For the last several years, with short-term interest rates close to zero, bonds have been the Rodney Dangerfield of the investment world: “I get no respect!” However, since March 2022, the Federal Reserve has lifted interest rates 11 times. This hit bond prices on the...
bonds
For Some, Bonds are Like a Horror Movie
This year feels like watching a horror movie in the bond market. Van Helsing (the Federal Reserve) is combating Dracula (inflation), trying to put a stake (interest rate increases) through the cash-flow sucker’s heart. Only eight months into these aggressive rate...
Should Bond Investments Be a Part of Your Portfolio?
Wondering if bond investments should be an integral part of your portfolio? Below are some common questions regarding investing in bonds. What are bonds? Bonds are simply IOUs. By buying a bond, you are in effect, making a loan. In return, the borrower (or issuer)...
THE INTEREST RATE DILEMMA
Interest rates are an important part of everyone’s lives! Following the 2008 financial crisis, the Federal Reserve (“the Fed”) began to gradually increase key interest rates in December 2015 from a record low of near zero. The expectation is that the Fed will...
WBIR: Bond Investments
The recent spike in market volatility has left many investors concerned about their portfolios and uncertain as to how a rise in interest rates impacts their bond investments. LET’S START WITH BONDS 101, HOW DO BONDS WORK AND WHY DO WE BUY THEM? Bonds are generally...
Sunday Money: Women Make Great Investors
The findings are in! The conclusion from a recent Wells Fargo Investment Institute report? Women make great investors. WBIR-TV recently interviewed Paul Fain, president of Asset Planning Corporation to talk about what makes women investors great investors. PAUL, WHAT...
Sunday Money: Second Quarter Investment Performance
Q2 2017 Investment Performance With six months gone in 2017, how are your investments doing? Did the stock market’s rising tide lift your boat? Or have poorly performing investments left you beached on dry land? HOW DID STOCK MARKETS PERFORM IN THE...
Knoxville News Sentinel: How Does a Financial Planner Invest?
Have you ever wondered if a chef eats his own cooking? Does a doctor take her own medicine? Or, do financial planners invest in the same strategies they recommend to investors? Recently, a vice president at Morningstar, an investment research firm, wrote about his...
Schwab: Why Market Returns May Be Lower in the Future
Why Market Returns May Be Lower in the Future Posted by Paul Fain Market returns on stocks and bonds over the next decade are expected to fall short of historical averages. To read the full article click here.
WBIR: Federal Rate Hike
In his regular “Sunday Money” interview on WBIR, Knoxville’s NBC affiliate station, Paul addressed the Federal Reserve’s decision to raise key interest rates. What does this mean for your money as we rapidly approach year-end? Here is a recap of the Q&A: WHAT...