In Plus episode 491, we explore why buffer ETFs use European-style options with a set exercise date rather than American-style options that can be exercised at any time. We look at the maximum loss for purchasing a Treasury Inflation Protection Security in the secondary market. We consider what happens to individual bond holdings in the case a brokerage firm goes bankrupt. Finally, we consider the estate tax implications of Health Savings Accounts. Become a Member If you would … [Read more...]
474 Plus: Who Really Owns Our Stock Shares, a New Private Tech Company CEF, and a Canadian Cash Equivalent
In Plus episode 474, we review what it means that investors who purchase stock through a brokerage firm don't really own the stock but are only entitled to the dividends. We explore a new closed-end fund, DXYZ, that invests in private technology companies like SpaceX. Finally, we review a Canadian cash equivalent ETF, HSAV, that allows investors to avoid paying income tax. Become a Member If you would like to listen to this episode of Money For the Rest of Us Plus, you can do so by … [Read more...]
393: What Happens If Your Brokerage Firm Goes Bankrupt
How protected are you if the brokerage firm where you hold your stocks, bonds, and crypto assets files for bankruptcy? Why you shouldn't store your crypto assets with an online broker. Topics covered include: Show Notes Voyager To Acquire Circle Invest Retail Digital Asset Business From Circle Internet Financial—Cision Welcome, Circle Invest! Voyager Acquires Circle Invest's Retail Customers—Voyager Crypto lender Voyager Digital files for bankruptcy by Shivam Patel, Sinead … [Read more...]
269: How the Public Sector Pension Crisis Will Impact You
Why most state and municipal pension plans are underfunded and why that could lead to higher taxes and reduced government services. Why participants in state government retirement systems have greater protection against benefit cuts than participants in municipal retirement systems. In this episode you’ll learn: How defined benefit plans work.Why there is more subjectivity regarding valuing a pension plan's liabilities compared with its assets.What does it mean for a pension … [Read more...]
193 Plus: Pensions, Bankruptcy Risk and Speculation
This week February 24, 2018 on Money For the Rest of Us Plus, we clarify the importance of understanding a pension's funding status before choosing the pension via a lump sum payment. We also clarify the risk of investing in crowdfunding platforms in the case of bankruptcy. We explore how investments with positive expected returns can be speculative for individuals and how to manage that speculative risk. Finally, we discuss asset allocation for accounts designated for children. … [Read more...]
