May 28, 2015

171 If We All Got an Inheritance, We’d All Be Rich

rich get richer

 

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In this week’s “live from the coast of Georgia” episode, we’re talking about:

Why Elite Colleges Don’t Guarantee Success

How the Rich Got Rich

Is the 401k to Blame?

Your financial advisor has vanished

Not much else to add this week…somebody’s gotta get some sand between their toes.

As always, if you have questions please reach out to us here.

May 26, 2015

Blended Whole Life Insurance versus the Stock Market

money_fight

About two years ago, we put out an article with real historical results of a blended whole life policy. The policy was shared on the Bogleheads forum (of all places). The compound annual growth rates of that policy and the S&P 500 were close.

But, I made a mistake in my comparison… Read More…

May 21, 2015

170 Spend More, Save Less

170 Spend More, Save Less
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It seems like episode 170 is all about psychology and how people think about things related to money. Well, at least that’s what we were shooting for…I think.

Of course we’d all like to think that we’re 100% logical when it comes to planning our finances but as you’ll learn by listening, that’s just not the case. Most times, we tend to be more emotional than logical.

That being said, after listening to today’s show I think you’ll also understand that most people just don’t take the time to think through some basic math. If they did, they would quickly realize the flaw in their thinking.

Example: Maybe getting a 12% return on my portfolio in the next 12 months (while having 80% in cash) is not realistic? Read More…

May 19, 2015

Five-Year Whole Life Insurance Company Investment Yield Trend: 2015 Edition

Five-Year Whole Life Insurance Company Investment Yield Trend: 2015 Edition

A life insurance company’s yield on assets is a great metric to watch with respect to inferences concerning the cash performance within policies. Since life insurers use the yield achieved on managed assets to support policy benefits this statistic is of extreme importance to us especially when we focus on cash accumulation values within a life insurance policy.

We specifically look at the overall trend for this statistic to see if an insurer is improving or regressing in terms of yield on assets achieved. Read More…

May 14, 2015

169 Remember the Bondex?

169 Remember the Bondex?
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In episode 169 of the Financial Procast we re-visit the Bondex. For those of you that have no idea what that means, you could go all the way back here and listen to the original episode.

Be warned, it was one of the first recordings we made…sound quality is not great.

The first half of today’s show is all about bonds–exciting right? No, probably not but listening and understanding what falling bond prices (and increasing yields) means for your money might save you from some pain. Read More…

May 12, 2015

Paid Up Additions: How to Create Flexible Whole Life Insurance

Paid Up Additions: How to Create Flexible Whole Life Insurance

The fixed premium in whole life insurance gives many people a fear of commitment. But, it doesn’t have to be this way. You need not approach whole life insurance with apprehension. The annual premium is not the massive financial commitment it appears to be.

If buying whole life, don’t buy a policy that commits you to 100% of the premium each year it’s due.   Read More…

May 7, 2015

168 “O” is for Overconfidence

168 “O” is for Overconfidence
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In the 168th episode of the Financial Procast there is a common theme. Being overconfident about money, how much you REALLY have, and what it takes is dangerous.

Confidence is generally a good thing.

But when it comes to money, being too confident can lead to apathy and apathy leads to carelessness. Being careless with your money is not good. Read More…

May 5, 2015

How Much Do You REALLY Need to Generate Your Retirement Income

How Much Do You REALLY Need to Generate Your Retirement Income

A lot of Americans are struck ill thinking about how much money they need to retire. Several trade associations within the financial services industry have noted the lack of preparation both consumers and financial advisors et. al. have as it relates to turning your heard earned and saved dollars into retirement income. This problem has sparked a massive revamping of academic instruction among the industry’s best-known degree/certificate granting institutions.

This has accomplished some success in at least changing the conversation as it relates to retirement planning, but there’s still plenty of room for additional awareness and today I want to drive home a significantly important point about what it will really take to achieve comfortable retirement income.

Read More…

April 30, 2015

167 I Paid .25% and All I Got Was An ETF?

167 I Paid .25% and All I Got Was An ETF?
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Today we’re talking about Robo Advisors again.

Don’t worry, that’s not the only thing we’re discussing but we do spend quite a bit of time on that topic. What they’re doing almost feels dirty.

Taking a “process” that the investment industry has been doing on paper for 20 years and putting on the web almost feels like something new.

Almost.

Of course the argument is that it’s really inexpensive. But… Read More…

April 23, 2015

166 Is That Latin 102?

166 Is That Latin 102?
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Well, you lucked out again. We got so wrapped up in one of our discussions that we only got to complain about 3 topics today instead of four.

In this episode of the Financial Procast we discuss the spending habits of the rich, poor and everyone in between. You may be surprised that the differences are not as substantial as you think in regards to spending, however, the differences become very apparent when looking at savings rates. Read More…