Tag: Finance

Why Are Stocks Weak Again? | Entrepreneur

The fun of the 2023 bull rally is over. Now we are in a more volatile period where what happens next for the S&P 500 (SPY) is not so clear. That is why 43 year investment veteran Steve Reitmeister shares his latest market outlook, trading plan and top picks in this fresh commentary below.

My expectation of a trading range forming is playing out right on schedule. That being where resistance was found at 4,600 for the S&P 500 (SPY) which was simply too high after an overextended bull run.

On the other hand, there was no need for stocks to sell off more than 5%. Thus, support was found just above the 100 day moving average currently at 4,344.

Moving Averages: 50 Day (yellow), 100 Day (orange), 200 Day (red)

In a trading range scenario, the market is overly susceptible to each new headline. One day that blows bearish…and the very next day gloriously bullish.

In short, almost every move inside a trading range is meaningless noise. And thus should mostly be ignored.

That is because the VAST MAJORITY of the time, the market breaks out of the range in the same direction it was going before the range formed. In the current case that means we should break higher out of this range unless there is truly a threat to the bullish thesis.

That would require that the preponderance of the evidence starts to show that the odds of a recession have greatly increased. That is currently not true.

What is true is that we find that the recent economic data is a bit better than expected. Normally that is awesome news that has stocks spiking higher.

Unfortunately, that is not so awesome when the Fed is worried about lingering high inflation not fading away quickly enough. Simply stated…

The more robust the economy looks > the stickier high inflation becomes > the more likely the Fed raises rates even higher > the more they risk creating a recession instead of soft landing

Indeed, the recently improved economic picture has also increased the odds of a Fed rate hike at the November or December meetings. Just a month ago only 28% odds were placed another 25 basis point from the Fed. As for today that is now up to 46%. This again explains the stock market weakness this week.

Let me be clear…The improved data for ISM Services and Jobless Claims this week, that sparked the most recent sell off, does increase the odds of more rate hikes. But as Goldman Sachs predicts, the odds of a new recession forming in the next 12 months is still only around 25%. That means we are much more likely to have a soft landing which keeps the long term bullish thesis in place.

At this stage investors are likely going to react strongly to other upcoming economic events coming into the 9/20 Fed Rate decision. The roll call of reports includes:

9/13 Consumer Price Index

9/14 Producer Price Index, Retail Sales & Jobless Claims

9/20 Fed Rate

Note that right now most investors are expecting the Fed to hit the pause button on rates at this September 20^th meeting. The key for investors is focusing on what Powell says at his press conference. That will provide their intentions for future meetings. Again, the odds for a rate increase in November or December is getting ever closer to 50%.

Trading Plan and Next Steps

Nobody knows when this trading range will end. But likely it will be before the holidays when the seasonal good tidings help to create a Santa Claus rally.

Thus, it is important look past the day to day fluctuations to appreciate that the long term picture is still bullish. This makes it wise to use meaningful dips in the range to buy the best looking stocks.

Which stocks are those?

More on that in the next section…

What To Do Next?

Discover my current portfolio of 7 stocks packed to the brim with the outperforming benefits found in our POWR Ratings model.

Plus, I have added 4 ETFs that are all in sectors well positioned to outpace the market in the weeks and months ahead.

This is all based on my 43 years of investing experience seeing bull markets…bear markets…and everything between.

If you are curious to learn more, and want to see these 11 hand selected trades, then please click the link below to get started now.

Steve Reitmeister’s Trading Plan & Top Picks >

Wishing you a world of investment success!

Steve Reitmeister…but everyone calls me Reity (pronounced “Righty”)
CEO, StockNews.com and Editor, Reitmeister Total Return

SPY shares were trading at $444.98 per share on Friday afternoon, up $0.13 (+0.03%). Year-to-date, SPY has gained 17.23%, versus a % rise in the benchmark S&P 500 index during the same period.

About the Author: Steve Reitmeister

Steve is better known to the StockNews audience as “Reity”. Not only is he the CEO of the firm, but he also shares his 40 years of investment experience in the Reitmeister Total Return portfolio. Learn more about Reity’s background, along with links to his most recent articles and stock picks.

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September 9, 2023
Is This The Future of Passive Investing? JP Morgans Crazy Predictions | Entrepreneur
In recent years, the investing world has witnessed a significant shift towards passive and index investing strategies, with more investors opting for low-cost, broad market exposure over active management. The S&P 500 Index, for instance, has delivered an impressive 11% annual return over the past five years.

However, recent data from JP Morgan suggests that the next five years could paint a very different picture, with annualized returns potentially falling to around 5%. This article analyzes the factors behind this challenging outlook and explores alternative investment opportunities for investors seeking to navigate this low-return environment.

Related: 15 Hacks That’ll Save You Money Over Amazon

Understanding Valuations and Market Returns

The JP Morgan data mentioned in the Instagram reel’s transcription highlights an important relationship between market valuations and future returns. The graph compares two factors: the valuation of stocks on the x-axis, measured by whether they are cheap or expensive, and the S&P 500’s annualized returns for the next five years on the y-axis.

As illustrated in the graph, there is a clear inverse relationship between valuations and future returns. As stocks become more expensive, the subsequent five-year annualized returns tend to decrease. Currently, the valuation of the S&P 500 sits at the higher end of the scale (represented by the red dot), indicating that historical patterns suggest a more muted outlook for the index’s future performance.

The Implications for Passive and Index Investors

This data has significant implications for passive and index investors who rely on broad market exposure to generate returns. While the S&P 500 has been a reliable source of market-beating returns in recent years, the prospects of a lower-return environment call for renewed scrutiny of investment strategies and risk management.

It is crucial to note that this data does not suggest that investors should completely abandon passive and index investing. Instead, it highlights the importance of diversifying investment portfolios and seeking alternative sources of returns to complement traditional stock market exposure.

