Last week’s economic data was plagued by uncertainty. A brief respite in inflation pressures was overshadowed by sentiment concerns.
This morning’s retail sales report is a bit of relief. The economy, as of the end February, is not in free fall as the control group increase of 1.0% offset the same decline in January. Nevertheless, the underlying concerns that emerged over the last few days cannot be ignored.
Navigating tax season can be even more confusing when facing the range of rules around IRA withdrawals, 529 plan distributions, and charitable deductions. Our Bill Cass details some common questions around tax filing.
The risk of a recession in the U.S. is not zero. This is particularly true as the current Administration tackles Government bloat and implements tariffs. However, before we discuss why the risk of a recession could increase, it is crucial to remember the 2022 experience.
Most of us associate 529 accounts with college savings. They’re flexible, allowing you to transfer assets to anyone, including yourself, for the express purpose of furthering the education of your beneficiary. But did you know that a 529 can be a powerful estate planning tool?
For decades, the U.S. dollar’s dominance has rested on two pillars: America’s deep capital markets and its global security alliances. Today, both are under strain.
The world’s recent experience of faster inflation may make it harder for central banks to control prices in future, former US Federal Reserve Chair Ben Bernanke said.
Just recently, S&P Global released its 2026 earnings estimates, which, for lack of a better word, have gone parabolic. Such should not be surprising given the ongoing exuberance on Wall Street. Unsurprisingly, rationalizations justify illogic when too much money is chasing too few assets.
Looming U.S. and global policy shifts may potentially rattle markets, but a tactical and flexible approach could help investors navigate risks and opportunities regardless of how events play out.
Investor sentiment around small-cap companies is worse than it’s been in months. As it turns out, the mood isn’t much better inside their corporate boardrooms.
General Motors Co. plans to step up its program of buybacks by repurchasing $6 billion in shares and raising its dividend, rewarding investors by pushing more cash off its balance sheet.
When constructing a target-date fund (TDF) glide path, providers have many decisions to make, such as what asset classes to include, when to include them, and how much to allocate to each.
Chief Investment Officer of Global Asset Allocation, Anwiti Bahuguna, Ph.D., outlines the investment themes and return expectations from our new 10-year outlook.
Consider estate planning strategies to minimize the impact of taxes on your estate. Our Bill Cass highlights several key actions including document reviews, naming beneficiaries and the use of 529 college savings plans to enhance tax efficiency.
Meta Platforms Inc.’s recent record-breaking, 20-day rally propelled the share price to a level where investors may start calling on the company to split its stock for the first time since going public in 2013.
The latest reports on consumer & wholesale prices indicated persistent inflation pressures. Retail sales posted a large drop.
Our research shows how artificial intelligence can potentially enhance performance of equity investing.
Investors in America’s biggest company are increasingly focused on China, where Apple Inc. is striving to win over a crucial customer base while also facing tariff-related risks.
We explore why extreme market concentration is unsustainable, how competition and innovation drive broader market performance, and why diversification is key as volatility rises. Don’t let market extremes catch you off guard.
Tariff threats offer a glimpse of what is in store.
We analyze the impact of U.S. tariff proposals on markets and how investors can manage their portfolios accordingly.
Prepare for 2024 taxes by organizing forms, documenting charitable contributions, maximizing retirement savings and reporting rental income.
The stock market posted some noteworthy streaks of its own in the fourth quarter.
Deregulation is among President Donald Trump’s most enduring policy themes. In his 2016 campaign, he called for widespread deregulation and made it a central plank in both his economic and energy platforms.
In our view, active investors face opportunities to outperform created by looming policy changes and the macro landscape.
DeepSeek, a Chinese artificial intelligence startup, has developed a model that can apparently answer questions as well as any chatbot in the US. It might even help answer a long-running question on Wall Street without being asked.
We explore how evolving priorities under the new U.S. administration may influence markets and investor outlooks.
