Is this you? As a journalist, you can create a free Muck Rack account to customize your profile, list your contact preferences, and upload a portfolio of your best work.
Claim your profile
Articles by Ryan Eichler
Understanding Supply Chain Management (SCM) and Its Importance
Key Takeaways Supply chain management (SCM) coordinates the flow of goods, services, and information from suppliers to customers. The SCOR model organizes supply chain management into seven processes: orchestrate, plan, order, source, transform, fulfill, and return. Companies increasingly use technology, automation, and data analytics to improve supply chain efficiency and resilience. Effective SCM can reduce costs, improve customer satisfaction, and help businesses adapt to disruptions.
Simple Steps to Open an IRA
By Carol M. Kopp | Reviewed by Thomas Brock | Fact checked by Ryan Eichler Aug. 6, 2024 Getting started with an individual retirement account (IRA) can seem complicated but it takes just a few simple steps. Years from now, you’ll thank yourself for taking the time to make the right investment decisions. You can set up an IRA at almost any bank, brokerage, or other financial institution. When picking a place for your account, consider the fees and costs attached to the IRA.
Understanding Divestiture: Definition, Reasons, and Examples
Key Takeaways Divestiture involves selling, exchanging, or closing parts of a company to focus on core competencies or reduce financial stress. Companies may divest due to mergers, acquisitions, or regulatory pressures to enhance competition and limit market dominance. Divestitures help companies cut costs, repay debt, and enhance shareholder value by focusing on profitable business segments. Businesses often sell assets under financial duress or to raise funds for investment or debt repayment.
Sell Explained: Processes, Tax Implications, and Examples
Key Takeaways "Sell" involves liquidating an asset for cash, impacting one's financial position. Selling may trigger tax liabilities like capital gains tax, which varies by asset holding period. Short selling allows profit from a price decline by borrowing and selling assets with the intention of repurchasing at a lower price. Get personalized, AI-powered answers built on 27+ years of trusted expertise. What Is Sell? When you sell an asset, you turn it into cash.
Philadelphia Federal Index: A Key U.S. Business Growth Indicator
Key Takeaways The Philadelphia Federal Index tracks manufacturing growth in Pennsylvania, New Jersey, and Delaware. An index above zero indicates manufacturing growth; below zero signals contraction. The survey measures factors like employment, orders, and prices for regional manufacturing. Published since May 1968, it offers an early read on broader U.S. economic trends. The index can influence market expectations despite its regional focus.
Maximize Your 401(k): Building a 3-Fund Portfolio
Key Takeaways A 3-fund portfolio simplifies investing by diversifying across three asset classes: U.S. stocks, international stocks, and domestic bonds. It offers more control and diversification than a target-date fund while maintaining simplicity for the investor. Ideal allocations depend on individual goals, risk tolerance, and investment horizons, adjusting for age-related factors.
What Are No-Load Funds? Definition, Advantages & Top Examples
Key Takeaways No-load funds allow investors to put their entire investment to work without paying sales commissions. These funds still have management fees, such as expense ratios, to cover operational costs. Vanguard Group popularized no-load funds by bypassing intermediaries and offering them directly to investors. Investing in no-load funds can be cost-effective, especially in retirement accounts, as they minimize intermediary charges.
Protecting 401(k) Savings from Employer Misuse
Key Takeaways 401(k) fraud can occur despite federal regulations, with companies potentially misusing funds intended for employees’ retirement savings. The Employee Benefits Security Administration (EBSA) enforces 401(k) rules, which are designed to protect plan participants and maintain plan integrity. Report suspected 401(k) fraud to the EBSA or IRS if you notice irregularities such as late statements, missing contributions, or unauthorized transactions.
Gaining Back Your Home Equity: The Impact of Loan Payoff
Key Takeaways A home equity loan allows you to borrow against the equity in your property, using your home as collateral. If you fail to repay a home equity loan, the lender can foreclose on your property to recover the debt. Repaying the entire home equity loan removes the lender’s claim, restoring full ownership of your home equity. Home equity increases as you pay off your mortgage and as your property’s market value rises.
Is Paying Off Your Mortgage With a Home Equity Loan a Wise Move?
