Bull Market Today, Bear Market Tomorrow: How to Prepare Your Portfolio for Anything

May 16, 2016

Stock market investors should be feeling pretty happy with 2013 so far: Since the start of the year, the Dow Jones Industrial Average is up by around 900 points, and has been flirting with a record high set before the 2008 downturn. Other major indices such as the Nasdaq and the S&P 500 have been doing similarly well. But even so, years of market turbulence and tumbles have left investors…


Video Showing the Huge Gap Between Super Rich and Everyone Else Goes Viral

May 7, 2016

For much of the past decade, policymakers and analysts have decried America’s incredibly low savings rate, noting that U.S. households save a fraction of the money of the rest of the world. Citing a myriad of causes — from cheap credit to exploitative bank practices — they’ve noted that the average family puts away less than 4 percent of its income. “Wealth Inequality in America,” a six-minute video produced by…


SEC Charges Illinois With Securities Fraud — and Settles Immediately

April 26, 2016

(Alamy)You may want sit down for this one. In an announcement that’s certain to leave the good citizens of Illinois feeling shocked — shocked! — it appears their politicians have not been entirely honest with them about the state of the state’s finances. On Monday, the Securities and Exchange Commission published a notice that simultaneously charged the state of Illinois with committing securities fraud and also settled the charges, without…


Despite Surge in U.S. Stock Prices, Investors Remain Cautious

April 21, 2016

Five and a half years after the start of a frightening drop that erased $11 trillion from stock portfolios, the Dow Jones industrial average has regained all the losses suffered and reached a new high. (Richard Drew/AP)By MARK JEWELL BOSTON — The Dow Jones industrial average continues to set new records but average investors are still proceeding with caution. While they added to U.S. stock funds in the first two…


How Risky Are Your Bonds? Here’s How to Tell

April 6, 2016

Getty ImagesAt some point, the party is going to end: Interest rates are currently at unsustainably low levels — levels not supported by natural supply and demand, but by the Federal Reserve’s aggressive policies. Higher rates are generally good for people looking to put new money to work in the bond market. But what about those already invested in bonds? As Dan Caplinger recently pointed out here on DailyFinance, this…


3 Ways to Spring Clean Your Portfolio

March 28, 2016

Alamy With the cold winter weather starting to thaw, it’s a great time to tackle those spring cleaning projects — not just at home, but in your portfolio, too. The market’s recent rise makes it a little easier to tackle the three tasks below. After all, it’s much more fun to lock in a gain than it is to admit defeat and settle for the consolation prize of a potential…


Bond Market Crash: Is Disaster Ahead for the ‘Safe’ Part of Your Portfolio?

March 16, 2016

Just when you’ve finally gotten over the stock market crash from four years ago, there’s a new threat that could potentially hit your portfolio. Even worse, it’s in an area that many people think of as being safer than stocks: the bond market. Goldman Sachs (GS) is the latest big Wall Street institution to sound the alarm about a potential bond market crash. Although bond-market dynamics are sophisticated and complex,…


Apple Raises $17 Billion in Largest Corporate Bond Sale Ever

March 8, 2016

Getty ImagesBy Ben Rooney Apple sold $17 billion worth of bonds late Tuesday in the largest sale of corporate bonds ever. The company offered both fixed and floating rate bonds, with maturities of of 3, 7, 10 and 30 years. At $17 billion, the offering trumps Roche Holdings’ $16.5 billion bond sale in 2009, according to data from Dealogic. Apple saw strong demand for its bonds, which were rated Aa1…


Investors Eye Fed for Further Clues on Interest Rates

March 5, 2016

Manuel Balce Ceneta/APFederal Reserve Chairman Ben BernankeBy MARTIN CRUTSINGER WASHINGTON — When the Federal Reserve offers its latest word on interest rates this week, few think it will telegraph the one thing investors have been most eager to know: When it will slow its bond purchases, which have kept long-term borrowing rates low. The Fed might choose to clarify a separate issue: When it may raise its key short-term rate….


Bonds: We’ve Seen This Movie Before. It Doesn’t End Well

March 2, 2016

Prev1 of 2Next Getty Images Investors have short memories. Our recollections about five years ago are hazy. Ten years, and lessons are forgotten. Thirty years ago might as well have been the Big Bang. Bonds have been in a 30-year bull market, so even some of the most grizzled professionals haven’t experienced a prolonged period of pain. But history doesn’t forget. The bond market has been here before. And it…