AAII Survey: Causes of Financial Stress

 

 According to the 2015 American Psychological Association’s (APA) annual Stress in America report, nearly 90% of Americans said that their financial stress level “has either remained the same or gotten worse” with time. A recent GOBankingRates survey found that many Americans tap into their emergency savings to cover home costs, medical emergencies and even cost-of-living increases. AAII Weekly…

Is Inflation Bad for the Stock Market?

 

 The debate over whether stocks rise or fall in reaction to inflation continues. But studies indicate what many investors have suspected all along: The market is inconsistent. Editor’s Note: The “throwback” article was written in early 1986. The U.S. economy is experiencing the lowest inflation rates in almost two decades. The stock market is at…

Two-Thirds of Investors Agree With Federal Reserve’s Pausing of Interest Rate Hikes

 

 This week’s Sentiment Survey special question asked AAII members for their thoughts on the prospect of the Federal Reserve pausing its cycle of raising interest rates. Nearly two-thirds of the respondents (65%) agree with the neutral stance. Many of these respondents pointed to the lack of inflationary pressures, approve of chairman Jerome Powell’s talk of…

AAII Sentiment Survey: Optimism Jumps to a 3-Month High

 

 Optimism about the short-term direction of stock prices jumped to a three-month high in the latest AAII Sentiment Survey. Neutral sentiment also rose, while pessimism plunged. Bullish sentiment, expectations that stock prices will rise over the next six months, rose 8.1 percentage points to 39.9%. Optimism was last higher on November 7, 2018 (41.3%). This…

Beyond the Index Card – Implementing the Advice of the Financial Experts

 

 This week’s AAII Weekly Digest highlights these “must-read” AAII articles: The Individual Investor’s Guide to Personal Tax Planning 2018 AAII’s annual tax and financial planning guide is designed to help you assess your current tax situation given the new tax law and plan for any changes that may improve your tax liability both this year…

MoneyLife Radio Sell of the Week: Lindsay Corp. (LNN)

 

 AAII Journal Editor Charles Rotblut explains to Chuck Jaffe why Lindsay Corp. (LNN)  is his “Sell of the Week” for February 5, 2019, on the MoneyLife Radio Program. MoneyLife is a daily personal finance show that sorts through the financial clutter to bring you the information you need to lead the MoneyLife. Audio url: Sell…

The February 2019 AAII Journal is Now Available Online

 

 COVER ARTICLE The Individual Investor’s Guide to the Top Mutual Funds 2019 By AAII Staff Our annual mutual fund guide provides information and performance statistics on 727 funds.   NOTES & OPINIONS Dispatches Current news items of interest to individual investors. Majority of Retirees Regret Not Saving More for Retirement Older Workers Investing More in…

A Third of Investors Expect to Hold Their Allocations Steady This Year

 

 Last month’s Asset Allocation Survey special question asked AAII members what allocation changes they expect to make this year. Responses were mixed. Almost one out of three respondents (32%) do not plan to make any change or will simply rebalance their portfolios as needed. Slightly more than 19% intend to increase the amount of cash…

January AAII Asset Allocation Survey: Fixed-Income Exposure Reaches a 14-Month High

 

 Equity and fixed-income allocations among individual investors increased slightly last month. The latest AAII Asset Allocation Survey also shows a small pullback in cash allocations. Stock and stock fund allocations rebounded by 0.8 percentage points to 63.2%. Though this was a minor increase, equity allocations are above their historical average of 61.0% for the 70th consecutive…

Financial Planning: The Substance Beneath the Froth

 

 What Is a Financial Plan? Financial planning itself is not new, or even very exciting. Well-run businesses have been practicing this common-sense activity since the dawn of the capitalist era. What is new is the application of sound financial management techniques to personal as well as business affairs. Systematic personal financial planning involves considering one’s…