Key Takeaways Home equity loans provide a lump sum based on home equity, often used to lower mortgage payments. HELOCs offer a flexible line of credit with variable interest rates, suitable for those wanting borrowing flexibility. Using home equity to pay off a mortgage can reduce interest costs but involves potential risks, such as rising interest rates. It’s crucial to understand loan terms and prepayment penalties before using home equity for mortgage reduction.
Tradable Commodities: Types, Risks, and Market Insights
Key Takeaways Tradable commodities are essential goods like energy, metals, livestock, and agriculture. These commodities are traded through futures contracts. External factors such as weather and geopolitical events influence commodity prices. The Commodity Futures Trading Commission (CFTC) oversees futures trading to ensure market integrity. Basics of Tradable Commodities Tradable commodities are essential goods used in commerce, often interchangeable with other goods of the same type.
What Is a CD-Secured Loan?
What Is a CD-Secured Loan? A CD-secured loan is a loan that uses a certificate of deposit (CD) from a bank or credit union as collateral. A CD-secured loan can offer competitive interest rates, but there are downsides to consider as well, particularly the fact that you could lose your CD if you can’t meet the terms of the loan.
The Works Progress Administration: Key to Job Creation During the Depression
Key Takeaways The WPA was part of Franklin D. Roosevelt's New Deal, aimed at economic recovery. The program provided a diverse range of jobs, enhancing the arts and public infrastructure. WPA projects required local and federal approval to ensure efficient fund allocation. It employed 8.5 million people, including African Americans and women, during its operation. Critics argued the WPA was costly and accused it of being politically motivated.
How the Rural Electrification Act Shapes U.S. Infrastructure
Key Takeaways The Rural Electrification Act of 1936 provided federal loans to bring electricity to rural U.S. areas. By 1953, nearly all rural Americans had electricity, boosting U.S. economic growth post-World War II. More than 900 co-ops still provide electricity, inspired by the act’s successful cooperative model. The co-op model has informed efforts to expand rural broadband and other infrastructure. The act’s legacy continues with the Rural Utilities Service under the Department of Agriculture.
Savings Rate: Definition, Influences, History in the U.S.
The savings rate is the percentage of disposable personal income that is set aside rather than spent on consumption. Economic conditions, cultural factors, and individual characteristics all influence the savings rate. Periods of economic uncertainty or downturns have historically led to higher savings rates as individuals prepare for future financial needs.
Is Cashing Out Mutual Funds a Smart Move to Pay Off Debt?
Key Takeaways Cashing out mutual funds to pay debt can lead to significant tax consequences and potential penalties. Selling mutual fund shares means missing out on potential long-term growth and compounding benefits. Alternatives to liquidating investments include refinancing loans, balance transfer cards, and debt management plans. Withdrawing from an IRA may result in income tax and early withdrawal penalties, depending on the account type and your age.
FACT CHECK: Does This Photo Show Women ‘Gathered To Scream At Trump Through Their Vaginas’?
The image shows a 2014 performative art project
FACT CHECK: Does This Photo Show Women ‘Gathered To Scream At Trump Through Their Vaginas’?
An image shared on Facebook over 11,000 times allegedly shows women that “gathered to scream at Trump through their vaginas.” Verdict: False The photo, which dates back to 2014, actually shows a performative art project. It was not related to a protest against President Donald Trump. Fact Check: The image shows women in a circle screaming and lifting their skirts. Some social media users attempted to link the photo to a demonstration against Trump.
FACT CHECK: Did Donald Trump Tweet In 2013 That He Would ‘Never Contract Coronavirus’?
The tweet is fabricated
FACT CHECK: Did Donald Trump Tweet In 2013 That He Would ‘Never Contract Coronavirus’?
An image shared on Facebook purportedly shows a 2013 tweet from President Donald Trump saying, “I will never contract coronavirus and be admitted to Walter Reed Military Medical Center!” “This has not aged well,” the Facebook user remarked. Verdict: False There is no record of Trump sending the tweet. The new coronavirus first emerged in late 2019. Fact Check: Trump announced on Twitter early Oct.