Are U.S. stocks in a massive valuation bubble? We don’t think so. Will U.S. stocks outperform their European and Asian counterparts over the next 10 years? Maybe.
We explore how advancements in indexing solutions have allowed investors to tailor their portfolios according to their specific objectives or risk profiles.
State and federal agencies are providing immediate assistance and financial aid for essentials for wildfire victims in California. Our Bill Cass shares some financial strategies to secure emergency funds and plan finances.
Outlooks for higher education and healthcare are the weakest while transportation and essential utilities are the strongest. Resiliency to withstand an economic downturn is strong for all sectors.
Rough times are coming, yes, but I think we have at least 12 good months before the worst gets here. Let’s look at some of the reasons why things should be okay and then look at some of the potential problems.
A look at the 2025 tax rates and contribution limits means individuals may save or gift more this year. Our Bill Cass shares the updated key tax figures and some planning considerations for the year ahead.
Despite a lackluster 2024 for most bonds, investors with an eye on the long-term time horizon could reap future benefits.
We’re continuing the Advisor Perspectives tradition of highlighting the most-read investing articles for 2024. Enjoy!
We prefer equities over fixed income, in particular U.S. equities as the outlook for the U.S. economy is solid and promising.
It’s that time of year when Wall Street polishes up its crystal balls and predicts next year’s market returns. Since Wall Street never predicts a down year, these forecasts are often wrong and sometimes very wrong.
We believe that there are several guardrails in place that considerably limit the extent of presidential influence over monetary policy decisions.
How a diversified liquidity strategy might help time-strapped corporate treasurers reduce vulnerabilities and improve adaptability in uncertain markets while maintaining access to cash.
The transition from bank-dominated lending to a diversified financing ecosystem offers unprecedented opportunities for private credit investors.
Corporations are currently producing the highest level of profitability, as a percentage of GDP, in history.
We expect high yield bond issuers to maintain healthy balance sheets and defaults to remain low.
Here are six key areas where AI can make a transformative impact on financial advisory practice.
We examine how a potentially complex bond market in 2025 could still offer opportunities in high-yield bonds, municipal bonds, and inflation-protected securities.
U.S. policies are set for a major reshaping as full Republican control takes hold in 2025.
With year-end looming, consider taking action now to determine if annual gifts make sense. Our Bill Cass shares useful strategies to consider for estate planning.
We launched QuantStreet a little over three years ago, and our first accounts went live as of December 2021.
Today’s video is another in the continuing series of videos where we are looking for value in each of the 10 major sectors as reported by Standard & Poor’s.
Our model, How America Spends, has been tracking the purchasing behavior of 135 million U.S. households since 2014. This model is not a black box – it is a data file representing the spending of 135 million households on goods and services since 2014.
With a "Red Sweep" in Washington likely, markets are now pricing in a more aggressive policy agenda.
The Fed’s rate cut last month has not jumpstarted U.S. housing market. Buyers need lower rates to get back in the game.
As you know, economists are normally criticized and accused of being ‘two-handed.’ This is because when we talk, we typically say, “on the one hand, and on the other hand.” Many argue that we are hedging our bets and lack the spine to take a position. While we disagree with that simplistic view of our job, we can understand why we are accused of being ‘two-handed.’
RIAs should consider becoming more like VC firms by adopting the principles that govern them.
Legendary investors Paul Tudor Jones and Stan Druckenmiller are short bonds. You might want to carefully consider the data before you follow their lead.
The Northern Trust Economics team shares its outlook for growth, inflation and interest rates in major markets.
Year-end can be an opportune time to review finances, rebalance portfolios, and possibly reduce taxes. Our Bill Cass shares some highlights from a year-end planning checklist.
Our analysis explores how potential post-election tax policy changes might impact dividends, capital gains, and municipal bonds and how investors might prepare for different election outcomes.
Equities continued to climb in Q3, with fixed income remaining steady despite international conflicts, inflationary pressure, and election-related uncertainty in the United States.
