Tag Archives: retirement
U.S. pension plans underfunded by $450 billion
Imagine if you knew you owed a dollar to your friend but you didn’t have to pay it back for 10 years. Using the time value of money, you could assume an interest rate and then invest some amount (say … Continue reading
How much do you need to save to replace your salary in retirement?
A prominent debate in the financial advisor industry examines what is a safe withdrawal rate from a retired person’s investment portfolio. It’s not quite consensus, but it is generally considered that you can withdraw 4% of the value of a … Continue reading
Retirement reality: when is not always your choice
Interesting chart here from the Employee Benefits Research Institute analyzing the frequency at which people are able to retire on their own terms compared to those who have been forced to retire earlier or later than planned. Twenty years of … Continue reading
As China ages, will high savings turn into a consumption boom?
According to the recent white paper Demographics in Emerging Markets: Hope or Hype by Mirae Asset Management, over the next 40 years or so, China will go through a large change in both the average age and spending habits of its … Continue reading
Dave Ramsey’s misleading expectations
Radio host and author Dave Ramsey has developed a big following by delivering basic advice about financial literacy and budget management. He has helped a lot of people take positive steps to get out of debt and invest for their … Continue reading
The Bond Market Conundrum of 2011 — Part II
Portfolio Management Preferences to Reduce Risk LOOK BEYOND TREASURIES U.S. investors have easy and relatively inexpensive access to a broader selection of bonds than they had in 1994. Non-U.S. bonds provide U.S. investors access to different economic cycles, interest rates … Continue reading
The Bond Market Conundrum of 2011 — Part I
What Happens When Interest Rates Rise Given historically low U.S. interest rates, government stimulus efforts that seem likely to spark inflation and a massive flow of cash chasing returns, many investors think that it is not an ideal time to … Continue reading
New analysis of college costs
The College Board published its annual Trends in College Pricing report last week. It’s no surprise that higher education costs continue to climb in absolute terms. But for students who receive grants or federal aid, college costs have actually declined … Continue reading
