The United Kingdom’s (UK) vote to leave the European Union (EU) set off a shock wave across the global political establishment and global financial markets. The outcome of the BREXIT vote was unexpected and global stock markets sold off sharply in the days after the June 23rd referendum.
The United Kingdom’s (UK) referendum to leave the European Union (EU) provided a brief shock to what was otherwise a good quarter for US stocks. The US markets rallied in the weeks leading to the June 23rd vote in Britain. Stocks sold off about 5% the two trading days after the BREXIT vote only to rally in the final three days of the quarter.
When you pass away if you could not leave any money to your children, but only one piece of financial advice, what would it be? I was asked this excellent question and had to pause. My mind raced trying to think of all the financial advice I had heard and also given, things you want your kids to avoid and habits you want kids to know sooner than you figured them out.
Your corporate retirement plan is a key part of reaching your retirement goals. When it comes to Cerner’s 401k there are great internal resources from HR, but sometimes an outside perspective can help you answer some questions about the 401k investments at one of Kansas City’s largest employers.
As humans we are built to recognize patterns. If we roll two dice and they come up with snake eyes three times in a row our natural inclination is to think that on the fourth time they’ll come up again. The odds remain the same to roll two ones on the dice but our minds are drawn to the trend. Overtime these trends start to form biases in our thinking.
“An ounce of prevention is worth a pound of cure.” – Benjamin Franklin
The Wall Street Journal ran a story that discussed how financial institutions are marketing loans directly to parents to help their kids cope with the rising costs of college.
Parents are all too familiar with the rising cost of education. College costs have been surging for decades and the trend has filtered down to the private high school ranks. We have been tracking the costs of Kansas City area private high schools for several years. The average cost to send one child to a private high school in the Kansas City area is increasing on average 4.5% from 2015.
In our 30’s and 40’s we typically have a lot of financial commitments. Mortgage, maybe student loans, trying to save for your child’s college, save for your retirement and the list goes on and on. We all know we should be contributing more to our retirement accounts but all of the expenses above plus a dozen other items are preventing us from contributing more.