There is a demographic that likes to work with you and consistently hires you – you probably just don’t have it defined for you and your team. If you don’t know who you work best with, there is no way that your prospect efforts will be profitable. Rather, they will be coincidental.
With the election looming, investors should prepare for potential changes in tax policies, particularly given the impending sunset of the 2017 Tax Cuts and Jobs Act.
It's important to stay informed regarding the latest updates to 529 college savings plans, for both current account holders and prospective savers. In recent years there have been significant changes, including The Setting Every Community Up for Retirement Enhancement (SECURE) 2.0 Act in December of 2022, which helps enhance the flexibility and benefits of 529 plans.
Surviving a disaster involves securing safety, accessing help from agencies, and documenting damages for insurance claims. Our Bill Cass highlights numerous resources for financial relief, including accessing emergency funds, insurance and tax considerations.
The cost of higher education has skyrocketed over the last few decades, and shows no signs of slowing. That’s why it’s more important than ever that parents start saving as early as possible for their children’s future.
Opening a 529 college savings account can be a smart move if you’d like to save for college on a tax-advantaged basis. One thing to consider when opening a 529 plan is whether it should be a custodial or individual account. While both allow you to save for college costs and enjoy some tax breaks, they differ in terms of who has control of the account and the assets in it.
A 529 college savings plan, also known as a qualified tuition plan (QTP), is a popular choice among parents and families looking to meet their children’s future educational expenses. Two of the 529 plan’s helpful features are tax-deferred growth of your contributions and later, tax-free withdrawals for eligible expenses.
529 plans are one of the most popular ways Americans save for the college expenses of their children. As of June 2024, there were 16.8 million 529 savings accounts holding $508 billion, according to the College Savings Plan Network.
The unwinding of positions in Treasury futures stands to rekindle a popular bond-market wager that’s been burned as traders pare back expectations for aggressive Federal Reserve interest-rate cuts.
Fitch Ratings predicts an even gloomier financial outlook for US colleges and universities, with smaller private schools being hit the hardest.
The Bureau of Economic Analysis (BEA) recently released its second-quarter GDP report for 2024, showcasing a 2.96% growth rate. This number has sparked discussions among investors and analysts, particularly those predicting an imminent recession.
U.S. stocks have handily outperformed their global peers over the past few decades, as well as in the post-World War II period. We document the scale of the outperformance and ask whether it can continue.
With over 36,000 metric tons in reserves—about one-fifth of all the gold ever mined—central banks know something we should too: Gold is the ultimate safety net.
The latest S&P 500 rebalance introduced Dell and Palantir to the index, and Apple’s weight grew with annual float changes, signaling technology’s ongoing influence.
Traders are pushing the dollar toward its second-straight weekly gain in anticipation of a slower pace of interest-rate cuts by the Federal Reserve.
It is hard to be “the most pro-union president in American history,” as Joe Biden likes to claim, while also leading an effort to “reimagine and rebuild a new economy,” as he has also promised. That’s because these goals are fundamentally incompatible: America’s unions no longer fit the modern economy.
Thanks to new legislation, Americans with retirement plans now have easier access to cash in the event of a financial emergency. A provision in the Secure Act 2.0 that took effect this year allows individuals with 401(k)s and other retirement plans to withdraw up to $1,000 without triggering a 10% early distribution penalty.
With interest rates lower, inflation collapsing and wages rising faster than prices, there’s potential for a very happy holiday for US retailers.
Semiconductor stocks continue to rally and will continue to do so as long as the AI and data center themes stay hot.
Our experts explore the implications of wider S&P 500 earnings growth, potential Fed rate cuts, and the outlook for global equities and bonds amidst ongoing economic shifts.
Historically, staying invested has been, in our view, an effective strategy and one to consider when it comes to election years and beyond.
Sand. Salt. Iron. Copper. Oil. Lithium. These, not petabytes or algorithms or innovative ideas, are the building blocks of human life as we know it. At least that’s what Ed Conway, author of Material World, tells us.
