The Taxes You May Be Paying on Your Investments

Depending on what you invest in, this may be a year where you both incur a loss of portfolio value and owe capital gains taxes. This is particularly true if you hold actively managed mutual funds in a taxable account. Even if you don’t hold mutual funds in a taxable account, the new tax law…

 

Gauging Your Psychological Readiness for Retirement

Revisiting the Risks of Retirement Spending Rules In this update to a 1998 article, we discuss the risks of spending only portfolio income, spending returns or making inflation-adjusted withdrawals. Illustrating the Value of Retirement Accounts Two examples show the considerations to be taken into account when deciding between a taxable account, a traditional IRA and…

 

An Argument for Favoring the Loser Over the Winner Funds

Performance chasing is common in investing. Not investing based on momentum strategies per se, but choosing funds, money managers and newsletters based on recent performance. Institutional investors (pensions, endowments, etc.) are as guilty as individual investors when it comes to looking for the hot hand. Such behavior often leads to worse outcomes than better ones….