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Learn which ETF's have performed the best so far in 2017. Photos of this page will be posted on my website at http://lindapjones.com, podcast 239. Please subscribe and leave me a review on iTunes or Stitcher Radio. Move your net worth in the right direction by getting “11 Quick Financial Tips to Boost Your Wealth” at www.lindapjones.com.

Learn what's happening in the economy with jobs and interest rates. Looks like the jobs number came in strong enough for the FED to justify a .25% rate hike next week. Interestingly, GDP growth is down from 1.9% in Q4 to an estimated 1.2% rate this quarter. That is not a good sign. You don't want to be raising rates when GDP is slowing dramatically because higher rates slow down the economy. See the article posted on my website at http://lindapjones.com, podcast 238. Please subscribe and leave me a review on iTunes or Stitcher Radio. Move your net worth in the right direction by getting “11 Quick Financial Tips to Boost Your Wealth” at www.lindapjones.com.  

Learn what interest rates rising means to the economy and to you personally, why rate "normalization" still means rising interest rates, and what you can expect from the FED going forward. Link to the MarketWatch article is in the show notes on my website at www.lindapjones.com. Please subscribe and leave me a review on iTunes or Stitcher Radio. Move your net worth in the right direction by getting “11 Quick Financial Tips to Boost Your Wealth” at www.lindapjones.com.  

Learn why profits matter. Snapchat, the social media turned camera company went public last week. It was the biggest IPO Wall Street has seen since 2009. With little revenue (and much of it mysteriously appearing right before the IPO, like $1 billion from Google), it is nowhere near worth a $24 billion valuation! Years ago Facebook tried to buy it for $3 billion which was very generous. SNAP's $30B market cap, 74X sales and $15million per employee. Could be the sign of the peak of the stock market bubble here. SNAP lost $514 million last year and says “it may never be profitable” according to Business Insider. You have to detach yourself from looking at a stock price and look at this as a business you’re investing your hard earned money into. There are many established, profitable businesses with market valuations less than SNAP. I'll post a chart on my website in the show notes. According to IBD, “Snap is set to be the first IPO of a high-profile unicorn since the term, which describes privately held compani

Learn how to know when to sell a stock or investment. It’s listener question Friday! I had a question from a listener about their investment portfolio: Linda, It is my very first stock "try's" . A very dear friend of mine started this portfolio for me and she has tried to teach me a little about stocks along the way. I want to learn more. I just am looking for a little direction. I have about $100,000 to invest. This is outside the my emergency savings of about $75,000. _______ She sent me a list of her stocks and I could see a great many of them were not quality names nor were they profitable. It concerns me to hear that a friend is making your investing decisions. You want to be in control of your investments and know what you own and why. Why do you want to own certain companies? Are you familiar with the company or do you think the sector they are in is going to be fast growing and profitable? Remember you are buying businesses. I couldn’t tell the investment strategy from what I saw, so I’m a bit perplex

Learn the ins and outs of Social Security, how to decide when to take SS and how it will impact you. 1. What are people who are retiring saying about Social Security? 2. The advantages/disadvantages of starting early vs. waiting to take Social Security. 3. How to decide whether to take SS early or wait until later? How many people start right away and how many wait? 4. What trends are changing in regard to retirement income? 5. Will SS continue in the future? 6. What can people do who want to retire early?

Learn where most millionaires live and don’t live and 2 reasons why it may change in the future. This article was on CNBC. It listed where millionaires live and don’t live. It was thought provoking for a few reasons. First let me read you the list of 5 cities most millionaires live in. 1. Maryland – 7.55 percent 2. Connecticut – 7.4 percent 3. New Jersey – 7.39 percent 4. Hawaii – 7.35 percent 5. Alaska – 7.15 percent This is not surprising for a couple reasons. I learned a long time ago that people can make a lot of money by being where large amounts of money flow. Since Maryland and WA DC are where large amounts of government money flow, it makes sense these are in the top 10 per capita. (I’m not suggesting anything illegal is occurring). It reminds me of the Tom Wolfe novel Bonfire of the Vanities when Sherman, the protagonist and “Master of the Universe”, his wife describes to their daughter, Campbell, what her bond trader husband does: “Just imagine that a bond is a slice of cake, and you didn’t bake the

Learn how to prioritize paying bills, debt and expenses. Listener question today. Dana asks: Linda, there are several things we want to do this year and are wondering about the best use of our funds to do so.  1. Consolidate some miscellaneous credit debt or pay it off in full ($8k range) 2. Home updates/renovations - small scale projects like painting, lighting, window treatments ($5k total range) 3. Upcoming medical expenses for birth of child ($3000 based on max out of pocket per policy)  4. Upcoming 1st installment property tax bill ($4500) We have the following sources to draw from to do all of the above: 1. Cash - enough to pay all of the above and still have 12+ months worth of total monthly expenses in cash savings  2. Credit - several rewards/points cards, average interest rate 11-15%  3. Home equity - access to $32k from our existing Home Equity line of credit at 4.25% interest/only 4. Sell some securities from a brokerage account - $58k in non-retirement investment accounts that we sell some shares