News of that day included rioting in northern England, apparently in response to misinformation spread online claiming the person who stabbed to death three children and injured eight others in Southport was a Muslim immigrant.
For families seeking to help their children save for higher education, 529 plans continue to gain broader appeal.
Since mid-2022, when the Federal Reserve was in the midst of its aggressive hiking cycle, investors piled over $1.6 trillion into money market funds, which include Treasury bills.
Despite forthcoming volatility, it's an ideal time to get municipal debt exposure, especially in the current market environment.
Millions of Americans are falling behind on student loan payments a year after the pandemic freeze ended – and soon that will start hurting their credit scores.
As the back-to-school season fills your social media feed with first-day photos and ads for the latest school supplies, it is also a prime opportunity for financial advisors to reconnect with clients about their education savings plans.
MSCI boosted India’s weighting in the MSCI Emerging Markets Index and reduced China’s in its latest quarterly rebalance, continuing long-term trends.
The Federal Reserve’s looming rate cuts are fueling a rally in the riskiest corner of the US corporate bond market, but some investors are concerned the party may not last.
With attractive valuations, emerging market equities look like a good opportunity. A factor investing strategy, designed well, may enhance performance and help manage some key risks.
529/College Planning
Weekly Economic Snapshot: Inflation Relief Tempered by Sentiment Concerns
Last week’s economic data was plagued by uncertainty. A brief respite in inflation pressures was overshadowed by sentiment concerns.
Tariffs Shake Markets as Sentiment Plummets
This morning’s retail sales report is a bit of relief. The economy, as of the end February, is not in free fall as the control group increase of 1.0% offset the same decline in January. Nevertheless, the underlying concerns that emerged over the last few days cannot be ignored.
Seeking Clarity at Tax Season: Tackling Common Confusions
Navigating tax season can be even more confusing when facing the range of rules around IRA withdrawals, 529 plan distributions, and charitable deductions. Our Bill Cass details some common questions around tax filing.
The Risk Of A Recession Isn’t Zero
The risk of a recession in the U.S. is not zero. This is particularly true as the current Administration tackles Government bloat and implements tariffs. However, before we discuss why the risk of a recession could increase, it is crucial to remember the 2022 experience.
529s Are More Than a College Savings Tool
Most of us associate 529 accounts with college savings. They’re flexible, allowing you to transfer assets to anyone, including yourself, for the express purpose of furthering the education of your beneficiary. But did you know that a 529 can be a powerful estate planning tool?
Why the U.S. Dollar Is Losing Some of Its Luster
For decades, the U.S. dollar’s dominance has rested on two pillars: America’s deep capital markets and its global security alliances. Today, both are under strain.
Bernanke Says Recent Price Surge May Impact Inflation Control
The world’s recent experience of faster inflation may make it harder for central banks to control prices in future, former US Federal Reserve Chair Ben Bernanke said.
Estimates By Analysts Have Gone Parabolic
Just recently, S&P Global released its 2026 earnings estimates, which, for lack of a better word, have gone parabolic. Such should not be surprising given the ongoing exuberance on Wall Street. Unsurprisingly, rationalizations justify illogic when too much money is chasing too few assets.
Two Policy Risks in the Spotlight
Looming U.S. and global policy shifts may potentially rattle markets, but a tactical and flexible approach could help investors navigate risks and opportunities regardless of how events play out.
Small-Cap Stocks’ Gloom Deepens as Executive Sentiment Sours Too
Investor sentiment around small-cap companies is worse than it’s been in months. As it turns out, the mood isn’t much better inside their corporate boardrooms.
GM Boosts Investor Payout With New Buybacks, Dividend Hike
General Motors Co. plans to step up its program of buybacks by repurchasing $6 billion in shares and raising its dividend, rewarding investors by pushing more cash off its balance sheet.
TDF Glide-Path Essentials: Setting the Right Starting Point
When constructing a target-date fund (TDF) glide path, providers have many decisions to make, such as what asset classes to include, when to include them, and how much to allocate to each.
