The factors that affect needs-based financial aid for college are often misunderstood. The “Expected Family Contribution” is determined predominantly by parental income, not parental assets — such as savings in 529 plans. A separate savings vehicle, not in the name of the child, may be the most advantageous in the financial aid formula. One of
Global Perspectives offers global economic, market and investment commentary on Monday morning of each week.
May 2013 Archive
To generate sufficient investment income in today’s low-yield world, you may need to look at new sources of income. Many corporations are currently awash in cash and offer investment opportunities across the capital structure. Floating rate loans, corporate bonds, convertible securities and dividend-paying stocks each offer specific advantages. In today’s low-yield world, advisors and investors
Bold monetary easing in Japan has resulted in a shift in sentiment that the Japanese economy will finally come out of the long, dark tunnel. Our research suggests that there may be a modest boost to real income in coming months, which is expected to translate into increased consumer spending. We wouldn’t be surprised if
Many large companies derive significant revenue outside of the U.S. International markets offer both growth opportunities and attractive equity yields. Investors should consider global dividend funds as part of their current portfolio. The line between domestic and global securities has blurred. The top constituents by market capitalization of the S&P 500 index include Apple, Exxon
Surge in tax receipts allows the U.S. Treasury to report the largest budget surplus in five years. What is good for the Treasury and the budget presents some burden on households; taxpayer refunds are down 3.5% this year versus last. Recent deficit improvement may give a false sense of security and delay critical entitlement reforms.
Within equities, we maintained an overweight to U.S. stocks, with emphasis on large-cap stocks and high-quality, dividend-paying equities. For fixed income, we continue to prefer investment grade corporate bonds. We believe low correlation absolute return strategies should continue to be a part of diversified portfolios. The Columbia Management Asset Allocation Team meets to review global economic
Americans are generating more waste than ever, but a greater proportion is being recycled. Recycling business is profitable, but sales depend on commodity prices and revenue is less predictable. Traditional landfill waste companies may see slower growth as recycling continues to expand. Oh, I love trash! Anything dirty or dingy or dusty Anything ragged or