Alternative Investment Opportunities

For investors seeking to adapt their strategies to this changing landscape, several alternative investment opportunities could offer attractive return prospects with manageable risk. Some of these investment options include:
1. Bond ETFs: The world of fixed income offers several opportunities for yield-seeking investors, with bond ETFs providing relatively high income and attractive risk-adjusted returns. Some bond ETFs currently pay over 8% yields, historically representing 60% less risk than the S&P 500.
2. Farmland: Investing in agricultural land can serve as a hedge against inflation and provide a relatively stable income stream from lease payments or crop sales. Some farmland investments also offer potential capital appreciation through land productivity improvements and increasing global food demand.
3. Infrastructure: Infrastructure investments—such as toll roads, ports, and renewable energy projects—can provide investors with long-term, stable cash flows that are less vulnerable to economic cycles. These investments may also benefit from government initiatives supporting infrastructure development.
4. Private Real Estate: Private real estate investments in properties such as multi-family units, office buildings, or retail centers can offer attractive returns through rental income and potential capital appreciation. This sector allows investors to diversify away from mainstream stock markets while gaining exposure to the overall economy.
5. Emerging Markets: As developed market valuations come under pressure, emerging markets could offer compelling return prospects for investors willing to take on additional risk. Some emerging economies exhibit strong growth potential, favorable demographics, and undervalued asset prices, which can fuel long-term portfolio growth.
Conclusion

The data suggesting reduced annualized returns for the S&P 500 over the next five years underscores the importance of diversification and portfolio adjustment for investors engaged in passive and index strategies. While embracing these alternative investments may require additional research and due diligence, the potential payoffs in the form of higher returns and risk mitigation can make them valuable components of a well-rounded investment approach. As the investing world evolves, proactive and adaptive investors will be best positioned to capitalize on strategic opportunities and safeguard their financial future.

Related: Top Financial Tools of 2023

FAQs (Frequently Asked Questions)

1. What is passive and index investing?

Passive and index investing strategies involve investing in funds or portfolios that aim to replicate the performance of a specific market index, such as the S&P 500, rather than actively selecting individual stocks. These strategies typically offer low-cost, broad market exposure.

2. Why has there been a shift towards passive and index investing?

The shift towards passive and index investing is driven by several factors, including lower fees, historical evidence of market outperformance, and the belief that it is challenging for active managers to beat the market over the long term consistently.

3. What does the data from JP Morgan suggest about future market returns?

According to JP Morgan data, future annualized returns for the S&P 500 are expected to decrease, potentially falling to around 5% over the next five years. This projection is based on the historical relationship between market valuations and future returns.

4. How are market valuations related to future returns?

There is an inverse relationship between market valuations and future returns. When stocks are expensive (high valuations), future returns tend to be lower, and vice versa. This relationship is essential for investors to consider when making investment decisions.

5. Should investors completely abandon passive and index investing in light of this data?

No, the data does not suggest the complete abandonment of passive and index investing. Instead, it emphasizes the need for diversification. While passive strategies can remain a core part of an investment portfolio, it’s wise to explore alternative sources of returns to reduce risk and enhance overall performance.

6. What are some alternative investment opportunities mentioned in the article?

The article suggests several alternative investments, including:
- Bond ETFs offer relatively high income and attractive risk-adjusted returns compared to stocks.
- Farmland: Investing in agricultural land can provide stability and potential capital appreciation.
- Infrastructure: Investments in toll roads, ports, and renewable energy projects can offer stable cash flows.
- Private Real Estate can yield returns through rental income and potential capital appreciation.
- Emerging Markets: These markets may offer compelling return prospects for investors willing to take on additional risk.
7. How can investors adapt to a changing investment landscape?

Investors should consider diversifying their portfolios by incorporating alternative investments alongside traditional passive and index strategies. Conducting thorough research and due diligence on these alternatives is essential to mitigate risk and potentially achieve higher returns.

8. Why is diversification important in the context of a low-return environment?

Diversification helps spread risk across different asset classes, reducing the impact of poor performance in any one area. It can enhance the potential for overall portfolio growth and income generation in a low-return environment.

9. How can investors stay proactive and adaptive in their investment approach?

Staying proactive involves regularly reviewing and adjusting your investment portfolio to align with changing market conditions. This might mean rebalancing assets, exploring new investment opportunities, and staying informed about evolving market trends.

10. What’s the key takeaway from the article?

The key takeaway is that, as the investment landscape evolves, investors should be open to diversification and exploring alternative investment opportunities to successfully navigate a potentially low-return environment. Staying proactive and adaptive in your approach can help safeguard your financial future.

Featured Image Credit: Photo by Andrew Neel; Pexels; Thank you!

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Taylor Sohns MBA, CIMA®, CFP®

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September 8, 2023
Uber Technologies (UBER) vs. Zoom Video Communications (ZM) vs. Lyft (LYFT): Which Stock Is the Better Tech Buy? | Entrepreneur

Amid rapidly increasing digital transformation across industries and the adoption of new cutting-edge technologies, the technology sector is expected to experience robust growth and expansion. So, let’s determine if Uber Technologies (UBER), Zoom Video Communications (ZM), and Lyft (LYFT) could be ideal tech stock picks. Keep reading….

Despite the cyclical ups and downs, the technology industry is well-positioned for continued resilience and solid growth in the long term, driven by sustained demand for innovative tech services amid rapid digitalization worldwide and new technological breakthroughs.

Given the industry’s strong footing, investing in fundamentally sound tech stocks Uber Technologies, Inc. (UBER) and Zoom Video Communications, Inc. (ZM) could be wise now. However, investors could hold Lyft, Inc. (LYFT) and wait for a better entry point in this stock.

Before diving deeper into their fundamentals, let’s discuss what’s shaping the tech industry’s prospects.

The COVID-19 pandemic has accelerated digital transformation by several months or even years. It has fundamentally changed how we work, connect, learn, and shop. Companies globally increasingly invest in advanced tech products and services to help their customers and workforce.

Enterprises across various industries, including automotive, retail, manufacturing, real estate, and healthcare, are accelerating the integration of digital technology to streamline business processes, reduce manual labor, innovate customer experiences, empower workforces, and achieve operational excellence, propelling the growth of the tech services market.

Amid consistent digital transformation globally, Gartner, Inc. (IT) forecasts global IT spending to grow 4.3% year-over-year to total $4.70 trillion in 2023. Governments are also increasing their digital investments this year in response to economic turmoil. Worldwide government IT spending is expected to increase 7.6% year-over-year to $589.80 billion.

Moreover, tech dependency has increased steadily in recent years, thanks to the rapid adoption of emerging technologies like artificial intelligence (AI), cloud computing, the Internet of Things (IoT), machine learning (ML), blockchain, metaverse, 5G, and extended reality.