Capital Market Assumptions: 10-Year Outlook
Chief Investment Officer of Global Asset Allocation, Anwiti Bahuguna, Ph.D., outlines the investment themes and return expectations from our new 10-year outlook.
Five Estate Planning Ideas for 2025
Consider estate planning strategies to minimize the impact of taxes on your estate. Our Bill Cass highlights several key actions including document reviews, naming beneficiaries and the use of 529 college savings plans to enhance tax efficiency.
Meta Platforms’ Record Winning Streak Puts Stock Split in View
Meta Platforms Inc.’s recent record-breaking, 20-day rally propelled the share price to a level where investors may start calling on the company to split its stock for the first time since going public in 2013.
Weekly Economic Snapshot: Inflation Heats Up as Consumer Spending Cools
The latest reports on consumer & wholesale prices indicated persistent inflation pressures. Retail sales posted a large drop.
Exploiting the Benefits of Artificial Intelligence for Factor Investors
Our research shows how artificial intelligence can potentially enhance performance of equity investing.
Apple’s Stock-Market Performance Is Increasingly Made in China
Investors in America’s biggest company are increasingly focused on China, where Apple Inc. is striving to win over a crucial customer base while also facing tariff-related risks.
Narrow Markets Are the Exception, Not the Rule
We explore why extreme market concentration is unsustainable, how competition and innovation drive broader market performance, and why diversification is key as volatility rises. Don’t let market extremes catch you off guard.
Twists and Turns of Tariffs
Tariff threats offer a glimpse of what is in store.
What the U.S. Tariffs Mean for Investors
We analyze the impact of U.S. tariff proposals on markets and how investors can manage their portfolios accordingly.
Early Planning Can Mean Smooth Sailing for Tax Season
Prepare for 2024 taxes by organizing forms, documenting charitable contributions, maximizing retirement savings and reporting rental income.
We're Going Streaking
The stock market posted some noteworthy streaks of its own in the fourth quarter.
Trump 2.0: The Deregulation Agenda – No New Rules?
Deregulation is among President Donald Trump’s most enduring policy themes. In his 2016 campaign, he called for widespread deregulation and made it a central plank in both his economic and energy platforms.
Capital Markets Outlook 1Q 2025: Mind the Gaps
In our view, active investors face opportunities to outperform created by looming policy changes and the macro landscape.
Nvidia’s Stock Crash Solves a Wall Street Puzzle
DeepSeek, a Chinese artificial intelligence startup, has developed a model that can apparently answer questions as well as any chatbot in the US. It might even help answer a long-running question on Wall Street without being asked.
The Price of Progress
We explore how evolving priorities under the new U.S. administration may influence markets and investor outlooks.
The Mother of All Bubbles?
Are U.S. stocks in a massive valuation bubble? We don’t think so. Will U.S. stocks outperform their European and Asian counterparts over the next 10 years? Maybe.
Index Investing as an Active Decision: An Exploration of Evolution and Customization
We explore how advancements in indexing solutions have allowed investors to tailor their portfolios according to their specific objectives or risk profiles.
Rebuilding Hope: Immediate Assistance and Financial Guidance for Wildfire Victims
State and federal agencies are providing immediate assistance and financial aid for essentials for wildfire victims in California. Our Bill Cass shares some financial strategies to secure emergency funds and plan finances.
2025 Municipal Bond Sector Outlook: Stability and Resiliency
Outlooks for higher education and healthcare are the weakest while transportation and essential utilities are the strongest. Resiliency to withstand an economic downturn is strong for all sectors.
A Partly Cloudy Year
Rough times are coming, yes, but I think we have at least 12 good months before the worst gets here. Let’s look at some of the reasons why things should be okay and then look at some of the potential problems.
Key Tax Figures for 2025
A look at the 2025 tax rates and contribution limits means individuals may save or gift more this year. Our Bill Cass shares the updated key tax figures and some planning considerations for the year ahead.
