Investors, Turn Down the Volume

In rock ’n’ roll, turning up the volume is not only welcome, but is often outright called for. While headbangers may want the volume cranked up, investors may prefer to have the volume set on low instead. High volume signifies a large amount of interest among investors. Interest often is inversely related to mispricing. Put…

 

The Senate’s Proposed Change to Recognizing Capital Gains

As I write this, the full Senate is considering the Tax Cuts and Jobs Act (TCJA). One provision in the Senate’s version of the TCJA impacts the treatment of capital gains. Specifically, the provision would eliminate your ability to specify which lot you sold if you purchased shares of the same security on more than…

 

The Level3 Withdrawal Strategy to Maximize Your Long-Term Wealth

This week’s AAII Weekly Digest highlights these “must-read” AAII articles:   Strategies for Managing Required Minimum Distributions You are forced to spend down traditional IRAs at a steady rate after age 70½, whether you need the cash or not. The secret of required minimum distributions (RMDs)—that many people don’t realize until they are well into…

 

Bill Bengen Discusses His Retirement Withdrawal Strategy

William “Bill” Bengen, whose 1994 study introduced the concept of the 4% withdrawal rate for retirees, recently participated in a question and answer session on social media website Reddit. The conversation focused on retirement withdrawal strategies and portfolio allocation. I’ll provide some highlights here. The full exchange is interesting, though you will want to set…

 

The October 2017 AAII Journal is Now Available Online

Feature Article » Stock Strategies Stock Market Retreats and Recoveries by Sam Stovall Only six months, on average, have separated the end of one decline and the start of the next one, but recoveries have been quick. AAII InvestoGraphic » Stock Market Volatility by AAII Staff Large-company stocks can experience big price swings on a 12-month…