According to a report by Mordor Intelligence, the IT services market is projected to grow at a CAGR of 8.4%, reaching $1.67 trillion by 2028. The increased IT spending, combined with the widespread adoption of software-as-a-service (SaaS) and growing cloud-based offerings, indicates the solid demand for IT services, driving the market’s profitability.

Meanwhile, the United States IT services market size is expected to reach $306.10 billion by 2028, growing at a CAGR of 7.1% during the forecast period (2023-2028).

With these favorable trends in mind, let’s take a look at the fundamentals of the three Technology – Services stocks, starting with number 3.

Stock to Hold:

Stock #3: Lyft, Inc. (LYFT)

LYFT operates a peer-to-peer marketplace for on-demand ridesharing in the U.S. and Canada. The company offers Ridesharing Marketplace, which connects drivers with riders; Express Drive, a flexible car rentals program for drivers; and Lyft Rentals, which provides vehicles for long-distance trips.

On August 10, 2023, Lyft Media launched in-app advertising across the Lyft app, providing brands the ability to connect to riders. Brands and agencies can partner with Lyft across a broad range of digital and out-of-home advertising options like in-app ads, in-car tablets, on-car digital screens, and on-street bikeshare stations. This launch should bode well for LYFT.

LYFT’s trailing-12-month gross profit margin of 31.80% and 4.9% is higher than the industry average of 30.31. But the stock’s trailing-12-month EBITDA margin and net income margin of negative 22.14% and negative 30.87% compare to the respective industry averages of 13.62% and 6.16%.

For the second quarter that ended June 30, 2023, LYFT’s revenue increased 3% year-over-year to $1.02 billion. Its adjusted EBITDA came in at $41 million, compared to an adjusted EBITDA loss of $196.30 million in the prior-year quarter. However, the company reported a net loss and net loss per share of $114.26 million and $0.30, respectively.

Analysts expect LYFT’s EPS for the fiscal year (ending December 2023) to decline 35% year-over-year to $0.39. However, the company’s revenue for the ongoing year is expected to increase 6.1% year-over-year to $4.34 billion. In addition, the company has surpassed the consensus revenue and EPS estimates in each of the trailing four quarters.

For the fiscal year 2024, the company’s revenue and EPS are estimated to grow 11.5% and 23.1% from the previous year to $4.84 billion and $0.48, respectively.

Shares of LYFT have gained 9.2% over the past six months to close the last trading session at $10.79. However, the stock has declined 26.6% over the past year.

LYFT’s POWR Ratings reflect its mixed prospects. The stock has an overall C rating, equating to a Neutral in our proprietary rating system. The POWR Ratings are calculated by considering 118 different factors, with each factor weighted to an optimal degree.

LYFT has a B grade for Growth. It has a C grade for Momentum, Value, and Quality. It is ranked #52 out of 76 stocks in the Technology – Services industry.

Click here for the additional POWR Ratings for LYFT (Stability and Sentiment).

Stocks to Buy:

Stock #2: Uber Technologies, Inc. (UBER)

UBER develops and operates proprietary technology applications in the U.S., Canada, Latin America, Europe, the Middle East, Africa, and certain parts of Asia. The company operates through Mobility; Delivery; and Freight segments. It provides a range of transportation modalities like ridesharing, micro-mobility, and public transit; advertising services; and manages logistics networks.

On August 11, UBER announced a new partnership with a grocery chain, Hy-Vee, to provide on-demand and scheduled grocery delivery to customers across the Midwest. More than 260 Hy-Vee grocery and liquor stores are now accessible to shop from through Uber and Uber Eats, enabling customers to order a variety of products for convenient doorstep delivery.

This new partnership might help UBER expand into untapped markets, propelling the company’s growth and profitability.

On July 12, UBER entered a new agreement with Domino’s Pizza Inc. (DPZ), the world’s leading pizza chain, enabling U.S. customers to order Domino’s products through Uber Eats and Postmates apps. The initial rollout will start this fall in four pilot markets, with ordering on the Uber Eats and Postmates apps expected to be enabled nationwide by the end of 2023.

This partnership is expected to extend UBER’s customer reach and boost its revenue stream.

Also, on July 11, UBER and RideCo, a leader in on-demand transit technology, announced a partnership to offer transit agencies overflow (TNC) options. This unique technology integration enables agencies to achieve greater operational efficiency and higher productivity while enhancing rider equity. This collaboration should bode well for the companies.

UBER’s trailing-12-month gross profit of 32.06% is 5.8% higher than the industry average of 30.31%. Likewise, the stock’s trailing-12-month asset turnover ratio of 1.08x is 33% higher than the 0.81x industry average.

For the second quarter that ended June 30, 2023, UBER’s revenue increased 14.4% year-over-year to $9.23 billion. Its income from operations was $326 million, compared to a loss from operations of $713 million in the prior year’s period. The company’s adjusted EBITDA grew 151.7% year-over-year to an all-time high of $916 million.

Additionally, the company’s operating cash flow for the quarter was $1.20 billion, while its free cash flow came in at $1.14 billion, up 198.4% from the prior-year quarter.

Analysts expect UBER’s revenue for the fiscal year (ending December 2024) to increase 17% year-over-year to $43.95 billion. The consensus EPS estimate of $1.07 for the next year indicates an 186.1% rise year-over-year. Moreover, the company topped the consensus revenue estimates in three of the trailing four quarters.

UBER’s stock has gained 35.5% over the past six months and 82.5% year-to-date to close the last trading session at $46.27.

UBER’s POWR Ratings reflect this promising outlook. UBER has an overall rating of B, which translates to a Buy in our proprietary rating system.

UBER has an A grade for Sentiment. It has a B grade for Quality and Growth. It is ranked #24 out of 76 stocks in the Technology – Services industry.

Beyond what we stated above, we also have UBER’s ratings for Stability, Momentum, and Value. Get all UBER ratings here.

Stock #1: Zoom Video Communications, Inc. (ZM)

ZM provides unified communications platforms in the Americas, the Asia Pacific, Europe, the Middle East, and Africa. The company provides Zoom Meetings, which offers HD video, voice, chat, and content sharing through mobile phones, desktops, and laptops; Zoom Phone, an enterprise cloud phone system; and Zoom Rooms, a software-based conference room system.

On September 5, ZM announced that Zoom AI Companion (previously Zoom IQ), the company’s generative AI digital assistant, is now included at no additional cost for customers with the paid services in their Zoom user accounts.