Bond Investors Could Reap Rewards in the Long Term
Despite a lackluster 2024 for most bonds, investors with an eye on the long-term time horizon could reap future benefits.
Our Top 10 Most Popular Investing Articles of 2024
We’re continuing the Advisor Perspectives tradition of highlighting the most-read investing articles for 2024. Enjoy!
High Hopes, Solid Grounds
We prefer equities over fixed income, in particular U.S. equities as the outlook for the U.S. economy is solid and promising.
Prediction For 2025 Using Valuation Levels
It’s that time of year when Wall Street polishes up its crystal balls and predicts next year’s market returns. Since Wall Street never predicts a down year, these forecasts are often wrong and sometimes very wrong.
Is Fed Independence at Risk of Presidential Influence?
We believe that there are several guardrails in place that considerably limit the extent of presidential influence over monetary policy decisions.
Treasurers: Balancing Liquidity, Diversification, and Daily Demands
How a diversified liquidity strategy might help time-strapped corporate treasurers reduce vulnerabilities and improve adaptability in uncertain markets while maintaining access to cash.
Private Credit: Asset-Based Finance Shines as Lending Landscape Evolves
The transition from bank-dominated lending to a diversified financing ecosystem offers unprecedented opportunities for private credit investors.
The Kalecki Profit Equation And The Coming Reversion
Corporations are currently producing the highest level of profitability, as a percentage of GDP, in history.
Yields and Credit Quality Make High Yield Bonds Attractive for 2025
We expect high yield bond issuers to maintain healthy balance sheets and defaults to remain low.
How Artificial Intelligence Can Transform Your Practice
Here are six key areas where AI can make a transformative impact on financial advisory practice.
Bond Market Opportunities for Investors in 2025
We examine how a potentially complex bond market in 2025 could still offer opportunities in high-yield bonds, municipal bonds, and inflation-protected securities.
An Investor’s Guide to Potential U.S. Policy Changes in 2025
U.S. policies are set for a major reshaping as full Republican control takes hold in 2025.
Year-End Estate Planning: Strategies for Maximizing Tax Benefits and Legacy Planning
With year-end looming, consider taking action now to determine if annual gifts make sense. Our Bill Cass shares useful strategies to consider for estate planning.
QuantStreet December 2024 Letter: Our Three-Year Anniversary
We launched QuantStreet a little over three years ago, and our first accounts went live as of December 2021.
Discovering Income and Value in Energy Cyclicals
Today’s video is another in the continuing series of videos where we are looking for value in each of the 10 major sectors as reported by Standard & Poor’s.
An Investor's Guide to Potential U.S. Policy Changes in 2025
U.S. policies are set for a major reshaping as full Republican control takes hold in 2025.
How America Spends: A Macroeconomic Inflation Model
Our model, How America Spends, has been tracking the purchasing behavior of 135 million U.S. households since 2014. This model is not a black box – it is a data file representing the spending of 135 million households on goods and services since 2014.
Notes From the Desk: Red-Wave Recalibration: Navigating the Post-Election Market Shift
With a "Red Sweep" in Washington likely, markets are now pricing in a more aggressive policy agenda.
The Housing Market Is Still Stuck
The Fed’s rate cut last month has not jumpstarted U.S. housing market. Buyers need lower rates to get back in the game.
Oh, No, a Three-Handed Economist
As you know, economists are normally criticized and accused of being ‘two-handed.’ This is because when we talk, we typically say, “on the one hand, and on the other hand.” Many argue that we are hedging our bets and lack the spine to take a position. While we disagree with that simplistic view of our job, we can understand why we are accused of being ‘two-handed.’
Think Fast: How RIAs Can Make Decisions at the Speed of Venture Capital
RIAs should consider becoming more like VC firms by adopting the principles that govern them.
Can Paul Tudor Jones and Stanley Druckenmiller Be Wrong?
