Browsing Tag:investing

AFP Staff
Financial Planning

What to do with Company Stock in your Retirement Account (Net Unrealized Appreciation)

It is not uncommon to be awarded company stock in your retirement account. When this happens and it becomes time for you to retire, there are certain moves you can make to achieve better tax outcomes. This is often referred to as “net unrealized appreciation” planning. Here’s how it works. When you are awarded company stock in your 401(k) it tends to appreciate over time. Let’s say you were awarded stock when it was $7/share 30 years ago and now…

AFP Staff
Financial Planning

Beware of “Calling the Top.” There’s more room for growth in this market.

The recovery from the March 2020 low was the fastest and most dramatic in stock market history. Investors were already feeling more confident by May 2020 and then on top that, they were rewarded with lower interest rates, stimulus packages, greater home valuations, and a surge in cryptocurrency values. “There’s no way 2021 can be better than 2020, they surmised.” And then it was. Some investors tried to call the top and sell their house or cash out from the…

AFP Staff
Financial Planning

What’s the big deal about ESG (Environmental, Social, Governance) Investing Right Now?

I’ve had a few friends and clients reach out and ask about ESG investing so I wanted to write a blog about its importance in the investing space right now. ESG is an acronym that stands for an approach to investing that focuses on investing only in companies that align with one’s values in terms of the company’s environmental, social, and governance policies. The governance piece is not to be confused with the U.S government, but is more the way…

AFP Staff
Financial Planning, Investments

Investing In An Election Year

investing during election year

2020 has been a train wreck so far to say the least. Added to all the chaos of 2020, this year is also an election year, which could have a large impact on your finances. The stock market tends to behave a certain way in election years. Depending on who gets elected, there could be huge tax implications on your income and your investments. Added to all of this is the black swan event of the coronavirus and unemployment, Congressional…

AFP Staff
Economics, Finance & accounting, Financial Freedom, Financial Planning, Investments, Life Planning

The Quintessential Key to Building Wealth: It’s Not What You Think

Anyone can create the lifestyle and legacy they want—even you, especially you! The good news is that if you want to experience prosperity, you don’t have to time the markets perfectly, make a six-figure income, or inherit a fortune from your deceased uncle. The bad news is that it’ll take work and you’ll have to do the exceptionally boring, yet all-important task to get you there: budgeting. I know it’s not fun or cool to talk about, but we must…

AFP Staff
Economics, Financial Planning, Investments

A Huge Warning Sign for Stock Market Investors

In the third week of March, 2020, the stock market experienced its worst day since 1987. With fears of the global pandemic worsening, the S&P 500 Index was down 34% by March 23rd.[1] Investors lost a lot of money. While much of that has been recovered, the 2020 market drop leaves valuable lessons for investors about the future of their money. In the months after March 2020, I’ve fielded dozens of phone calls, emails, and texts from investors who were…

AFP Staff
Economics, Finance & accounting, Financial Freedom, Financial Planning

What to do With Your Investments in Light of the Coronavirus

Markets during Coronavirus

Much has changed in the world of investments since the coronavirus pandemic. The volatility in the stock market this February and March rattled investors before making a rocky recovery April-July. Added to the coronavirus fears are real economic issues of companies slowing down and small businesses shuttering their doors or finding it difficult to find work. While this has been a volatile time in the markets and no one can predict when things will get back to normal, there are…

AFP Staff
Financial Freedom, Financial Planning, Life Planning

The Quintessential Key to Building Wealth: It’s not What You Think

budgeting

The research is in. The findings are conclusive. Anyone can create the lifestyle and legacy that they want—even you, especially you! The good news is that if you want to grow wealth, you don’t have to time the markets perfectly, make a six-figure income, or inherit a fortune from your deceased uncle. The bad news is that it’ll take work and you’ll have to do the exceptionally boring, yet all-important task to get you there—budgeting. Budgeting is the most essential…

AFP Staff
Financial Planning

How to Invest in the Stock Market

stock market

A commonly known investing philosophy is to buy low and sell high. When it comes to the stock market, however, many investors do exactly the opposite. Why do they make this common mistake? The tendency for many people is to want to get in on stocks when they are rising and cash out on them when they are falling. The psychological factor behind this is the investors’ fear of missing out on a good thing. They would rather buy stocks…