K-Shaped Recovery: Definition, Causes, and Examples
What Is a K-Shaped Recovery? A K-shaped recovery occurs when, following a recession, different parts of the economy recover at different rates, times, or magnitudes. It’s called K-shaped because the path of the different parts of the economy when charted together may diverge, resembling the two arms of the letter “K.” These diverging paths can reflect differences in industry conditions, household financial resources, and job security.
Mercedes-Benz Group AG: Sales and Suppliers
Key Takeaways Mercedes-Benz was founded in 1926 and is located in Stuttgart, Baden-Württemberg, Germany. It is mainly known for its cars and vans and is one of the top automakers in the world by revenue. The group also offers other services, including financing, leasing, and insurance. The Mercedes-Benz Group AG has over 30 production facilities in Europe, North America, Asia, and Africa. Get personalized, AI-powered answers built on 27+ years of trusted expertise.
Is Apple Pay Really Safe? Exploring Its Security Features
Key Takeaways Apple Pay uses NFC technology, keeping your card in your wallet. Each Apple Pay transaction uses a unique, encrypted code for security. Optional security features include two-factor identification and a complex passcode. Apple ensures card information isn’t shared across its cloud for added safety. Potential vulnerabilities mainly stem from user errors or misconfigured devices. Apple Pay is a mobile payment system.
The Glass Ceiling: Definition, History, Effects, and Examples
Key Takeaways The glass ceiling is a colloquial term for the social barrier preventing women from being promoted to top jobs in management. The term has been broadened to include discrimination against minorities.
Symmetrical Triangles vs. Pennant Patterns: Key Differences Explained
Key Takeaways Symmetrical triangles indicate price consolidation before a breakout or breakdown. Pennants include a flagpole and follow a large price movement. The presence of a flagpole distinguishes pennants from symmetrical triangles. Pennants last weeks, while triangles can take months or years to form. Early or late breakouts in symmetrical triangles may signal weaker patterns. Symmetrical Triangles vs.
Robin Hood Effect: Wealth Redistribution and Economic Impact
Key Takeaways The Robin Hood effect involves redistributing wealth from the rich to the poor. Government policies often cause or aim to create Robin Hood effects. Market changes can unintentionally lead to Robin Hood outcomes. Higher taxes on the wealthy are a common method to achieve this effect. The Robin Hood effect enhances economic equality between wealth levels. What Is the Robin Hood Effect?
Cestui Que Vie Explained: Legal Impact on Trusts and Estates
Key Takeaways Cestui que vie is a legal term meaning "he who lives," used to determine the duration of a trust or estate. The term often refers to the insured in life and health insurance policies, rather than the beneficiary. Historically, cestui que vie helped manage property rights while the owner was absent, influencing modern law. What Is Cestui Que Vie? Cestui que vie is a common law term that means "he who lives" in French.
Money Market Fund Crisis: The 2008 Reserve Fund Breakdown
Key Takeaways The Reserve Primary Fund broke the buck, meaning its NAV fell below $1, due to Lehman Brothers’ bankruptcy. Despite holding only 1.5% in Lehman commercial paper, investor panic led to massive withdrawals from the Reserve Fund. In response, the U.S. Treasury introduced temporary guarantees to stabilize money market funds at $1 per share. The collapse prompted questions about money market fund safety and the necessity of government intervention.
Top 8 Investing Mistakes and How to Avoid Them
Investing is by no means always easy and profits are never guaranteed. There are countless books on investing and everyone has different tips and tricks that work for them. Even professional investors aren’t always right even after years of practice. Additionally, every investor is different, with different investment goals, risk tolerances, and knowledge. However, there are some common mistakes that all investors should avoid, which we discuss below.
Financial Planner and Advisor Comparison: What You Need to Know
Key Takeaways Financial planners help clients develop strategies for long-term financial goals such as retirement and education funding. Financial advisors include a broader range of professionals offering varied services, from investment advice to insurance. It’s essential to verify a financial professional’s credentials and ensure their services match your financial needs. The term “financial planner” is not regulated, but professionals often hold certifications like CFP or CFA.
Exploring CAPM vs. APT: Which is Right for You?