Legendary investors Paul Tudor Jones and Stan Druckenmiller are short bonds. You might want to carefully consider the data before you follow their lead.
Closing The Year Well
The Northern Trust Economics team shares its outlook for growth, inflation and interest rates in major markets.
Get a Jumpstart on Year-End Planning With This Useful Checklist
Year-end can be an opportune time to review finances, rebalance portfolios, and possibly reduce taxes. Our Bill Cass shares some highlights from a year-end planning checklist.
U.S. Election: Prepare Now for Potential Tax Shifts
Our analysis explores how potential post-election tax policy changes might impact dividends, capital gains, and municipal bonds and how investors might prepare for different election outcomes.
Climbing the Wall of Worries
Equities continued to climb in Q3, with fixed income remaining steady despite international conflicts, inflationary pressure, and election-related uncertainty in the United States.
Niche Slapped: If Everyone Is Your Client, No One Is Your Client
There is a demographic that likes to work with you and consistently hires you – you probably just don’t have it defined for you and your team. If you don’t know who you work best with, there is no way that your prospect efforts will be profitable. Rather, they will be coincidental.
U.S. Election 2024: An Analysis of the Tax Scenarios for Investors
With the election looming, investors should prepare for potential changes in tax policies, particularly given the impending sunset of the 2017 Tax Cuts and Jobs Act.
Is College 529 Financial Planning Really That Simple?
It's important to stay informed regarding the latest updates to 529 college savings plans, for both current account holders and prospective savers. In recent years there have been significant changes, including The Setting Every Community Up for Retirement Enhancement (SECURE) 2.0 Act in December of 2022, which helps enhance the flexibility and benefits of 529 plans.
Surviving Disaster: Key Considerations for Moving Ahead
Surviving a disaster involves securing safety, accessing help from agencies, and documenting damages for insurance claims. Our Bill Cass highlights numerous resources for financial relief, including accessing emergency funds, insurance and tax considerations.
How an UTMA Compares to a 529 Plan
The cost of higher education has skyrocketed over the last few decades, and shows no signs of slowing. That’s why it’s more important than ever that parents start saving as early as possible for their children’s future.
529 Plans: Custodial Versus Individual Accounts
Opening a 529 college savings account can be a smart move if you’d like to save for college on a tax-advantaged basis. One thing to consider when opening a 529 plan is whether it should be a custodial or individual account. While both allow you to save for college costs and enjoy some tax breaks, they differ in terms of who has control of the account and the assets in it.
529 Plan Withdrawal Rules
A 529 college savings plan, also known as a qualified tuition plan (QTP), is a popular choice among parents and families looking to meet their children’s future educational expenses. Two of the 529 plan’s helpful features are tax-deferred growth of your contributions and later, tax-free withdrawals for eligible expenses.
This 529 Plan Mistake Could Cost You Big at Tax Time
529 plans are one of the most popular ways Americans save for the college expenses of their children. As of June 2024, there were 16.8 million 529 savings accounts holding $508 billion, according to the College Savings Plan Network.
Shakeup in Bond Futures Stands to Reignite Burned Treasury Trade
The unwinding of positions in Treasury futures stands to rekindle a popular bond-market wager that’s been burned as traders pare back expectations for aggressive Federal Reserve interest-rate cuts.
Fitch Sees More Stress for Colleges With Budgets Under Pressure
Fitch Ratings predicts an even gloomier financial outlook for US colleges and universities, with smaller private schools being hit the hardest.
GDP Report Continues To Defy Recession Forecasts
The Bureau of Economic Analysis (BEA) recently released its second-quarter GDP report for 2024, showcasing a 2.96% growth rate. This number has sparked discussions among investors and analysts, particularly those predicting an imminent recession.
U.S. Versus International Stock Performance
U.S. stocks have handily outperformed their global peers over the past few decades, as well as in the post-World War II period. We document the scale of the outperformance and ask whether it can continue.