AI Companion reinforces Zoom’s vision to deliver limitless human connection on one platform, empowering people by boosting their productivity, improving their skills, and enhancing team effectiveness. The availability of Zoom AI Companion at no additional cost should drive the company’s customer retention and reach, driving its growth.

On June 27, ZM announced the launch of the award-winning Intelligent Director for Zoom Rooms. For hybrid meetings with a Zoom Room, Intelligent Director uses AI and multiple cameras to offer the best image and angle of participants so remote participants can see each person clearly, even in large conference rooms.

Intelligent Director is specifically designed for medium- to larger-sized rooms and helps avoid the “bowling alley effect.” It can individually frame up to 16 participants in a Zoom Room using multiple cameras, choosing the best video stream via a Zoom-designed AI, and send that stream to the gallery view of the Zoom Meeting. The new launch should bode well for the company.

ZM’s trailing 12-month gross profit margin of 75.62% is 57.9% higher than the 47.89% industry average. Moreover, the stock’s trailing 12-month levered FCF margin of 34.48% is 391% higher than the industry average of 7.02%.

ZM’s total revenues increased 3.6% year-over-year to $1.14 billion for the fiscal 2024 second quarter that ended July 31, 2023. Its non-GAAP income from operations grew 17.3% from the year-ago value to $461.70 million. The company’s cash inflow from operating activities was $336 million, an increase of 30.6% year-over-year.

Furthermore, the company’s non-GAAP net income and non-GAAP net income per share were $409.60 million and $1.34, compared to $323.50 million and $1.05 in the same quarter of fiscal year 2024, respectively.

Analysts expect ZM’s EPS to increase 6.8% year-over-year to $4.67 for the fiscal year ending January 2024. The company’s revenue for the current year is expected to grow 2.3% year-over-year to $4.49 billion. Also, the company has surpassed the consensus EPS estimates in each of the trailing four quarters, which is impressive.

The stock has gained 7.9% over the past month and 10.5% year-to-date to close the last trading session at $73.68.

ZM’s strong fundamentals are reflected in its POWR Ratings. The stock has an overall rating of B, equating to a Buy in our proprietary rating system.

ZM has a B grade for Value, Growth, and Quality. It is ranked #9 in the same industry.

In addition to the POWR Ratings highlighted above, you can see ZM’s ratings for Momentum, Stability, and Sentiment here.

What To Do Next?

Get your hands on this special report with 3 low priced companies with tremendous upside potential even in today’s volatile markets:

3 Stocks to DOUBLE This Year >

UBER shares fell $0.12 (-0.26%) in premarket trading Friday. Year-to-date, UBER has gained 87.10%, versus a 17.20% rise in the benchmark S&P 500 index during the same period.

About the Author: Mangeet Kaur Bouns

Mangeet’s keen interest in the stock market led her to become an investment researcher and financial journalist. Using her fundamental approach to analyzing stocks, Mangeet’s looks to help retail investors understand the underlying factors before making investment decisions.

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The post Uber Technologies (UBER) vs. Zoom Video Communications (ZM) vs. Lyft (LYFT): Which Stock Is the Better Tech Buy? appeared first on StockNews.com

Mangeet Kaur Bouns

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September 8, 2023
Retirement Planning for Late Starters: Making the Most of Your Golden Years | Entrepreneur
As the old saying goes, “better late than never.” But, that’s not always true. In some cases, a missed opportunity is better than one taken precipitously or haphazardly. However, when it comes to retirement planning, starting late is most definitely better than not starting at all.

Your senior years are supposed to be a time of relaxation, comfort, and peace of mind. Planning for your retirement is a vital aspect of securing that fulfilling future for yourself. Most experts recommend young working adults begin planning for retirement and saving during their 20s or 30s. However, many people find themselves in a position where they haven’t taken that kind of action early on.

This happens for a number of reasons, such as unanticipated career struggles, medical crises, family obligations, or a financial downturn that often takes immediate precedence over something that’s far off in the future.

Fortunately, it’s never too late to begin planning for retirement and take control of your financial future. Using some practical strategies and tactics designed to help late starters in particular, you can build a solid retirement plan and enjoy your golden years with confidence.

1. Assess Your Current Financial Situation

Before you can successfully plan for a retirement that’s coming up within the next decade or so, you’ll need to first evaluate your current financial status. This analysis gives you a fuller picture of where you stand currently, so that you can more easily spot the places you can take strong action that might yield bigger dividends.
1. Begin by identifying how much you’ve already saved, if anything. Include traditional savings as well as any employment-related accounts designed to help you fund your retirement years.
2. Next, you’ll want to come up with a rough figure for your projected retirement expenses.
3. With both those numbers in mind—your current savings and your projected expenses—you’ll be able to determine the difference, or the amount you’ll want to strive to save between now and the date of your retirement. Knowing that figure will help you set realistic goals and create an effective strategy.
Your next task in your initial financial assessment is to track your current expenses with an eye towards identifying places where you can potentially trim costs and save more. It’s usually helpful during this process to maintain a log of your monthly expenses to gain insight into your spending habits.

Keep a sharp eye out for the expenditures that you can eliminate or at least trim so that you can save more money and increase what you’ll have available for retirement. Can you lower your utilities bill, for example? Could you swap out brand names for generics at the grocery store and save money there?

Even small changes add up and can make a big difference over time. Make those changes first, so that you’ll have as much time as possible for those savings to accumulate.

2. Set Realistic Retirement Goals

If you don’t know where you’re going, how will you know when you’re there? That bit of wisdom is good advice for road trips and it’s also good for planning for retirement. It’s crucial to set retirement savings goals that are actually achievable in the time you have left when you’re starting the planning process late.

One way to begin is to think about your desired retirement lifestyle. Are you dreaming about frequent trips or do you have big plans to spoil the grandkids? Do you plan to relocate or pursue a new hobby or project? Getting clear on your retirement hopes and dreams helps you determine whether your projected retirement living expenses are reasonable and how long you might need to work to meet those goals.

Once you have that vision well in hand, and a better idea of how your dreamed-for retirement will impact your savings plans, break that total down into realistic goals that you can reasonably meet in the time allotted. For example, you might choose to save a specific amount each year or decide you’d be better off paying down outstanding debts first.

By setting manageable milestones, you can more accurately track and measure your progress while maintaining your motivation. Remember, every step forward gets you closer to your goals, no matter how small that step might be.

