FMR

Displaying 1-25 of 25 results

  • White Papers // Oct 2009

    Reality Check For Bank Profits, Stock Rally

    In the relationship between bank earnings and the stock market, the honeymoon is over. Government support is designed to keep banks alive until the economy recovers enough to get lending back to normal. But high unemployment and deteriorating loan portfolios mean normalcy may be far off, despite investors' recent enthusiasm...

    Provided By FMR

  • White Papers // Oct 2009

    Hotel Investors Ignore The Vacancy Signs

    Investors are piling into hotel stocks much faster than travelers are piling into hotel rooms. Hotelier fortunes sway with the broader economy. Consumers and businesses travel less when times are hard. But a deep recession can create pent-up demand for travel in a recovery, and investors seem to expect one.

    Provided By FMR

  • White Papers // Oct 2009

    Good News For Mortgage Shoppers

    Don't look now but mortgage rates are really, really low - practically at record low levels. Homeowners who still have adequate equity might want to jump on this and refinance one more time. Or start using their home equity line again. Or switch to a fixed-rate loan. Or give up...

    Provided By FMR

  • White Papers // Oct 2009

    401(k) Investors: Hit Hard In '08, Doing Better Now

    The crisis last fall hurt all 401(k) participants, but it hurt them each a little differently. That's because how well a 401(k) investor does depends on a host of factors: age, tenure, years as a 401(k) participant, starting balance and size of contributions. For instance, the worst-hit group in 2008...

    Provided By FMR

  • White Papers // Sep 2009

    Unused Vacation? It May Pay

    Taking vacation pays dividends - especially if your company allows you to put unused vacation or sick-leave days into your 401(k) or profit-sharing plan. To encourage savings, the Obama administration recently blessed such transfers. While companies may have to amend their benefit plans to allow it, the administration hopes firms...

    Provided By FMR

  • White Papers // Sep 2009

    Broker Talk: The Recovery Will Surprise You

    The recession is, or nearly is, over. But the question now is how strong and sustainable the recovery will be. There's a growing chorus of skeptics predicting that growth will be tepid at best in the near term. But historically, steep economic contractions tend to give way to sharp recoveries.

    Provided By FMR

  • White Papers // Sep 2009

    Whip Inflation Later?

    The Fed risks an inflation nightmare by keeping interest rates low indefinitely. But some economists think that's a problem that can be dealt with next year. The Federal Reserve is going to keep interest rates near zero for the foreseeable future. That much is certain. What isn't so clear is...

    Provided By FMR

  • White Papers // Sep 2009

    Flashing Yellow

    Nevertheless, if a lot more companies in coming months rush to market to sell their stock, the IPO market would go beyond merely issuing an early warning to flashing outright concern. To be sure, the current IPO market has not heated up to anywhere near the fever-pitch levels seen at...

    Provided By FMR

  • White Papers // Sep 2009

    Playing The M&A Boom With Mutual Funds

    Specialized mutual funds that invest in mergers and acquisitions have provided slow and steady returns in recent years, protecting investors from painful market corrections. With takeover activity reviving after deals waned during the credit crunch, these so-called merger-arbitrage funds are finding more opportunities and may be poised for better days.

    Provided By FMR

  • White Papers // Sep 2009

    Decision On Ending Housing Prop Can Wait

    Any reduction in Fed purchases would likely affect housing affordability. In the six months before the Fed began buying mortgages late last year, 30-year conventional mortgages yielded an average of 2.4 percentage points more than 10-year Treasury notes, a useful benchmark for such long-term loans since most mortgages get repaid...

    Provided By FMR

  • White Papers // Sep 2009

    6 Credit-Card Traps To Avoid Now

    In many ways, the economy has been as tough on credit-card issuers as it has been on their debt-ridden customers. Charge-offs and delinquencies are rising as unemployed credit-card holders are falling behind on their payments. Interchange revenues are declining, as suddenly-frugal consumers are opting to leave their cards at home...

    Provided By FMR

  • White Papers // Sep 2009

    Where To Find Diversification In A Highly Correlated World

    One of the basic tenets of portfolio construction is diversification, the strategy of owning multiple asset classes with different risk characteristics. In theory, diversifying a portfolio with different, imperfectly correlated assets can help lower performance volatility over time. During the past three years, the returns of many riskier assets that...

    Provided By FMR

  • White Papers // Sep 2009

    Worth Asking: Who Wins If Dollar Loses?