Top 10 Countries That Have Bought the Most Gold Over the Past Decade
With over 36,000 metric tons in reserves—about one-fifth of all the gold ever mined—central banks know something we should too: Gold is the ultimate safety net.
S&P 500 Index Rebalance: Steady Preference for Technology
The latest S&P 500 rebalance introduced Dell and Palantir to the index, and Apple’s weight grew with annual float changes, signaling technology’s ongoing influence.
Dollar Extends Weekly Gaining Trend as Traders Trim Fed Cut Bets
Traders are pushing the dollar toward its second-straight weekly gain in anticipation of a slower pace of interest-rate cuts by the Federal Reserve.
Unions Need to Join the 21st Century Economy
It is hard to be “the most pro-union president in American history,” as Joe Biden likes to claim, while also leading an effort to “reimagine and rebuild a new economy,” as he has also promised. That’s because these goals are fundamentally incompatible: America’s unions no longer fit the modern economy.
Raise the $1,000 Limit on Emergency 401(k) Withdrawals
Thanks to new legislation, Americans with retirement plans now have easier access to cash in the event of a financial emergency. A provision in the Secure Act 2.0 that took effect this year allows individuals with 401(k)s and other retirement plans to withdraw up to $1,000 without triggering a 10% early distribution penalty.
Retailers Have No Room for Error This Holiday
With interest rates lower, inflation collapsing and wages rising faster than prices, there’s potential for a very happy holiday for US retailers.
AI & Data Centers Provide Fuel for Chip Stocks Rally
Semiconductor stocks continue to rally and will continue to do so as long as the AI and data center themes stay hot.
S&P 500 Earnings Breadth Broadens
Our experts explore the implications of wider S&P 500 earnings growth, potential Fed rate cuts, and the outlook for global equities and bonds amidst ongoing economic shifts.
Party in the USA: Election Facts
Historically, staying invested has been, in our view, an effective strategy and one to consider when it comes to election years and beyond.
Living in a Material World: The Surprisingly Gripping Tale of Six Natural Resources
Sand. Salt. Iron. Copper. Oil. Lithium. These, not petabytes or algorithms or innovative ideas, are the building blocks of human life as we know it. At least that’s what Ed Conway, author of Material World, tells us.
Change Required: Immigration Reform is an Economic Necessity
News of that day included rioting in northern England, apparently in response to misinformation spread online claiming the person who stabbed to death three children and injured eight others in Southport was a Muslim immigrant.
529 Plans Passed a New Savings Milestone. Here’s Why
For families seeking to help their children save for higher education, 529 plans continue to gain broader appeal.
Considering Moving Out of T-bills? A Guide to Determine What’s Next in Your Portfolio
Since mid-2022, when the Federal Reserve was in the midst of its aggressive hiking cycle, investors piled over $1.6 trillion into money market funds, which include Treasury bills.
Don't Shy Away From Munis to Avoid Election Volatility
Despite forthcoming volatility, it's an ideal time to get municipal debt exposure, especially in the current market environment.
Americans Face Credit Hit as Student Debt Goes Delinquent Again
Millions of Americans are falling behind on student loan payments a year after the pandemic freeze ended – and soon that will start hurting their credit scores.
Back to School, Back to Saving!
As the back-to-school season fills your social media feed with first-day photos and ads for the latest school supplies, it is also a prime opportunity for financial advisors to reconnect with clients about their education savings plans.
MSCI Index Rebalances: China’s Weight Continues Decline
MSCI boosted India’s weighting in the MSCI Emerging Markets Index and reduced China’s in its latest quarterly rebalance, continuing long-term trends.
Junk Bond Investors Are Getting Ahead of ‘Rate Cutting Party’
The Federal Reserve’s looming rate cuts are fueling a rally in the riskiest corner of the US corporate bond market, but some investors are concerned the party may not last.
Seizing the Opportunity in Emerging Markets
With attractive valuations, emerging market equities look like a good opportunity. A factor investing strategy, designed well, may enhance performance and help manage some key risks.