Tag Archives | Distribution Planning

Expected Sources of Premium Stock Returns Part IV: Risk Premiums, Lucky Monkeys and Patient Practice

In our series of posts so far, we’ve described how and why we have identified small-company and value stocks as likely ongoing sources for risk premiums. This begs one more question: Why not just get out of various return factors when they’re underperforming and get back in when things are looking up? The Market-Timing Myth […]

Read full story Comments are closed

Research Confirms That Active Management Disappoints Investors

The evidence is clear, active investing offers a hollow promise of outperformance. Key Takeaways Most active managers can’t beat the markets long term. It’s not because they’re lacking in intelligence—it’s because their costs are too high and they have too much portfolio turnover. Successful fund investing is about more than picking past winners. Consider a […]

Read full story Comments are closed

2015 Annual Limits for Financial Planning

Key Takeaways In 2015, retirement plan participants can contribute up to $18,000 annually to their 401(k), 403(b), Thrift Savings Plans and most 457 accounts. Savers age 50 and over are able to contribute an extra $6,000 catch-up contribution this year, for a total of up to $24,000. Contributions to Individual Retirement Accounts (IRAs) are unchanged […]

Read full story Comments are closed

Markets Work

The evidence is clear. Markets do a great job of setting prices. Markets aren’t perfect but they do such a good job that they make it nearly impossible for investors to outguess the markets and cover their costs. We, at Independence Advisors, know that this runs counter to what investors are told on a daily […]

Read full story Comments are closed

Annuities – Be Sure You Know What You Are Getting

Key Takeaways An annuity is an insurance product that can pay out income. It’s a popular option for investors seeking a steady stream of income in retirement. Annuities can be a valuable tool if you are in a high tax bracket, have exhausted your pre-tax savings opportunities (like a 401(k)), and have a long-term time […]

Read full story Comments are closed

IRS Reverses Long-Standing Position on One-Rollover-per-Year Rule

The IRS has indicated that it will follow the recent Tax Court decision in Bobrow v. Commissioner, which held that a taxpayer may make only one tax-free, 60-day rollover between IRAs within each 12-month period, regardless of how many IRAs he or she maintains. However, the IRS will not apply this new interpretation to any […]

Read full story Comments are closed

Decanting a Trust

The Basics A trust is a legal relationship where someone (the grantor) arranges with another (the trustee) to hold property for the benefit of a third-party (the beneficiary). The grantor transfers a split ownership of property–legal ownership to the trustee and beneficial ownership to the beneficiary. The grantor names the beneficiary and trustee and establishes […]

Read full story Comments are closed