Choosing Between a Traditional and a Roth IRA

I spent yesterday at Schwab’s IMPACT Conference. The annual conference is oriented toward independent financial advisers. Nearly 5,000 people attended this year’s conference. I’ll share some of my notes at the end of this week’s commentary, but first I want to focus on a specific session that addressed the topic of choosing between a traditional…

 

A Strategy for Losing Money

I can give you a name of a fund trading with the equivalent of a 23% sales charge. It’s actively managed by a company that’s incurred large outflows from its signature mutual fund following the departure of its star chief investment officer. Interested in owning it? You probably aren’t, but some investors were. PIMCO’s Municipal…

 

Creating and Following a Real Financial Plan

This week’s AAII Weekly Digest highlights these “must-read” AAII articles: IRA Rollover Chart: Rules Regarding Rollovers and Conversions This article provides a helpful chart, adapted from the Internal Revenue Service (IRS), that shows what types of retirement accounts can be rolled over or converted into another type of retirement account.   Life After Loss: 6 Smart…

 

Is the Time Right for a Roth IRA Conversion?

According to ThinkAdvisor, the recent market downturn has presented an opportunity for those considering converting to a Roth IRA. Why Convert in a Downturn? The primary reason to consider converting a traditional IRA to a Roth IRA in a market downturn involves the tax savings that such a move can generate. When you convert to a…