    Betting against the dollar is becoming an awfully crowded, and risky, trade. There are reasons to doubt the greenback's value. Government debt is the highest as a percentage of gross domestic product since the 1950s. Federal Reserve monetary policy has never been easier, flooding the system with dollars. Yet there...

    Provided By FMR

  • White Papers // Sep 2009

    Lessons Of A Bull Market That Never Happened

    The good news is that markets are no longer anywhere near as overvalued as they were 10 (or two) years ago. Global markets, which hit a peak of about 25 times forecast earnings in early 2000, are now a more reasonable 16 times. The global dividend yield has doubled to...

    Provided By FMR

  • White Papers // Sep 2009

    Should You Hurry To Buy Life Insurance?

    Life insurance costs have recently climbed after falling for more than a decade. Salespeople say if you're thinking about buying you should do so now before rates move higher. Of course, salespeople just about always say that. What do the facts say about buying now versus waiting? For life insurance,...

    Provided By FMR

  • White Papers // Sep 2009

    Five Lending Challenges For Consumers

    Years of loose lending helped the U.S. economy spiral into a credit crisis that has taken down some of the nation's biggest banks. While regulators and banks have taken steps to curb some of the most reckless lending practices, consumers still face hurdles as they manage their debt, namely higher...

    Provided By FMR

  • White Papers // Sep 2009

    Investors, It Pays To Mind The GAAP Gaps

    In the second-quarter earnings season, so-called operating earnings, which exclude one-time items such as credit-market write-downs, nearly matched earnings conforming to Generally Accepted Accounting Principles, or GAAP, which get reported to the government but get less attention on earnings day. When using a 10-year trailing average of earnings to erase...

    Provided By FMR

  • White Papers // Sep 2009

    5 Bond Funds With Fatter Yields

    High-yield bonds are widely known as 'Junk bonds.' But not everything that's in higher-yielding bond funds falls into that category. During the depths of last year's credit crisis, the market for high-yield bonds all but froze. Investors shunned anything with a whiff of risk, and high-yield bonds, often called junk...

    Provided By FMR

  • White Papers // Sep 2009

    Would You Benefit From A Roth IRA Conversion In 2010?

    Most investors should consider having a Roth IRA as part of their overall retirement plan because they offer tax-free growth potential and withdrawals, which may help minimize taxes and maximize retirement savings. But Roth IRAs have income restrictions, so not everyone has access to one today. While a conversion does...

    Provided By FMR

  • White Papers // Sep 2009

    Housing Seems Set To Aid Economy A Bit

    After facilitating the economy's downfall, the housing sector will soon start helping its recovery, though probably not by much. A tentative recovery in home construction might be enough to boost annualized gross-domestic-product growth by as much as 0.5 percentage point, according to some estimates, perhaps as soon as this quarter.

    Provided By FMR

  • White Papers // Sep 2009

    The Line Outside Uncle Sam's Debt Store

    As much as Uncle Sam is borrowing, he has no shortage of lenders. Many investors worry that Treasury prices will plunge under the weight of this supply, pushing interest rates - which move in the opposite direction - higher and wreaking economic havoc. But so far, demand has kept pace.

    Provided By FMR

  • White Papers // Sep 2009

    What's In Store For Stocks

    Gordon's equation states that annual equity returns should equal dividend yields plus the long-term annual growth rate of those payouts. Over the past 80 years, dividend growth has been a remarkably good proxy for stock-price appreciation, which makes sense since both are tied to earnings growth. Still, in a world...

    Provided By FMR

  • White Papers // Sep 2009

    How Economic Recovery Might Unfold

    With most economists now estimating that the U.S. economic recession is drawing to a close, the big question ahead is what type of recovery will follow. Many experts remain skeptical about the likelihood of a strong and sustainable economic recovery, and the accuracy of this consensus will have significant implications...

    Provided By FMR

  • White Papers // Sep 2009

    Tit For Tat On Inflation-Deflation Front

    Powerful forces in favor of inflation and deflation seem to be canceling each other out. The Federal Reserve has flooded the marketplace with cash and credits, lowered interest rates and generally tried anything it can to prevent the onset of deflation, even if that means stoking a more-tolerable phenomenon: inflation.

    Provided By FMR

  • White Papers // Jul 2009

    7 Ways To Boost Investment Income

    With interest rates low worldwide, this paper explains seven strategies to amplify the yield on your investments - with the risks and rewards of each. The global financial crisis has forced interest rates close to zero on conservative investments like Treasury bonds as governments worldwide have moved aggressively to make...