3. Maximize Retirement Contributions

Maximizing your retirement contributions becomes even more critical when you’re a late starter. IRS rules allow you to make catch-up contributions annually if you’re 50 years old or above; for 2023, you can make up to $7,500 in additional catch-up contributions. If you are financially able to devote those additional funds to your retirement account, they can significantly boost your savings to make up for lost time.

This is where your work in the first step—identifying places where you can trim expenses—comes into play. Reallocate the funds you saved towards maxing out your retirement contributions. Also consider seeking additional income through gig or freelance work or other ways of growing your income. A diligent budgeting strategy combined with a commitment to prioritizing retirement savings will accelerate your progress towards meeting your goal.

4. Research Investment Options

People who are starting the financial planning process for retirement a bit late should focus their attention and energy on those investment strategies that align with both their goals and their tolerance for financial risk. Look for options that most closely match both your need and your tolerance level. Mutual funds, index funds, and target-date retirement funds are all rather popular choices that offer both diversification and simplicity.

Diversification can help add a layer of protection to your investments, especially if you choose a mix of assets and investment vehicles with an eye towards spreading the risk to your investment funds and maximizing your potential returns. Just keep in mind that as a general rule, investments with higher potential returns also carry higher risk profiles. Explore in particular those longer-term investments that can help your funds grow steadily over time.

Don’t hesitate to consult with a qualified financial advisor who can explain and help you explore investment options that are tailored to your specific needs and preferences.

5. Consider Delayed Retirement or Phased Retirement

While the goal is always to meet your planned retirement date and fund your preferred lifestyle after you quit working, you might also want to consider an alternative: Delaying your retirement can offer a few benefits, especially if you were late getting started with savings and planning. You’ll get additional time to save more money, while simultaneously allowing your investments more time to grow. If you’re physically and mentally up for it, consider adding a few years to your working life in order to gain a greater degree of security and comfort during your retirement.

Another option is phased retirement, wherein you gradually transition from full-time work to retirement. This plan will let you decrease your work hours, while still earning an income and beginning to enjoy some of the benefits of retirement. Talk to your employer’s HR department or your manager about the possibility of electing a phased retirement plan. Work to negotiate a slow-down work schedule that suits your needs as well as your employer’s.

6. Explore Alternative Income Sources

Late-starting retirement planners may also want to think about exploring alternative income sources to increase their savings. Consider part-time work, freelancing, or even starting a small business based on your skills, experience, and passions. These income streams can help augment your savings and provide some much-deserved financial stability during your senior years.

The gig economy offers unprecedented opportunity for smart, savvy, and experienced workers to leverage their existing skills. Utilize freelancing platforms, job platforms, and even online marketplaces to make the most of your assets and skills while simultaneously boosting your savings.

7. Manage Your Healthcare and Insurance Needs

Retirement planning doesn’t just mean dollars in a savings vehicle or two. You’ll also need to think about how to meet your healthcare and insurance needs, so planning for these aspects of retirement are critical aspects of a well-rounded preparation process. Now’s a good time to get familiar with Medicare and understand the coverage options that will be available to you. You’ll also want to look at long-term care insurance to see whether it’s something you should consider.

Retirement healthcare expenses can soar, even with Medicare and supplemental policies, so it’s essential to budget and prepare for those additional expenses. Healthcare costs can be significant as we age, so make sure you’ve adequately accounted for these expenses in your planning. To help offset those expenses, consider health savings accounts (HSAs). Finally, work with your medical care provider to create a plan to keep you as healthy as possible as you age, to help minimize those costs and maximize your enjoyment of your retirement years.

8. Seek Professional Guidance

While you might be a little panicked about the thought of spending money to help you save money for retirement, late starters should seriously consider getting some quality professional advice from certified financial planners and retirement advisors.

Look for experts with experience in helping clients plan and save for retirement later in life. These professionals have both the experience and the knowledge of current laws and regulations to help you find your way to the best possible route forward, maximizing your funds and tailoring their recommendations to you based on your position and current needs. The right professional can also help you assess your current fiscal situation, set reasonable goals, and give you continued guidance as you work towards those goals.

9. Embrace a Positive Mindset and Take Action

While starting the retirement planning process later in life does create some additional challenges, it’s important to try to maintain a positive mindset during that process. Don’t ruminate on the opportunities you missed out on, or the things you should have done 20 years ago. Keep reminding yourself that you’re working towards important goals now, and that you’re doing all you can to ensure a successful close to your working years and a great launch to your retirement.

Focus on the positive steps that you’re taking now—building disciplined spending and savings habits, working to increase your income and decrease your expenses, and building your ideal retirement life. It’s never too late to start.

Putting Your Retirement Together

Retirement planning later in life might present unique hurdles and require additional work, but it’s far from impossible. Keep your goals realistic, assess your current fiscal situation, maximize your contributions, and take the other steps suggested here for the best possible outcome. Don’t be afraid to reassess and try a different approach if your current strategy isn’t producing the results you’d expected. Although, you’ll want to seek professional guidance to make sure you’re on the right track. Keep that positive mindset as you gain control over your retirement plans. And, embrace hope with the knowledge that every day brings you closer to the rich, fulfilling retirement you deserve.

The post Retirement Planning for Late Starters: Making the Most of Your Golden Years appeared first on Due.
John Boitnott

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September 8, 2023
How to Diversify Income Streams for Long-Term Financial Growth | Entrepreneur

Opinions expressed by Entrepreneur contributors are their own.

The financial landscape is fickle. The age-old adage “Don’t put all your eggs in one basket” has taken on renewed significance, driving individuals and businesses alike to explore the strategy of diversifying income streams as a potent means to achieve lasting financial prosperity.

For entrepreneurs, diversifying streams of income is crucial. Doing so enhances financial stability, mitigates risks and unlocks the potential for sustained growth. Relying solely on a single source of revenue exposes entrepreneurs to significant vulnerabilities — market fluctuations, changing consumer preferences and unexpected disruptions can all jeopardize your business’s viability. By diversifying income streams, you can reduce their reliance on any one source, spreading risk and ensuring a steadier cash flow even in uncertain times.

Moreover, this approach fosters adaptability and innovation as you explore new avenues, products or services, potentially tapping into previously untapped markets. With numerous streams of income, entrepreneurs not only fortify their financial foundation but also create a dynamic ecosystem that positions them for resilience and prosperity in the long run.