Learn the truth about money and wealth building. I’m going to push back on experts who write about how to build wealth! The articles usually go something like this: Budget yourself silly. Don’t spend any money. Don’t live beyond your means. Pay off all debt. Contribute to your 401k. Have a great life! Lol! Some of these have merit, but some don’t. I’ll go through each point in a minute. I’m going to give you a step-by-step plan. There are two different financial scenarios - one scenario for people that have massive credit card debt and one for those who don’t. Credit card debt and student loans are a real problem that need to be taken care of first. High interest rates compound and grow quickly so the debt will grow fast unless you vigorously attack it. Make them Priority #1! Student loans may be at low interest rate, but it is not excusable in court even in bankruptcy. It’s a permanent weight around your neck that has to go! Let’s revisit the points I mentioned earlier. 1. Budget yourself silly. 2. Don’t s

Learn the world’s most affordable housing markets (8 out of 10 are in the US). Source: 13th Annual Demographia International Housing Affordability Survey Looked at “affordability in 92 major housing markets in nine countries found 11 affordable areas - all in the US.” “The survey used Q3 2016 data to gauge the ’median multiple’, the ratio of median home price to median pretax income.” Ratio of median home price to median pretax income, with 3.0 or below being “affordable.” For example, if median pretax income is $100,000, you can afford a $300,000 home pretty easily so it’s deemed “affordable”. According to CNN, the world’s most affordable housing markets are: 1. Racine, Wisconsin, US 2. Bay City, Michigan, US 3. Decatur, Illinois, US 4. Elmira, New York , US 5. East Stroudsburg, Pennsylvania, US 6. Karratha, Australia 7. Lima, Ohio, US 8. Moncton, Canada 9. Peoria, Illinois, US 10. Rockford, Illinois, US (Source: 13th Annual Demographia International Housing Affordability Survey) It’s interesting to note t

Learn the least affordable housing markets in the world. Investor’s Business Daily report, week of 2/6/17. “The survey used Q3 2016 data to gauge the ’median multiple’, the ratio of median home price to median pretax income.” Source: 13th Annual Demographia International Housing Affordability Survey Ratio of median home price to median pretax income, with 3.0 or below being “affordable.” Ratio of median home price to median pretax income, with 3.0 or below being “affordable.” For example, if median pretax income is $100,000, you can afford a $300,000 home pretty easily so it’s deemed “affordable”. The 13th Annual Demographia International Housing Affordability Survey covers 406 metropolitan housing markets (metropolitan areas) in nine countries (Australia, Canada, China, Ireland, Japan, New Zealand, Singapore, the United Kingdom and the United States) for the third quarter of 2016. A total of 92 major metropolitan markets (housing markets) --- with more than 1,000,000 population --- are included, including fi

Learn the most affordable housing markets in the U.S. Graph printed in Investor’s Business Daily report, week of 2/6/17. Source: 13th Annual Demographia International Housing Affordability Survey Looked at “affordability in 92 major housing markets in nine countries found 11 affordable areas - all in the US.” “The survey used Q3 2016 data to gauge the ’median multiple’, the ratio of median home price to median pretax income.” Ratio of median home price to median pretax income, with 3.0 or below being “affordable.” For example, if median pretax income is $100,000, you can afford a $300,000 home pretty easily so it’s deemed “affordable”. The 13th Annual Demographia International Housing Affordability Survey covers 406 metropolitan housing markets (metropolitan areas) in nine countries (Australia, Canada, China, Ireland, Japan, New Zealand, Singapore, the United Kingdom and the United States) for the third quarter of 2016. A total of 92 major metropolitan markets (housing markets) --- with more than 1,000,000 po

Learn how to run your family finances like a Chief Financial Officer (CFO). Interview with author of Family Inc., Doug McCormick.

Learn how much the Dow Jones Industrial Average has changed and why it is a poor indicator to gauge stock performance. I decided to research changes in the DJIA. How many companies from the last 20 years are the same and how many have changed? I researched the companies in the DJIA from 1997 - 2017. In the last 18 years, the Dow doubled from 10,000 to 20,000. That's an average of a 4% return. How many companies in the Dow are the same today? Are we comparing apples to apples? For example, if I go to the grocery store and pick out 30 different cans of food - olives, soup, green beans, peaches, etc. and add up the prices for each can, then twenty years later I change 10 cans and compare the prices to the original group of 30 cans from 20 years ago to today's group of 30 cans, what is that telling me? All we know is 66% of the cans are the same. That’s what the Dow Jones Industrial Average is like. Only 66% are the same companies from 20 years ago. The DJIA lost these 10 companies: Sears AT & T Eastman Kodak

Learn about ETFs and mutual funds Listener question - Are ETFs or mutual funds better? What they are: ETF’s: Fixed basket Trades like a stock, continuously priced throughout the day Transparency Low fees Broad index or sector Long or short Mutual funds: Funds pooled together Professionally managed Priced at the end of the day Decisions made for you Only know what stocks are in it quarterly Don’t need a brokerage account, can go direct to the fund Higher fees Can cause unwanted capital gains Manager is paid to beat the indexes, but they don’t always accomplish it. Can invest regular deductions from your bank account ie. $25/mo. Question is which one will provide better performance? Use ETF’s for indexes. Use mutual funds for good manager’s track record. Asset allocation model - core + satellite, creating a combination portfolio To get “11 Quick Financial Tips to Boost Your Wealth”, go to www.lindapjones.com.