    Provided By FMR

  • White Papers // Sep 2009

    Playing The M&A Boom With Mutual Funds

    Specialized mutual funds that invest in mergers and acquisitions have provided slow and steady returns in recent years, protecting investors from painful market corrections. With takeover activity reviving after deals waned during the credit crunch, these so-called merger-arbitrage funds are finding more opportunities and may be poised for better days.

    Provided By FMR

  • White Papers // Sep 2009

    Decision On Ending Housing Prop Can Wait

    Any reduction in Fed purchases would likely affect housing affordability. In the six months before the Fed began buying mortgages late last year, 30-year conventional mortgages yielded an average of 2.4 percentage points more than 10-year Treasury notes, a useful benchmark for such long-term loans since most mortgages get repaid...

    Provided By FMR

  • White Papers // Sep 2009

    Where To Find Diversification In A Highly Correlated World

    One of the basic tenets of portfolio construction is diversification, the strategy of owning multiple asset classes with different risk characteristics. In theory, diversifying a portfolio with different, imperfectly correlated assets can help lower performance volatility over time. During the past three years, the returns of many riskier assets that...

    Provided By FMR

  • White Papers // Sep 2009

    Worth Asking: Who Wins If Dollar Loses?

    Betting against the dollar is becoming an awfully crowded, and risky, trade. There are reasons to doubt the greenback's value. Government debt is the highest as a percentage of gross domestic product since the 1950s. Federal Reserve monetary policy has never been easier, flooding the system with dollars. Yet there...

    Provided By FMR

  • White Papers // Sep 2009

    Should You Hurry To Buy Life Insurance?

    Life insurance costs have recently climbed after falling for more than a decade. Salespeople say if you're thinking about buying you should do so now before rates move higher. Of course, salespeople just about always say that. What do the facts say about buying now versus waiting? For life insurance,...

    Provided By FMR

  • White Papers // Sep 2009

    Five Lending Challenges For Consumers

    Years of loose lending helped the U.S. economy spiral into a credit crisis that has taken down some of the nation's biggest banks. While regulators and banks have taken steps to curb some of the most reckless lending practices, consumers still face hurdles as they manage their debt, namely higher...

    Provided By FMR

  • White Papers // Sep 2009

    Investors, It Pays To Mind The GAAP Gaps

    In the second-quarter earnings season, so-called operating earnings, which exclude one-time items such as credit-market write-downs, nearly matched earnings conforming to Generally Accepted Accounting Principles, or GAAP, which get reported to the government but get less attention on earnings day. When using a 10-year trailing average of earnings to erase...

    Provided By FMR

  • White Papers // Sep 2009

    5 Bond Funds With Fatter Yields

    High-yield bonds are widely known as 'Junk bonds.' But not everything that's in higher-yielding bond funds falls into that category. During the depths of last year's credit crisis, the market for high-yield bonds all but froze. Investors shunned anything with a whiff of risk, and high-yield bonds, often called junk...

    Provided By FMR

  • White Papers // Sep 2009

    Would You Benefit From A Roth IRA Conversion In 2010?

    Most investors should consider having a Roth IRA as part of their overall retirement plan because they offer tax-free growth potential and withdrawals, which may help minimize taxes and maximize retirement savings. But Roth IRAs have income restrictions, so not everyone has access to one today. While a conversion does...

    Provided By FMR

  • White Papers // Sep 2009

    Housing Seems Set To Aid Economy A Bit

    After facilitating the economy's downfall, the housing sector will soon start helping its recovery, though probably not by much. A tentative recovery in home construction might be enough to boost annualized gross-domestic-product growth by as much as 0.5 percentage point, according to some estimates, perhaps as soon as this quarter.

    Provided By FMR

  • White Papers // Sep 2009

    The Line Outside Uncle Sam's Debt Store

    As much as Uncle Sam is borrowing, he has no shortage of lenders. Many investors worry that Treasury prices will plunge under the weight of this supply, pushing interest rates - which move in the opposite direction - higher and wreaking economic havoc. But so far, demand has kept pace.

    Provided By FMR

  • White Papers // Sep 2009

    What's In Store For Stocks

    Gordon's equation states that annual equity returns should equal dividend yields plus the long-term annual growth rate of those payouts. Over the past 80 years, dividend growth has been a remarkably good proxy for stock-price appreciation, which makes sense since both are tied to earnings growth. Still, in a world...