Jonathan Herrick

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September 6, 2023
Student Loan Payments Resume in October: What to Know | Entrepreneur
Opinions expressed by Entrepreneur contributors are their own.
After a three-year hiatus, repayments on federal student loans begin again this October. If you already have a student loan that’s previously been suspended because of the Covid-19 pandemic, you will be required to resume paying both the principal and interest due.

Thanks to the CARES Act, federal student loans were paused in March 2020 with interest at 0%, and it’s stayed that way since. President Joe Biden tried to initiate a plan to forgive $430 billion of student loan debt, but the Supreme Court blocked that plan in June when it ruled the program an unlawful overreach of executive power in a 6-to-3 decision. After this long hiatus, borrowers will have to once again start paying down their loans plus interest.

As a certified public accountant, there are some common questions you might have about this process that I can help answer. Here’s what you need to know.

Related: Supreme Court Blocks Biden’s Student Loan Forgiveness Plan — Here’s How It May Affect the Economy

What loans are affected?

All federally-backed loans for financing education that have been issued by the U.S. government through the U.S. Department of Education. Loans received from private lenders are subject to separate rules and repayment terms from those borrowers.

What types of federally backed student loans are there?

The most popular federally-backed student loan program are Direct Subsidized Loans, where the U.S. Department of Education pays the interest while a borrower is still in school at least half-time, for the first six months after they left school and during a period of deferment (a postponement of loan payments). There are also Direct Unsubsidized Loans where borrowers are responsible for paying the interest during all periods. Other student loan options are available such as the Parent PLUS, Graduate PLUS and Direct Consolidation programs.

Who services these loans?

There are currently eight federal student loan servicers:

When you receive a federal student loan, it’s automatically assigned to one of these servicers. Servicers are allowed to transfer loan accounts between each other.

When does repayment begin again?

Your first payment will be due in October 2023 and you should be receiving notice from your loan provider about 21 days before your due date. Interest restarted on Sept. 1, 2023.

What if I don’t receive notice?

The first thing you should do is reach out to the previous company servicing your loan to find out its status and whether or not it’s been transferred to another service provider. You can also look up your loan status in the National Student Loan Data System.

Related: How Student Loans Are Crushing Millennial Entrepreneurialism

Is there any grace period remaining?

Yes, if you left school within the last six to nine months, you are still in your automatic grace period.

What payment options do I have?

There are currently seven options for paying back your student loans.
1. Standard Repayment Plan: 10-year term with fixed payments.
2. Graduated Repayment Plan: 10-year term with lower payments earlier, then gradually increasing.
3. Extended Repayment Plan: 25-year term with both fixed or graduated repayment options.
4. Saving on a Valuable Education (SAVE) Plan (formerly known as Pay As You Earn Repayment Plan): Payback is based on 10% of your discretionary income (the money you have left after paying taxes and personal necessities, such as food, shelter, and clothing) but no larger than what you would pay under the Standard Repayment Plan.
5. Income-Based Repayment Plan: 20-25 year terms with payments based on 10-15% of discretionary income with any remaining balance forgiven.
6. Income-Contingent Repayment Plan: The lesser of payments of 20% of your discretionary income or what you’d pay back over 12 years.
7. Income-Sensitive Repayment Plan: 15 years of monthly payments based on annual income.
Can I change my payment plan?

Yes, you can usually change your payment plan at any time at no charge. You should contact your loan service provider to do this.

Which payment plan is best for me?

This depends on various factors including your income, assets and ability to pay back your loans. It’s best to consult with a financial advisor to answer this question.

What are the interest rates on student loans?

Interest rates vary by loan type, but they are currently in the range of 5.5% to 8.05%.

How do I know if my loan has been forgiven?

The Biden Administration has, through executive orders, changed the terms of some of the federally-backed student loans that have resulted in forgiveness for certain debtors. To find out if your loan is eligible for forgiveness, you should contact your loan service provider.

What if I can’t afford to pay my loans?

Your best bet is to talk to your loan service provider to see if there’s a better payment plan to accommodate your financial situation.

Related: Why You Should Care About Student Loan Debt

What if I default on my student loans?

Your federally-backed student loan is like any other long-term debt commitment. If you fail to meet those commitments you’ll find yourself dealing with collection agencies, paying penalties and interest, seeing your credit scores negatively affected and being potentially ineligible for any future student or federal aid, among other consequences.

What if I’m already in default?

The government offers options to get your loans back in good standing. Call 1-800-621-3115 and ask about their Fresh Start program where you can work out a repayment plan and have your loan transferred to the Default Resolution Group which can assist in getting the loan back into “in repayment” status.

Where can I go for additional help?

Start with the Department of Education’s main website for federal student loans. Make sure you have an online account. If you’re unable to log in to find your service provider or get the status of your loan, call 1-800-4-FED-AID (1-800-433-3243) or 1-800-621-3115.
Gene Marks

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September 5, 2023
Mastering Money: How the 80/20 Rule Can Help You Save and Simplify Your Finances | Entrepreneur

Did you know that, back in 2022, the lack of financial literacy cost 15% of Americans at least ten grand? That’s right! While most can find a way to land a dream job that pays well, it’s not everyone’s cup of tea to effectively manage their money. As a matter of fact, many people have no clue that they may be spending more than they should without saving enough for their future!

However, the good thing is that it is never too late to start saving without complicating your finances. All you need is basic knowledge about how to save with regular effective budgeting. That’s why, in this article, we’ll discuss the 80/20 rule to help you simplify your finances while saving for the future!

What is the 80/20 rule?

The rule of 80/20 states that the inputs or causes are accountable for 80% of the outputs or effects. The rule is applicable in various fields, including business, productivity, economics, and finances. Vilfredo Pareto is credited with being the first to notice the 80/20 rule, commonly known as the Pareto principle.

Vilfredo Pareto, a 19th-century economist and sociologist from Italy, discovered that nearly 20% of the pods of peas in his garden produced 80% of the peas. He took the concept into cognizance and went further to notice that 20% of the population owns almost 80% of the entire land in his country! It established the applicability of the principle in macroeconomics.

It made him contemplate that this same scenario could be observed almost in any field that involved numbers. So, he came up with the principle that 20% of the variables are responsible for 80% of the outcome. The principle is now popularly known as the “80/20” rule.

