As interest rates remain low, many issuers of debt (e.g. bonds, corporate notes, etc.) will look for possible ways of reducing their interest expenses. They may do this by executing call options and reissuing debt at lower rates. These lower rates will reflect the current market levels for the associated risk. Rather than continuing to pay high interest payments, it is to their benefit to pay off these debts and save money by issuing new instruments at the lower rates.

Due to the heavy influx of news that we receive daily, you may have missed out on some financial news and the opportunities presented by the tremendous volatility in the U.S. stock, Mutual fund, and Bond markets as well as the various upheavals in other global markets. Market volatility persists causing many investors to speculate about the right time to re-enter the financial markets. It is almost impossible to know when the markets will move in your favour as many pundits have been proven to be wrong in the past.

How often have you heard the terms “bull” or “bear” used in the investing world to describe general actions, attitudes, or sentiment, either of an individual asset or the market conditions? As common as these terms are, defining, understanding, and remembering what they mean is not always very easy. Because the direction of the market is a major force affecting your portfolio, it is important that you know exactly what the more commonly used investment animal terms signify, how they are characterized, and how each one affects you.

One of the many things I have observed during this pandemic is how similar people and Investments are. I know this seems like a strange thing to say but journey with me for a few and you will see the similarities too.

How often do you re-assess how much money you will need to last you through your retirement? Did you know that this figure will change based on the interest rate environment? Interest rates affect how much money you need to put aside each month for retirement. It also affects what your investments will earn during retirement.

Picture this:

The U.S. equity markets have attracted a lot of interest in recent months as the economic recovery takes shape (i.e., V-shaped recovery) and even accelerates. Indeed, the equity markets have had a tremendous run since their COVID-19 meltdown in March 2020 which resulted in the major U.S. indices falling about 30%. The S&P, DOW & NASDAQ indices have all rebounded strongly and sharply, notching gains of 84%, 81% & 102%, respectively.

The Planning and setting of goals are a very important part of our daily lives. This should also be applied to our finances to accomplish financial freedom. Having a goal that is realistic as well as steps that are measurable, will allow for easy tracking of our progress.

Determine your net worth

2020 saw extreme volatility in the investment market. Recent statistics suggest a significant increase in trading activity in the market from young investors who are taking advantage of the investment opportunities available.

What to look for as a young investor