Tuesday, July 14, 2020
In the world of business, well-known companies are often in competitive industries, where it may be challenging to stay competitive and profitable. Behind the well-known companies will be suppliers. The supplier world often produces more predictable profits. Consider the extreme case of Tesla (TSLA). The electric car manufacturer has never reported a profitable quarter. It […]
If you want to own the “stay-at-home” stocks, but don’t want to own individual names, one way to get exposure to digital vs. in-person companies, is to own the Invesco QQQ Equity Index (QQQ). The QQQ mirrors the Nasdaq 100 Index, and is made up of the 100 largest non-financial stocks trading on the Nasdaq. […]
I read Bill Bonner’s Diary regularly. Bill cuts through the smoke and mirrors, and explain things in understandable, matter-of-fact terms. He recently wrote, Don’t Bet on America. “Never, ever bet against America,” says the Oracle of Omaha (Warren Buffet), perhaps exaggerating. Countries, like individuals, make mistakes. …. It was a bad idea to bet against America throughout most […]
The SPDR S&P 500 ETF (SPY) is a monster ETF (exchange-traded fund), designed to follow the S&P 500 step for step. This is the granddaddy of all index funds. SPY currently has assets of $267 billion. For some perspective, SPY has more in assets than the GDP of Finland. Of course, Finland has been around […]
The White House has put forth a preliminary proposal for an infrastructure bill that could add fuel to the fire the Federal Reserve is stoking in the stock market. Stocks like Apple (AAPL), already trading at all-time highs, should get an additional boost from spending. Under the $1 trillion plan, some of the money will […]
Baby Boomers (1946-1964) are now between 56 and 74 years old; at or near the end of their working careers. When it comes to saving and protecting their retirement nest egg, they have very little wiggle room! What if we have a Great Depression type market crash? It took 25 years for the market to […]
Retail stores and sit-down restaurants were two types of business decimated by the coronavirus pandemic. Now in most of the country, these business types are in the early days of reopening. The big question is how fast consumers will return to in-store shopping and dining out. Investors want to know which companies will see business […]
Do you have a 401(k)? How much are you paying in fees? Is your money invested safely? Is it company sponsored, or self-directed? A TD Ameritrade survey found that 27% of investors knew how much they were paying in 401(k) fees and astonishingly, 37% of respondents were unaware. I believe in maximizing your 401(k) contributions, […]
Congratulations graduates, you have worked hard and should be celebrating your academic success. Don’t allow a temporary setback to dampen your spirits! Whether you are graduating from college, high school, grade school or something else, my message is the same. Last year a reader sent me, “We Are What We Choose”. It’s the remarks by then […]
It seems to be every day that I read a press release or two announcing a dividend reduction. The COVID-19 triggered shutdown of the economy has a lot of companies looking to conserve cash. One way to keep money in a company is to cut or suspend dividend payments. While the dividend reduction may be […]
