Bond rates are plunging, banks pay next to nothing, and stocks are so rich that the S&P 500 index yields a paltry 1.4%. My mailbox is thus brimming with queries about offbeat, high-distribution investments. Many are leveraged funds, rely on options and futures trading, or extend high-rate loans to less credit-worthy borrowers. Some augment regular income payments with periodic returns of capital. That is tolerable when a fund manufactures enough trading profits or capital gains to cover these emoluments. But returned capital does not count as “yield” and is not a dividend. (It does postpone a possible capital gains tax bill.)
Denne historien er fra September 2021-utgaven av Kiplinger's Personal Finance.
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Denne historien er fra September 2021-utgaven av Kiplinger's Personal Finance.
Start din 7-dagers gratis prøveperiode på Magzter GOLD for å få tilgang til tusenvis av utvalgte premiumhistorier og 9000+ magasiner og aviser.
Allerede abonnent? Logg på
FREE HELP FOR COLLEGEBOUND STUDENTS
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You typically need earned income to contribute to an individual retirement account, but a spousal IRA provides an important exception to this rule.
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ET'S say you've been regularly buying shares in a booming tech company over the past few years, but now you want to start taking some of those profits, perhaps to rebalance your portfolio.
Strategies for Novice Investors
AS part of a lifes kills program for young, single mothers, I was asked to teach a class on how to get on top of your finances.
ANSWERS TO YOUR 529 PLAN QUESTIONS
Thanks to recent policy changes, families have more options for what to do with money sitting in these tax-advantaged accounts.
Rate-Cut Winners and Losers
NOW that the Federal Reserve has cracked the interest rate ice, the next development will be to separate winners from losers.
SHOULD YOU BUY THESE RED-HOT FUNDS?
Covered-call ETFs are popular but come with plenty of caveats.
DIVIDEND STOCKS ARE READY TO REBOUND
Our favorite dividend payers are poised to benefit as falling interest rates lure investors back.
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These age-restricted developments appeal to older adults seeking abundant amenities and an active lifestyle.
AT LONG LAST, RATES ARE DROPPING
Consider these portfolio moves now that the Federal Reserve has cut its benchmark interest rate.
