Q&A with David Edwards: Should I sell my stock to pay off my mortgage?

Question: I am less than three years away from retirement and have 80% of my stock portfolio in a particular stock which has grown about 30% in the last two years. My mortgage is at 4.4% and my 401(k) is about 1/3 of my total assets (the other 2/3 being stock). I am single with a salary between $100,000 and $150,000. I was thinking of paying off my mortgage by selling about a quarter of that particular stock which would include the capital gains and fees. Is it wise to sell stock at this time to payoff the mortgage?

Q&A with David Edwards: Should I Wait Until I am 70 Years Old to Retire?

Question: I have just heard that people should forget about retiring until they are 70 years old. Does this only apply to a certain target audience? I am thinking about retiring when I am 60 years old (9 years from now). I have about $2,300,000 in investments split equally between a 401(K) and other investments. My wife and I have always lived well under our means.

What a long, strange year it's been!

US stocks celebrated the 30th anniversary of the 1987 stock market crash by making yet another all time high. US stocks as represented by the S&P 500 are up 16.9% YTD, double our forecast at the start of the year. The S&P 500 made 51 new records so far this year - 25% of trading days.

Answers to your questions about credit freeze and credit monitoring

Our bulletin over the weekend recommending that you freeze your credit reports after the Equifax breach prompted quite a response from media and clients. Daisy Maxey at the Wall Street Journal interviewed us about the ways in which consumers can deal with the fallout from the Equifax data hack.

Good to KnowDavid EdwardsSeptember 13, 2017Equifax data breach, credit freeze equifax, credit monitoring, David EdwardsComment

Heron Wealth recommends that you freeze your credit reports

The Equifax Credit Bureau announced last week that cyber criminals obtained personal details (name, social security, address, birthdates and credit card information) of approximately 143 million US consumers during the period of mid May through July 2017. This is neither the first nor last such hack we will see in our modern ultra-connected age.

Good to KnowDavid EdwardsSeptember 11, 2017Cyber Security, Data Breach, Equifax, Experian, TransUnion, David EdwardsComment

Mid Year Review - Slow but Steady?

In our December 2016 year end review we wrote, "No forecast now, no forecast until April. We can't recall another time in the last 30 years that we were so uncertain about what to expect from the US government, and how that would affect the key drivers of stock market returns - revenues, earnings and interest rates.

Implications of the Trump Presidency for US Stocks

After 107 days of the Trump Presidency, we believe that this administration is determined to be the wildest reality TV show of all time. People say, "War is God's way of teaching us geography." Perhaps Donald Trump is God's way of teaching us about the Federal Government?

The 2016 Year in Review

In January 2016, we projected that the S&P 500 would gain 5% for the year, but we noted we would revisit that estimate in July. In July, noting that an earnings recession among US corporations was coming to an end, we elevated our forecast to 10%. For the full year, the S&P 500 rose 12.0%, so close enough. Full details of US and world Indexes are here.

Investing and MarketsDavid EdwardsJanuary 2, 2017Heron WealthInvesting, S&P 500, Strategy Review, David EdwardsComment

Presidential Election Recap, and What Comes Next

In April 2014, we wrote:With 0.0% of precincts reporting, CNN declares Hillary Clinton CNN the next president of the United States. Really? We haven't even gotten through the 2014 mid-term elections yet, yet campaigns (and the media circus that lives for campaigns) are already gearing up for 2016.

Investing and MarketsDavid EdwardsDecember 5, 2016Heron WealthPresidential Election, Trump, Clinton, David EdwardsComment

Hey "Millennial," Give Yourself a Break, You Were Dealt a Tricky Hand

The media does not generally portray millennials in a positive light. This holds true for perceptions of the savings habits of millennials. Millennials are still seen as the generation living in mom's basement. Whether they are doing so because they are, in fact, diligently saving, or because they are "failure to launch” kids is not usually specified.

Confounding All Expectations, Donald J. Trump Elected US President

FiveThirtyEight.com was the most conservative, forecasting an electoral split of 272-268 in favor of Clinton with a 66% probability of success. The mood among Republican operatives, even the candidate himself, was despondent. No candidate in modern electoral history who polled so badly post Labor Day had ever won.

4 Trading Days Till US Presidential Election: We Are NOT Invoking Our Doomsday Plan

At this point, everything that can possibly be said about this election has been said. Whether you dislike Trump more than Clinton, or dislike Clinton more than Trump, the horrible, miserable conclusion is just days away.

US Markets Paralyzed, Await Outcome of US Presidential Election

We last wrote a market commentary July 11th. Since then, we've had nothing to say as investors focus on the last stage of the US presidential election, excluding any other data points including the US employment situation, US corporate earnings, and US Fed Policy.

Investing and MarketsDavid EdwardsOctober 11, 2016Heron WealthTrump, Presidential Election, Clinton, David EdwardsComment

Why It's Important To Start Saving For Retirement Early

Forget about everything the media is saying about Millennials. The group born between the late 1970s and 1990s is anything but lazy - yes, I am referring to the young people who in many cases are still living at home with mom and dad.

Recapping the August Correction

Between May 21st and August 25th, US stocks as defined by the S&P 500 slid by 12.4%, leaving the index down 5.4% on the year and down 2.3% over the last year. A correction is defined as a slide of 10% or more, while a bear market is a decline of 20% or more.

Investing and MarketsDavid EdwardsSeptember 7, 2016Heron WealthAugust Correction, S&P 500, David EdwardsComment

Answers & Observations