certain inherited retirement accounts as well, so be very careful when you inherit an IRA. Required minimum distributions must be made in cash, and you’re generally required to complete the withdrawal by the end of the calendar ...

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What To Do When You Inherit An IRA

The other evening as I was checking client e-mails, a client sent me a short note inquiring about something her sister did with an inherited IRA and quickly after hearing the story I knew it was even too late to give advice.  The sister had told the IRA custodian to make a check out to her Father’s estate and this would cause tax consequences that are irreversible. Inherited IRA’s can be just like a dozen eggs…once you crack the shell it is impossible to put it back together.   When a loved one passes away, there is a wide array of emotions, and this could affect how you make short term financial decisions.  Especially when you don’t know all of rules or have various siblings chirping in your ear.  It is one of the most important times to seek out financial help from a professional. The overall rules for inherited IRAs are extremely complicated.  It really depends if you inherit the ...

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How Do You Know When To Sell A Stock

You have owned one of those amazing technology stocks over the last decade and you are beginning to wonder…is it time for me get rid of this stock?  Or, should you hold on to it like your parents or grandparents held on to their blue chip stocks until the day they passed it on to you?   Maybe you just bought one of those blazing marijuana stocks and made a nifty profit and are thinking you should sell it because it may just be a fad.  Just like sitting down at the Blackjack table in Las Vegas, we all know how to pull up a seat at the bar, we know how to place some bets, but if we start winning most of us don’t have a strategy about when is the right time to cash in your chips. It’s interesting to see the different philosophies that reside on the internet today.  The Motley Fool, one of the largest investment websites ...

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Where Should You Be Investing In 2019?

As 2018 comes to a close, most of you will be more than happy to wipe away the last three months of stock market woes.  With interest rates sure to climb up more in 2019, uncertainty with the China trade wars, and a looming national debt, it has many investors wondering where the best place is to put your money in 2019.  While nobody can predict the future, it’s important to review how you are investing your money relative to your goals, objectives, time frames, risk tolerances, tax brackets, etc. In 2018, we saw far too many people who were older and had too much money in the stock market.  It’s important to remember to ‘act your age’ and in general you should look at the rule of 100.  If you are 60 years old, roughly 60 percent of your portfolio should be in safer more secure type investments and 40 percent in equity or investments that carry more risk.  ...

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Why This Tech Bubble Isn’t Like The Last Tech Bubble

It has been 18 years since the ‘dot-com’ bubble happened in 2000, and many people are wondering when Ctrl + Alt + Delete button might get clicked again in their portfolio.  As the NASDAQ gently clipped the 8,000 mark this past week, there have been many articles discussing that equities are ending their run especially in the arena of technology.   However, today’s technology run is far different than that of 20 years ago when the NASDAQ traded at triple-digit P/E ratios and anything with a dot-com after it and a pulse would have significant valuation in the marketplace. Here were the top 10 holdings back in 2000 in the NASDAQ Today, the top 10 holdings in NASDAQ include the following: Apple, Amazon, Microsoft, Google, Facebook, Cisco, Intel, Comcast, PepsiCo, and Netflix. So, why is this tech bubble so much different than the tech bubble from almost 20 years ago? Dividends – Companies have lots of choices on what to do ...

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