Although the rule applies in various areas, we’ll discuss its applicability in personal finance.

In the context of savings

When it comes to savings, the 80/20 rule says that an individual should put 20% of their monthly income into savings. However, it’s totally up to you to put your money into a savings, brokerage, or retirement account. The rule focuses on putting aside enough money for the event of financial difficulty. As per the rule, you can use the remaining 80% of your earnings for wants and needs.

Experts also say you should have enough savings to cover your living expenses for at least three to six months. Some even suggest that first building up an emergency fund is wiser than moving on to long-term investments.

In the context of investments

The 80/20 rule may be used in your investment/financial portfolio in two ways. The first way suggests investing 20% of the S&P 500 stocks, contributing 80% of the market’s total return.

The second way suggests creating an 80-20 allocation. That is, putting 80% of your entire investment into low-risk index funds to ensure a lower but steadier rate of return. At the same time, you can invest 20% of your investment into growth funds with higher risk but better returns.

How to draft out a budget using the 80/20 rule

The 80/20 rule is great for someone who does not know much about budgeting. Here’s how you can map out your monthly budget per the 80/20 rule and efficiently save money for your future without worrying about leading your usual lifestyle.

Laying out a Budget

It’s important to create a well-designed layout for your budget. There are several ways for this. You can choose to use an Excel sheet or a notebook to list your income and expenses. You can also find built-in budget templates on Google Sheets that simplify the process and make it more convenient.

Add Your Income

Once you have finalized a layout for your budget, you can go ahead to add your income. You can start by making a comprehensive list of all your monthly incomes. It may include your salary, investment returns, and other sources of income.

Next, make a list of all the planned expenses for the month. It may include rent or mortgage, utility bills, groceries, transportation, entertainment, etc.

Once you have a clear overview, set aside 20% of your total income for savings, this percentage ensures you prioritize building an emergency fund and securing your financial future. Assign the remaining 80% of your income for your planned expenses.

Make Your Budget Calendar

A budget calendar is an effective tool for tracking your financial obligations and commitments. Create a calendar format to mark important due dates for bills and EMIs. By noting down these dates, you will be more likely to pay them on time, avoiding late payment penalties and unnecessary stress.

Your budget calendar helps you stay organized, ensuring you know your financial responsibilities throughout the month. However, only one in three Americans prefers to rely on a planned household budget.

Review the Budget

Regularly reviewing your budget is crucial for its accuracy and effectiveness. Take time to evaluate your budget periodically and make adjustments as necessary. For example, consider allocating the extra money toward your savings if you recently paid off a debt.

Additionally, with changes in your income, you may need to increase or decrease your expenses under different categories. This flexibility allows you to customize your budget to meet your evolving financial goals.

The benefits of using this rule in your personal finance

The 80/20 rule is an easy-to-understand rule that lets even beginners create a budget for themselves. Here’s what makes the 80/20 rule comprehensive, easy, and beneficial.

It’s Simple

The best thing about the 80/20 rule is that it is a comprehensive guideline that is easy to follow. It provides a straightforward approach to managing your finances effectively. With this rule, you can simplify financial decision-making by allocating a fixed percentage of your income to savings, allowing you to focus on budgeting the remaining amount.

Designating 80% of your remaining income for expenses is simple and does not require complicated calculations or tracking. You do not need advanced tools or specialized knowledge to implement the 80/20 rule effectively. The rule also allows you to adjust your expenses according to your financial situation, making it adaptable to different income levels.

You Pay Yourself First

The 80/20 savings rule emphasizes the concept of paying yourself first. You prioritize your financial future by allocating 20% of your income to savings. When you pay yourself first, you set aside money for your future self, ensuring financial security and stability.

It is pertinent to mention that according to a 2022 report, you need to earn at least $122000 a year to feel financially healthy, which is still a dream for many! Nonetheless, following the 80/20 rule can help you develop a disciplined saving habit, as you consistently set aside a portion of your monthly income for savings. Therefore, you can still have a financially secure future even if you are not earning as much as $122000 a year.

Helps You Automate Your Savings

One of the significant advantages of the 80/20 rule is that it promotes automated savings. You establish a regular saving routine by allocating a fixed portion of your income to savings.

You can opt for direct deposit or automatic transfers to your savings account, ensuring that the allocated amount is saved without requiring manual intervention. Automating your savings through the 80/20 rule saves you time and effort and eliminates the risk of forgetting to save, leading to a consistent and reliable savings plan.

It Promotes Savings

The primary focus of the 80/20 rule is to encourage savings. By committing to saving 20% of your income, you develop a proactive mindset towards financial security and future goals.

Honoring the 80/20 rule instills financial discipline, allowing you to build a robust savings buffer for emergencies or long-term goals. By consistently following the 80/20 rule, you are more likely to meet your financial objectives, whether saving for a down payment on a house, retirement, or a dream vacation.

The 80/20 rule can further be bifurcated into the 50/30/20 rule.

The 80/20 rule says you should save 20% of your monthly income while using 80% for your expenses. Interestingly, the rule can further be bifurcated into the 50/30/20 rule. Here’s what the 50/30/20 rule implies.

Set aside 50% of your money for your needs

The 50/30/20 rule says that one must allocate 50% of his earnings towards the things that are essential expenses like rent, food, rent, mortgage, insurance, debt, and car payments. These expenses are necessary to carry on with your lifestyle and living.

Assign 30% of your income to your wants

According to the 50/30/20 rule, you can spend 30% of your income on your desired wants. These are the expenses that are non-essential and can be avoided. For example, the expenses for traveling, dining out, purchasing a subscription, etc., all fall into this category.

Save 20% of your income

Just like the 80/20 rule, the 50/30/20 rule also suggests depositing 20% of your income into your savings account to withstand any emergency.

However, people tend to prefer the 80/20 rule as most find it difficult to differentiate a need from a want. Moreover, if you are new to budgeting, the 80/20 rule will help you learn savings without complicating things. But if you want to effectively manage your savings, expenses, and debts, the 50/30/20 rule can be more beneficial.

Conclusion

Saving money for your future while effectively managing your finances can be tricky. However, the good thing is that you can simplify the budgeting process by effortlessly adapting the 80/20 rules. The salient features of the 80/20 rule empower individuals to secure their future while allowing them to look after their present expenses as well.

So, to effectively manage your expenses and save for your future, all you have to do is follow the 80/20 rule!

