Question: A friend has trust funds for each of her children’s college education. Each trust is currently about $200k. The elder child is a high school sophomore and the trust is currently 70% equities. Should that number be reduced even though the capital-gains taxes may be quite high? Answer: The taxation of income retained by trusts is Read more »
Lesson 6 – The Real Meaning of Safety
There are some people who believe that a retiree’s portfolio should consist primarily of “safe” investments. In this context, safe generally means low volatility. If, for example, you keep all your money in a federally insured bank account, then it will never have a day when it goes down in value. There are, however, two Read more »