The accumulation/distribution line was created by Marc Chaikin to determine the flow of money into or out of a security. It should not be confused with the advance/decline line. While their initials might be the same, these are entirely different indicators, as are their users. The advance/decline line provides insight into market movements and the accumulation/distribution line is of use to traders seeking to measure buy/sell…
In the current, low-impact news environment, the major market indexes have held in tight trading ranges each day for the past 12 trading sessions. Later this week or next, that dynamic may change as investors decide to make changes in their portfolio. While the S&P 500 (SPX) an Nasdaq 100 (NDX) rose slightly on the day, the Dow Jones Industrial Average (DJX) remained essentially unchanged.
What Is Perpetuity?
A perpetuity is a security that pays for an infinite amount of time. In finance, perpetuity is a constant stream of identical cash flows with no end. The formula to calculate the present value of a perpetuity, or security with perpetual cash flows, is:
Social Security is a government program serving about 64 million people, so you might use one word to describe it: complicated. Hats off to the Social Security Administration (SSA), though. It produces one of the best government websites, using plain English (and 17 other languages) to explain its rules. It also has plenty of calculators and worksheets to help.
We pulled together some of our favorites. Keep this list handy…
How much of your Social Security income is taxable? Depending on the amount of your Social Security benefits and other income—including tax-free interest on municipal bonds and certain other excludable amounts—your benefits are included with other taxable income at the rate of 85%, 50% or zero. It all depends on the steps you take to reduce your tax exposure.
What’s Included in Social Security Income
Pork barrel politics affect the economy in several ways. Pork barrel spending occurs when the government earmarks funds to be spent in a specific region of the country, usually as a favor to an elected representative from that region. Such government spending often confers an economic benefit to the region involved, with the money typically going toward infrastructure and other projects that create jobs and improve quality of…
While the S&P 500 index (SPX), the benchmark for stock investors, paused on its way to new highs, one sector of stocks within that grouping is heading noticeably lower, namely utility stocks. This is usually a bullish indicator for the market at large, but the current circumstances may add a bit more complexity to the picture.
The utility sector, as tracked by State Street’s SPDR Utility Sector Index ETF (
What Is a Spousal IRA?
A spousal IRA is a strategy that allows a working spouse to contribute to an IRA in the name of a non-working spouse to circumvent income requirements. This creates an exception to the provision that an individual must have earned income to contribute to an IRA. The working spouse’s income, however, must equal or exceed the total IRA contributions made on behalf of both spouses. Spousal IRAs are just…
What Are Gilt-Edged Securities?
Gilt-edged securities are high-grade bonds issued by certain national governments and private organizations. In the past, these instruments referred to the certificates issued by the Bank of England (BOE) on behalf of the Majesty’s Treasury, so named because the paper they were printed on customarily featured gilded edges.
- Gilt-edged securities refer to high-grade bonds…
In the wake of last week’s flurry of market highs and on again, off again trade talks, the week ahead appears relatively tempered, at first glance. Corporate earnings season is winding down, and the economic calendar in the U.S. and abroad is full of typical mid-month reports on consumer spending and production. Despite economic headwinds around the world, asset returns have been very strong in 2019. With the year winding down,…