The S&P 500 just hit its 53rd all-time high of 2024 in an impressive rally
The S&P 500 index (SPY) notched its 53rd record high for 2024 on November 29, rising 0.56% to 6,032.44 during a shortened Black Friday trading session.
JPMorgan's Volatility Play: Long VIX Calls, Short SPY Puts
JPMorgan analysts are offering a fresh perspective on managing market volatility: betting on the VIX (volatility index) while trimming downside hedges on the SPDR S&P 500 ETF SPY. Here's what they're suggesting and why.
The S&P 500 (SPY) Is Ready for a Sell-Off
There is an investing adage that says since you can't beat the market you may as well buy it.
S&P 500 Set to Touch 6,500 by 2025: ETFs to Watch for Big Wins
Look at ETFs to capitalize on the optimistic forecast for the S&P 500.
3 Forces Shaping a Bullish 2025 Outlook
There are three reasons to be bullish about 2025. The long and short of it is that economic data remains solid, if a little spotty; consumers remain resilient, and there is broad-based demand globally.
Santa Claus Rally: 4 Reasons Stocks Could End the Year Strong
The 2024 trends and outlook for 2025 are reasons for the market to show some holiday cheer and rally through the year's end. Not only is the S&P 500 NYSEARCA: SPY in an earnings-driven uptrend but the stage is set for tailwinds to develop next year and sustain the trend into 2026.
Suze Orman says this ‘Social Security norm’ is costing Americans thousands of dollars of retirement income
Financial guru Suze Orman offers a wealth of helpful, sometimes surprising insights for savings gearing up for retirement. Even if you’re not a big fan of Suze, her views and opinions are worth listening to, especially if you’re unsure as to when the perfect time to start receiving Social Security benefits. In a prior piece, I highlighted Dave Ramsey’s view that retirees should opt to take Social Security at 62, the youngest age one can opt-in. Indeed, choosing not to delay gratification may be a rather aggressive move that’s not right for those with a low risk tolerance and a rather limited nest egg for their age. Ramsey’s points were pretty clear: taking Social Security sooner will allow one greater financial wiggle room and perhaps even a good shot at better returns compared to those who take Social Security at 70. Most notably, investing one’s funds received at 62 in a passive investment product — think a mutual fund or index exchange-traded fund (ETF) — may just allow one to stay flexible and on the growth track. Indeed, it does not take any exceptional skill to score a decent return over a timespan longer than four or five years. An S&P 500 ETF that boasts a low expense ratio is more than enough to help retirees continue building their nest egg as they put their Social Security benefits to work as soon as possible. Additionally, I noted that skilled contrarian investors would likely be better off with the means to buy stocks on those inevitable market sell-offs that come one’s way. I’d be more inclined to stick with Ramsey, who’s on the more aggressive extreme (take Social Security at 62), over Orman’s conservative extreme (who recommends waiting until 70 to receive the maximum benefit). Key Points About This Article Suze Orman’s in the camp that thinks it’s best to delay receiving Social Security benefits until 70. Orman’s conservative approach stands in stark contrast to Dave Ramsey’s more aggressive one. The case for taking Orman’s advice by choosing to opt into Social Security later That said, if you’re a retiree or soon-to-be retiree who’s nervous about market volatility, it may make sense to take all market risk off the table by taking Social Security later rather than taking it sooner and investing the amount you won’t need in retirement. That’s when Orman’s strategy could be the better course of action. Of course, the perfect middle ground lies somewhere in the middle of the two extremes. Whether you’re leaning more towards Ramsey or Orman, you should really consult a professional financial advisor who can better know your situation at a more personalized level. Either way, the “Social Security norm” for many is to take Social Security benefits once they’re officially retired. For some, it’s 62; for others, it’s closer to 70. Regardless, one opts into social security once they’re officially retired. Indeed, it’s a simple plan that makes sense for many people, especially since one needs the income supplement once they’re no longer on the job. Suze Orman claims buying into the Social Security “norm” could be costly. She’s right. Orman argues that subscribing to such a “norm” could cost retirees dearly, especially for those who retire in their earlier 60s and take benefits at 62. By delaying Social Security benefits until 70, benefit amounts can rise in the ballpark of 8% annually. That’s a solid return, which Orman points out is risk-free. Sure, a retiree who takes benefits before 65 could score far better than 8% by investing the proceeds in the S&P 500 or individual stocks they deem as undervalued. However, such a return will entail bearing some degree of risk. Further, it would be very hard to land a high single-digit return on a low- to no-risk type of investment, especially in a falling-rate environment. Though a lengthy investment horizon (let’s say more than five years) can help one mitigate some market risks (you’ll be invested long enough to recover from particular nasty sell-offs), it’s still not free from risk. Sometimes, the smaller risk-free return is better than the superior risky return. And in the case of delaying Social Security benefits until 70, you’ll maximize your risk-free return. Arguably, that’s the smart move for retirees who just aren’t comfortable with risk and would rather sleep comfortably at night knowing they’ll maximize their risk-adjusted returns. Of course, if you retire at 62 and wait until 70 before opting into Social Security, you’ll be waiting a long time, perhaps too long, depending on your needs. In any case, Orman’s case for taking Social Security benefits makes a lot of sense when considering just how good a deal a high single-digit percentage risk-free return is. The #1 Thing to Do Before You Claim Social Security (Sponsor) Choosing the right (or wrong) time to claim Social Security can dramatically change your retirement. So, before making one of the biggest decisions of your financial life, it’s a smart idea to get an extra set of eyes on your complete financial situation. A financial advisor can help you decide the right Social Security option for you and your family. Finding a qualified financial advisor doesn’t have to be hard. SmartAsset’s free tool matches you with up to three financial advisors who serve your area, and you can interview your advisor matches at no cost to decide which one is right for you. Click here to match with up to 3 financial pros who would be excited to help you optimize your Social Security outcomes. Have questions about retirement or personal finance? Email us at [email protected]! By emailing your questions to 24/7 Wall St., you agree to have them published anonymously on 247wallst.com. By submitting your story, you understand and agree that we may use your story, or versions of it, in all media and platforms, including via third parties. The post Suze Orman says this ‘Social Security norm’ is costing Americans thousands of dollars of retirement income appeared first on 24/7 Wall St..
SPY: Seek Shelter As P/E Nears All-Time High Amid Post-Election Rallies
Post-election rallies have heightened SPY's valuation risks, necessitating caution and consideration of alternative investments. The underlying valuation is at historically high levels, either in terms of the Shiller CAPE ratio or relative to risk-free rates. Alternative ideas include REITs and dividend-focused ETFs (such as SCHD and NOBL).
SPY: Golden Scenario For Trump
Hold the SPDR S&P 500 ETF Trust due to Trump's victory and a favorable corporate tax environment, but the S&P 500 is expensive by 19 out of 20 metrics. Trump's policies, including potential tax cuts and tariffs, could boost corporate profits short-term but raise long-term inflation concerns. Despite a positive short-term outlook, the stretched valuation of the S&P 500 warrants caution and patience for better buying opportunities.
AI predicts S&P 500 index for year-end
The S&P 500 index (SPY) has soared to new all-time highs, smashing records and rallying past the 5,900 mark for the first time in history.
What's the Best Way to Invest in Stocks Without Any Experience? Start With an Index Fund.
You should aim for a diversified portfolio, but instead of going as broadly as possible, it pays to use certain index ETFs to focus your investment.
The Only 3 ETFs You Need to Ride This Bull Market Higher
There are a number of different ways for investors to gain exposure to the market.