    Provided By FMR

  • White Papers // Sep 2009

    How Economic Recovery Might Unfold

    With most economists now estimating that the U.S. economic recession is drawing to a close, the big question ahead is what type of recovery will follow. Many experts remain skeptical about the likelihood of a strong and sustainable economic recovery, and the accuracy of this consensus will have significant implications...

    Provided By FMR

  • White Papers // Sep 2009

    Tit For Tat On Inflation-Deflation Front

    Powerful forces in favor of inflation and deflation seem to be canceling each other out. The Federal Reserve has flooded the marketplace with cash and credits, lowered interest rates and generally tried anything it can to prevent the onset of deflation, even if that means stoking a more-tolerable phenomenon: inflation.

    Provided By FMR

  • White Papers // Jul 2009

    7 Ways To Boost Investment Income

    With interest rates low worldwide, this paper explains seven strategies to amplify the yield on your investments - with the risks and rewards of each. The global financial crisis has forced interest rates close to zero on conservative investments like Treasury bonds as governments worldwide have moved aggressively to make...

    Provided By FMR

  • White Papers // Oct 2009

    Good News For Mortgage Shoppers

    Don't look now but mortgage rates are really, really low - practically at record low levels. Homeowners who still have adequate equity might want to jump on this and refinance one more time. Or start using their home equity line again. Or switch to a fixed-rate loan. Or give up...

    Provided By FMR

  • White Papers // Sep 2009

    Whip Inflation Later?

    The Fed risks an inflation nightmare by keeping interest rates low indefinitely. But some economists think that's a problem that can be dealt with next year. The Federal Reserve is going to keep interest rates near zero for the foreseeable future. That much is certain. What isn't so clear is...

    Provided By FMR

  • White Papers // Sep 2009

    Lessons Of A Bull Market That Never Happened

    The good news is that markets are no longer anywhere near as overvalued as they were 10 (or two) years ago. Global markets, which hit a peak of about 25 times forecast earnings in early 2000, are now a more reasonable 16 times. The global dividend yield has doubled to...

    Provided By FMR

  • White Papers // Oct 2009

    Reality Check For Bank Profits, Stock Rally

    In the relationship between bank earnings and the stock market, the honeymoon is over. Government support is designed to keep banks alive until the economy recovers enough to get lending back to normal. But high unemployment and deteriorating loan portfolios mean normalcy may be far off, despite investors' recent enthusiasm...

    Provided By FMR

  • White Papers // Oct 2009

    Hotel Investors Ignore The Vacancy Signs

    Investors are piling into hotel stocks much faster than travelers are piling into hotel rooms. Hotelier fortunes sway with the broader economy. Consumers and businesses travel less when times are hard. But a deep recession can create pent-up demand for travel in a recovery, and investors seem to expect one.

    Provided By FMR

  • White Papers // Oct 2009

    401(k) Investors: Hit Hard In '08, Doing Better Now

    The crisis last fall hurt all 401(k) participants, but it hurt them each a little differently. That's because how well a 401(k) investor does depends on a host of factors: age, tenure, years as a 401(k) participant, starting balance and size of contributions. For instance, the worst-hit group in 2008...

    Provided By FMR

  • White Papers // Sep 2009

    Unused Vacation? It May Pay

    Taking vacation pays dividends - especially if your company allows you to put unused vacation or sick-leave days into your 401(k) or profit-sharing plan. To encourage savings, the Obama administration recently blessed such transfers. While companies may have to amend their benefit plans to allow it, the administration hopes firms...

    Provided By FMR

  • White Papers // Sep 2009

    Broker Talk: The Recovery Will Surprise You

    The recession is, or nearly is, over. But the question now is how strong and sustainable the recovery will be. There's a growing chorus of skeptics predicting that growth will be tepid at best in the near term. But historically, steep economic contractions tend to give way to sharp recoveries.

    Provided By FMR

  • White Papers // Sep 2009

    Flashing Yellow

    Nevertheless, if a lot more companies in coming months rush to market to sell their stock, the IPO market would go beyond merely issuing an early warning to flashing outright concern. To be sure, the current IPO market has not heated up to anywhere near the fever-pitch levels seen at...

    Provided By FMR

  • White Papers // Sep 2009

    6 Credit-Card Traps To Avoid Now

    In many ways, the economy has been as tough on credit-card issuers as it has been on their debt-ridden customers. Charge-offs and delinquencies are rising as unemployed credit-card holders are falling behind on their payments. Interchange revenues are declining, as suddenly-frugal consumers are opting to leave their cards at home...

    Provided By FMR