Learn the 3 secrets about financial education that most financial experts don’t tell you. This show is all about financial education! Specifically, how to make it understandable and interesting, even if you’re usually bored by financial topics! 1. Financial management is very doable on your own. It takes a bit of learning a few concepts and terminology, but it can be done. The truth is, most advisors put you into an asset allocation model and look at it quarterly. They are not watching your account like you might think. Why not learn how to do your own asset allocation and save 1 - 3% annually? 2. Financial advisors think their best service is to hold your hand when you are scared by market volatility. Perhaps if you understand what to expect, you can do that for yourself. Rather than hoping deep dips and wild swings won’t happen, you have to accept them as part of investing and learn what to do because the stock market drops about 10% every 11 months on average. The Dow Jones Industrial Average has dropped 2

Learn if the economy can get to 5% GDP growth quickly or not. Weakest GDP since 2011 - went from 3.5% to 1.9% in one quarter! Lower earnings reported by Chevon, other energy companies, Google, Colgate-Palmolive and Starbucks. Even with some disappointing corporate results, fourth-quarter earnings are expected to show growth of 6.8 percent, which would mark the biggest increase in two years and second straight quarter of growth, according to Thomson Reuters data. Dow hit 20,000 for the first time. Took 18 years to double - that’s a 4% average annual return. Is most of the good news already baked into 2017? Consumer spending is up .5% in December, largest jump in 3 months, which is 2/3 of the economy. Good news there. Pending home sales up 1.9%, 17 year shortage of housing. Trump growth of 5% is going to take a while and won’t happen right away. Cycles are showing massive swings up and down in the market this year. FED may raise rates 3 times - inflation is flaring up. IMO, we have the EU break up to look forwa

Learn key economic signs to follow. For the election, GDP grew over 3%. FED raised interest rates, now GDP is 1.9%, markedly lower. Where do we go from here? FED wants to raise rates 3 times next year. Housing prices are in a bubble - inventory is at a 17 year low! Housing moves in an 18 year cycle. Trump has policies to grow the economy, jobs, cut regulations and cut excess spending. Will have massive stimulus from infrastructure spending and the wall. Taxes being massively cut. The spending + reduced taxes will help GDP but growth must happen, so we need job creation badly. The FED controls interest rates. If they continue to increase rates, that’s a strong headwind against the economy. There’s a battle happening here! We’ll watch and see what happens.

  Learn if it's smart to contribute to a 401k if you're not getting a match. Should we contribute to our 401k, even though there is no match? Benefits of a 401k are that: 1. Your income is not taxed when deposited into a 401k 2. Your money grows without tax 3. Some people think it’s a forced discipline to save, that otherwise the money wouldn’t be saved, but…there are: 1. Limited investment options, usually large cap, mid cap, small cap, international and bonds, usually mutual funds with higher fees. 2. Don’t have wider options such as stocks, low cost ETF’s, sector funds. Leaves out gold/silver, technology sector, agriculture & commodities, country funds, etc. 3. There’s a whole universe of investment options and you’re restricted to a limited menu. 10% penalty if not 59-1/2 or if you don’t withdraw money under allowed hardship withdrawal rules or penalty free rules. In summary, if you are a disciplined person you can save or set up an automatic deduction plan to deduct your investment money into your in

Learn what the challenges are for the stock market going forward. It’s a new record; the Dow made history! DJIA is only 30 companies, but been around over 100 years. S & P 65% of all stocks 1966 was the first time above 1,000 11/21/95 above 5,000 3/29/99 above 10,000 5/3/13 above 15,000 1/25/17 above 20,000 Hmmm, is that at 4 year cycle for every 5,000 points? Will Dow 25,000 happen in 2021? Still the 2nd longest bull market in history. Since 2009. Expecting a major top this year. Major cycle change in the Fall. Cycles repeat and guide expectations in the stock markets. Although the Dow hit 20,000 and we have a new President, whether or not you voted for him, there are certain things he will be forced to deal with on his watch. I watched the hearings of the Treasury Secretary, Mnuchin. The questions and statements by Congress were very telling. Here are some of the things they discussed: *Underfunded pensions as a widespread problem that possibly needs a bailout *The $20 trillion deficit and whether to d