Key Takeaways CAPM quantifies expected return as a function of risk, the risk-free rate, the market return, and an asset’s beta, using a single-factor model. APT, developed by Stephen Ross, considers multiple macroeconomic and company-specific factors, offering an alternative to CAPM. CAPM is simpler, whereas APT requires identifying and quantifying multiple factors, making it more complex but comprehensive.
Annuity Derivation vs. Perpetuity Derivation: What’s the Difference?
Comparing Annuity and Perpetuity Derivation The difference between an annuity derivation and a perpetuity derivation is related to their distinct time periods. An annuity uses a compounding interest rate to calculate its present value or future value, while a perpetuity uses only the stated interest rate or discount rate. However, several different kinds of annuities exist, and some seek to replicate the features of a perpetuity.
Comparing ETFs and CEFs: What Investors Need to Know
Key Takeaways ETFs are open-ended funds and trade on exchanges like stocks, providing high liquidity and low-cost investment opportunities. Closed-end funds (CEFs) have a fixed number of shares and often trade at premiums or discounts to their net asset value based on market demand. ETFs generally have lower expense ratios due to passive management, while CEFs tend to be actively managed, resulting in higher costs.
Top IRA Investments: CDs, Mutual Funds, Stocks & More
Key Takeaways IRAs offer tax advantages and a range of investment options with varying risks. Savings accounts and CDs in IRAs are insured by the FDIC up to $250,000. U.S. Treasury bills are highly liquid and safe but costly for individual investors. Mutual funds and ETFs provide diversification and potential for higher returns but carry higher risks. Stocks offer potential high rewards but come with greater risk and require thorough research.
Hedge Funds and Private Equity: Strategies and Differences
Key Takeaways Hedge funds focus on high-risk, short-term trades in liquid assets for quick returns. Private equity funds invest in and manage companies for long-term gains, requiring capital commitments of several years. Hedge fund investors can typically withdraw anytime, while private equity funds have longer lock-up periods. Both funds are primarily for high-net-worth, accredited investors seeking higher returns.
How Beta Measures Systematic Risk
Systematic risk, or total market risk, is price volatility that affects stocks across many industries, sectors, and asset classes. Risks that affect the overall market are by their nature difficult to predict and hedge against. Diversification cannot help an investor to smooth out systematic risk, given that it affects all or most industries. For example, the Great Recession was a form of systematic risk.
Understanding Implied Volatility in the Black-Scholes Formula
Implied volatility is derived from the Black-Scholes formula and it can provide significant benefits to investors. It’s an estimate of the future variability for an asset underlying an options contract. The Black-Scholes model is used to price options and it assumes that the price of the underlying asset follows a geometric Brownian motion with constant drift and volatility.
What If Your Stockbroker Goes Under? Protecting Your Investments
Key Takeaways SIPC protects investor assets up to $500,000 in securities and $250,000 in cash if a brokerage goes bankrupt. SEC regulations require separate accounts for client and company assets to prevent misuse. In a broker’s bankruptcy, SIPC facilitates asset transfers to another firm, minimizing disruptions for investors. SIPC insurance covers the number of shares, not their market value during bankruptcy transitions.
Maximize Your College Savings with 529 Plans: Key Insights
Key Takeaways There is no annual IRS contribution limit for 529 plans, but contributions may have gift tax implications. Every state sets a maximum aggregate account balance for its 529 plans. Maximum balances vary by state and are generally high enough to cover the expected cost of higher education. Qualified withdrawals are generally tax-free. Get personalized, AI-powered answers built on 27+ years of trusted expertise.
How Much Are Taxes on an IRA Withdrawal?
Key Takeaways Roth IRAs generally allow qualified distributions to be tax-free, and some other IRA distributions may be partly tax-free depending on basis and other rules. If you withdraw money before age 59½, you will have to pay income tax and a 10% penalty unless you qualify for an exception or you withdraw Roth contributions—not Roth earnings.
Maximize Your Portfolio with Corporate Bonds: Benefits and Drawbacks
Key Takeaways Corporate bonds typically offer higher returns than government bonds, but they come with inherent credit risks. Investors can choose from various types of corporate bonds, including those with fixed, floating, or step coupon rates. Liquidity in corporate bond markets varies, which may influence trading opportunities and strategies. Credit ratings are crucial for assessing the investment quality of corporate bonds, with investment-grade bonds deemed safer.
