WrapManager's Wealth Management Blog

Quizmaster, Doug Hutchinson, has come up with another great quiz for us regarding the cash we keep in our portfolios and its effect on performance. Test your investment knowledge of how your money is invested and what makes the most sense for your situation. Good luck! [+] Read More

While the US equity market performance was generally positive in the 3rd quarter, international equity markets were hampered by lackluster economic data in Europe, continued geopolitical turmoil in Ukraine, and disappointing economic growth in China. International equity manager WHV Investments, summarizes a volatile 3rd quarter in international equity markets, while suggesting that international policy makers may take actions to stimulate economic growth in the future. Download WHV's Full Commentary Here Get Free Research Reports on WHV Investments [+] Read More

Many people think of Social Security as a steady, if meager, contributor to their retirement income—no flexibility, but at least it shows up monthly. The truth is, however, that there are strategies you can use to maximize your Social Security income. By incorporating these strategies into your overall retirement lifestyle planning, you can provide yourself with more options during retirement. The Restricted Application for Spousal Benefits The Restricted Application for Spousal Benefits allows for one spouse to begin collecting spousal benefits even as their own retirement benefits continue to grow. If you continue to let one spouse’s benefits grow until age 70, the benefit will be quite a bit higher than it would have been if collected at age 66. [+] Read More

The addition of a new family member is a wonderful and life-changing event! Your new family member may be a new spouse, a new son- or daughter-in-law, a new child, or a new grandchild. Along with celebrating this new family member’s arrival, consider how you may need to make changes to your retirement lifestyle planning. The following helpful reminders can help you to start your new family member on firm financial footing. [+] Read More

As we approach the end of each year, we like to take a look back at which areas of the market outperformed others. As investors, this allows us to analyze why certain areas of the market may have done better than others, and it make us think about what we can expect looking forward into the coming year. Pulling up performance for this year-to-date (as of December 16th) shows us that US stocks as measured by the S&P 500 outperformed Europe, Asia and the Far East (EFA), and small cap stocks (IWM): Click for larger view These differences in performance may lead investors to wonder… [+] Read More

We are fortunate to have a brilliant CFA here at WrapManager, Doug Hutchinson. At our weekly staff meetings, he has been testing our abilities with financial quizzes. This month, he demonstrates how we make choices given our tolerance for risk. Risk Aversion Consider and choose A or B for each of the following scenarios: 1. You are asked to choose between getting $800 for sure or an 80% chance of getting $1,000 A.) Getting $800 B.) 80% chance of getting $1,000 (and a 20% chance of getting nothing) 2. You are asked to choose between losing $800 for sure or an 80% chance of losing $1,000 [+] Read More

The holiday season gives families the chance to get together for quality time and festivities, but it also presents you with an important opportunity – to have a constructive conversation with your family about your finances and estate plan. If you’ve been meaning to have this discussion but haven’t started it yet, the holidays are a perfect time to do it. While it may be difficult at first, the benefits to everyone will be worth it. Fidelity Investments found that 86% of parents felt peace of mind after having conversation with their children, yet only one-third of parents and children agree about the right timing for these conversations.1 [+] Read More

For years, Stretch IRAs have been used as estate planning tools to help pass on tax-deferred wealth even longer. By using a Stretch IRA, the IRA owner designates a younger-generation member of the family as the beneficiary of the IRA. Under current law, the beneficiary can elect to receive the RMD (required minimum distributions) based on his or her longer life expectancy. This method allows younger beneficiaries to potentially enjoy decades of tax-deferred (or in the case of Roth IRAs, tax-free) withdrawals. [+] Read More

Over the last few months, a string of global events have tested the markets. Whether it’s the spread of Ebola, the presence of terrorist group ISIS in Iraq and Syria, or the latest in the geopolitical chess match between Russia and the West, it seems there is no shortage of events that could impact the markets and your portfolio. The natural question on many investors’ minds is: will these events affect the upward market trend and is it time to adjust my portfolio? [+] Read More