Does your vision of retirement align with the facts? Here are some noteworthy financial and lifestyle facts about life after 50 that might surprise you.
Consumer spending is the engine of the U.S. economy, accounting for roughly two-thirds of overall economic activity. In theory, when consumers feel financially secure and optimistic, they tend to spend more, driving corporate profits and economic growth. When they feel uncertain, they may tighten their belts. In reality, how consumers behave depends on many factors, especially because not all consumers are alike. For this reason, having a holistic understanding of the financial health of consumers is one of the most important ways for long-term investors to make sense of the current environment.
Alan Greenspan once said "since I've become a central banker, I have learned to mumble with great incoherence." Greenspan, who passed away recently at the age of 100, served as the Chair of the Federal Reserve from 1987 to 2006 and became one of the most influential economic figures of the 20th century.1 As we reflect on his legacy just days after Kevin Warsh chaired his first Fed meeting, the parallels between the two leaders highlight several changes in how the Fed might operate in the coming years.
The U.S. and Iran announced a preliminary agreement intended to end the four-month conflict that has weighed on the global economy. Financial markets have reacted positively to this development, with the stock market climbing, oil prices falling, and interest rates declining. How should investors interpret this agreement and what does it mean for portfolios?
The stock market has experienced historically strong returns over the past quarter, so the latest episode of volatility may raise questions among investors. The Nasdaq experienced its largest single-day fall in a year, with the index declining 4.2% on Friday, June 5.
For many people, the wealth they have accumulated over a lifetime is more than just about money. It represents years of hard work, discipline, and sacrifice to ensure they can have a comfortable retirement, take care of their families, and more. Yet, one of the most important and often overlooked questions in financial planning is not how to grow wealth, or even how to spend it, but how to pass it on efficiently and intentionally. This requires thoughtful estate planning that covers a breadth of financial planning topics including taxes, goals, and the concept of legacy.