Major Deflation Periods in U.S. History
Key Takeaways • Deflation reduces the general price level of goods and services, the opposite of inflation. • U.S. deflation was most severe during the Great Depression, lowering prices by 7% annually. • The Great Recession saw deflation fears, but borrowing costs tempered price cuts. • Deflation can harm the economy, causing unemployment and lower business profits. • Monetary policy, like altering interest rates, can address deflation concerns.
Maximize Your 401(k) Benefits: Essential Tips for Growth
Key Takeaways The 401(k) plan places retirement saving and investment responsibilities on employees, emphasizing consistent contributions. Roth 401(k)s, unlike traditional 401(k)s, are funded with after-tax dollars, offering tax-free withdrawals in retirement. 401(k) plans feature vesting schedules, with the U.S. Department of Labor mandating full vesting after six years. Employees can borrow from their 401(k) but must repay to avoid penalties; rolling over funds to a Roth IRA incurs taxes.
Inverse Head and Shoulders: Mastering Bullish Reversal Patterns
Key Takeaways The inverse head and shoulders pattern signifies a major bullish reversal after a downtrend, with three troughs forming the pattern. Confirmation of the pattern's validity often comes from increased trading volume during the breakout above the neckline. Traders should use additional technical indicators, like RSI and MACD, to enhance the reliability of the inverse head and shoulders signals. Get personalized, AI-powered answers built on 27+ years of trusted expertise.
Best Times of the Day, Week, and Month to Trade Stocks
Every second counts in the stock market, where fortunes can shift with each tick of the trading clock. Perhaps it’s no surprise, then, that many traders seek to gain an edge by identifying optimal times to enter and exit positions, whether that’s a particular hour of the day, day of the week, or month of the year.
Mastering the Hikkake Pattern: Predict Market Reversals
Key Takeaways The Hikkake pattern is a technical analysis tool predicting short-term market movements through a specific candle setup. Developed by Daniel L. Chesler, CMT, it aims to trap traders into commitments, followed by a potential market reversal. This pattern involves two setups: one indicating an upward trend, the other signaling a downward movement. While effective in some cases, the Hikkake pattern does not always accurately predict market changes.
Laissez-Faire Economy Explained: Definition, Principles, and Criticism
Key Takeaways Laissez-faire is an economic theory advocating for minimal government intervention in business affairs, suggesting that economies thrive best when left alone. Originating in 18th-century France with the Physiocrats, laissez-faire economics became fundamental to free-market capitalism, emphasizing a natural economic order without regulation. While the theory champions free market and competition, critics argue it can lead to economic imbalance and leaves the vulnerable unprotected.
Distribution Waterfalls in Private Equity: A Comprehensive Guide
Reviewed by JeFreda R. Brown Fact checked by Ryan Eichler Investopedia / NoNo Flores Definition A distribution waterfall is a structured for allocating investment returns among private equity fund investors based on a set hierarchy, which can differ between countries. Key Takeaways Distribution waterfalls prioritize how investment returns are allocated in private equity funds, often favoring general partners.
Backtesting in Trading: Definition, Benefits, and Limitations
Key Takeaways Backtesting is crucial for traders to evaluate the potential effectiveness of a strategy using historical data before risking real capital. Positive backtesting results can instill confidence in a strategy’s viability, while negative results might prompt modifications or abandonment. A comprehensive backtest should encompass various market conditions and include all trading costs to ensure accuracy.
How Do I Calculate Convexity in Excel?
In the bond market, convexity refers to the relationship between price and yield. When graphed, this relationship is non-linear and forms a long-sloping U-shaped curve. A bond with a high degree of convexity will experience relatively dramatic fluctuations when interest rates move. Understanding convexity and duration in managing bond investments is key to assessing interest rate risk and making informed financial decisions.
Show More
loading
Actions
Is this you?
As a journalist, you can create a free Muck Rack account to customize your profile, list your contact preferences, and upload a portfolio of your best work.Get in touch with Ryan
Contact Ryan, search articles and posts on X, monitor coverage, and track replies from one place.
Learn more about Muck Rack