Generation Perspectives on Financial Responsibility

Does a 25-year-old view financial responsibility to family members differently than someone who is 45? Or 65? According to the MetLife Mature Market Institute’s recent study, Multi-Generational Views on Family Financial Obligations, they do. The study reveals there are some distinct differences between the views of Baby Boomers, Generation X, and Generation Y.

The Hazards of Market Timing

For as long as markets have been around there has been a subset of participants that believe they can outsmart the market. These investors are frequent traders that believe they can consistently time the market to buy low and sell high. Over the years investors have developed many techniques from the fundamental analysis of companies’ financial statements to drawing lines across charts of a stock’s historical price movement. Do these techniques work in the long term? The data suggest they do not.

Moving Away from Plastic

As Online Banking has become more accessible and easy to use, I have found myself using my debit card more and more and rarely using cash. This is becoming a common trend among Americans. We are choosing to use plastic even for small purchases. Banks have capitalized on this trend by offering merchant services to small, medium, and large businesses and it is becoming very rare to find an established business that does not accept plastic.

The Greeks: From Past to Present

When people mention the Greeks, images of Zeus, Athena, and Hercules may come to mind. However, in the finance industry, the Greeks are a set of variables used as measures of risk sensitivity. The Greeks consist of delta, theta, gamma, vega, and rho. This article will provide an overview of each variable and what they represent.

The Investors’ Psyche

Investors who adopt a disciplined strategy and manage their emotions make better decisions over the long run. Taking control of your emotions in relation to investing seems like an easy task, but in practice it proves to be quite difficult if not impossible to achieve in perfection. I recently came across Kiplinger’s investor psychology quiz which addresses the ways our minds often sabotage financial decisions.

Option Premiums Part II: Volatility

In the Snider Investment Method, we sell options for a premium, which is the amount we receive for selling someone the right to purchase our shares at a particular price over a given period of time. This is the second of a series, with each article explaining a different component that helps determine the premium of a stock option. The last article discussed time and how the Snider Method uses the time value to its advantage. Today’s focus will be on volatility, another important factor that determines option premium.

Fear, Hope, and Greed: The investors best friend or…

Have you lost sleep over your investments lately? If so you are not alone.

With all the complexities and nondescript jargon surrounding the financial markets nowadays it is easy to forget that they are still driven by the same thing they always have been; buyers and sellers.

Operation Twist?

by Jesse Anderson, CFA This is not the type of Twist Chubby Checkerwould enjoy. This twist is focused on interest rates and flattening the yield curve. The economy is still in a fragile state. Everyone is looking for the answer to provide the necessary spark for improvement. The president created a jobs plan and the Federal Reserve announced Operation Twist …

Making the Switch

by CareyAnn Peterson Every Monday morning, Richard sips on his morning cup of joe and reads the newspaper while waiting for his bank to open. At 8am sharp, he heads to the local branch of his bank and withdrawals the cash he needs for the week. His favorite teller at the bank welcomes him by name and immediately begins to …

Option Premiums Part I: Time is of the Essence

In the Snider Investment Method, we sell options for a premium, which is the amount we receive for selling someone the right to purchase our shares at a particular price over a given period of time. This will be the first of a series, with each article explaining a different component that helps determine the premium of a stock option. Today I will focus on one of the most important factors: time value.