FAQs

Who can benefit from the 80/20 rule?

Anyone can follow the 80/20 rule to ensure guaranteed savings. However, the 80/20 rule is specifically meant for you if you do not have great personal finance skills but still want to save money by creating a budget. Even a novice can begin to save for the future using the 80/20 rule.

Can the 80/20 rule help you build wealth in the long term?

When discussing savings, the 80/20 rule tells you to save 20% of your monthly income. While it can get you started with savings, it may not be enough to create wealth in the long term.

However, an alternative use of the 80/20 rule might help you grow money in the long run. All you have to do is invest 20% of your investment in a high-performing growth fund that can offer as much as 80% return. You can invest the rest of the 80% of your investment in low-risk indent funds to ensure the security of your investment.

Is 80/20 a “one size fits all” rule?

While the 80/20 rule allows most individuals to effectively manage their monthly income and expenses while setting 20% of their income towards saving, it is not a “one size fits all” rule. Individuals with higher incomes may not set aside 20% of their income and still manage to save enough. While on the other hand, someone who does not earn a lot cannot save enough despite setting aside 20% of their monthly income.

What is the 50/15/5 rule?

The 50/15/5 rule in personal finance is a helpful concept for managing your money smartly. It says you should use 50% of your income after taxes for important things like housing, utilities, and cars. Save 15% for the future, like retirement or emergencies. Keep 5% for fun things you want, such as trips or hobbies. This rule helps you balance spending, saving, and enjoying the rewards of your hard work.

The post Mastering Money: How the 80/20 Rule Can Help You Save and Simplify Your Finances appeared first on Due.

Deanna Ritchie

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September 5, 2023
50 of the Top Finance Tools You Need To Know in 2023 to be Part of the Financial Elite | Entrepreneur

In the fast-paced and ever-evolving world of finance, staying ahead of the curve is crucial for those aiming to join the ranks of the financial elite. With the constant influx of new technologies and tools, navigating the sea of options can be overwhelming. That’s why we have compiled a comprehensive list of the top 50 finance tools you need to know in 2023.

From cutting-edge investment platforms to advanced budgeting apps and analytical software, this article will equip you with the knowledge and resources to enhance your financial prowess, streamline your operations, and elevate your success in the competitive realm of finance.

Justification:

Inclusion on our list of the top 50 finance tools in 2023 is a testament to the exceptional value and impact these tools can bring to individuals striving to be part of the financial elite. Each tool has been carefully selected based on its ability to revolutionize financial strategies, streamline processes, and unlock new opportunities for growth and success.

These finance tools encompass a wide range of functionalities, catering to various aspects of financial management. For instance, investment platforms with advanced algorithms and machine learning capabilities empower users to make data-driven investment decisions, optimizing portfolio performance and maximizing returns. Similarly, cutting-edge budgeting apps provide real-time tracking and analysis of personal and business finances, enabling users to make informed decisions, identify saving opportunities, and attain financial goals faster.

Moreover, the analytical software featured in our list equips finance professionals with powerful tools to extract valuable insights from vast datasets, enhancing risk assessment, forecasting accuracy, and strategic planning. The inclusion of these tools serves as a testament to their proven track record, user-friendly interfaces, and ability to empower individuals in achieving financial excellence. By incorporating these tools into their arsenal, aspiring financial elites can gain a significant competitive edge and unlock their full potential in the dynamic world of finance.

Mint (personal finance management)

Rating: 4.5 out of 5

Mint is an exceptional personal finance management tool that empowers users to take control of their financial life with ease and convenience. This all-in-one platform offers an array of features, including budgeting, bill tracking, expense categorization, and credit score monitoring, making it an indispensable asset for individuals seeking a comprehensive solution to their money management needs.

With intuitive and user-friendly interfaces, Mint helps users visualize and understand their financial landscape, promoting responsible financial habits and proactive decision-making.

One of Mint’s coolest features is its seamless integration with various financial institutions, enabling automatic synchronization of your bank accounts, credit cards, and loans onto a single platform. The real-time updates on transactions and balances, coupled with the insightful categorization of expenses, allow you to easily track and analyze your spending habits like a pro! What’s more, Mint’s goal-setting feature injects excitement and motivation, as it enables users to create personalized savings objectives, nudging them towards a more secure and fulfilling financial future. With Mint in your pocket, you have the power to steer your finances and achieve your money goals with confidence and enthusiasm!

QuickBooks (accounting software)

Rating: 4.7 out of 5.

QuickBooks is a versatile accounting software solution designed to cater to the financial and organizational needs of small to medium-sized businesses. This powerful tool streamlines various aspects of accounting, such as invoicing, expense tracking, payroll management, and financial reporting, making it an essential resource for entrepreneurs and business owners. Its user-friendly interface spares users the need to be accounting experts, and robust security measures ensure sensitive financial data remains protected. QuickBooks boasts seamless integration with third-party apps and offers a cloud-based option for those seeking accessibility on-the-go.

One of the coolest features of QuickBooks is its advanced invoicing capabilities, completely revolutionizing the way businesses handle their billing processes. Users can easily customize professional-looking invoices, set up recurring payments, and receive real-time notifications when invoices are viewed and paid—ultimately simplifying revenue management. Another fantastic feature is the bank integration, which effortlessly syncs and categorizes bank transactions for quick, accurate financial overviews. Say goodbye to manual data entry and hello to more time focusing on growing your business with QuickBooks’ cutting-edge features!

TurboTax (tax preparation software)

Rating: 4.5/5

TurboTax is a user-friendly, comprehensive, and reliable tax preparation software that assists individuals and businesses alike in processing and filing their tax returns accurately and efficiently. Developed by Intuit, TurboTax harnesses technology to streamline the tax filing process, ensuring that users receive the maximum refund they’re eligible for. The software offers step-by-step guided assistance, up-to-date tax law changes, and automatic error detection, making it a popular choice amongst those who want a hassle-free tax filing experience.

One of the coolest features of TurboTax is its innovative W-2 import functionality. With just a snap of a photo, TurboTax can extract pertinent information from your W-2 form, eliminating the need for manual data entry and minimizing potential errors. Another exciting feature is the Deduction Finder, which uses intelligent algorithms to identify tax-saving deductions and credits tailored to each user’s unique tax situation. As a bonus, TurboTax offers live, on-demand support with certified tax professionals to help answer any pressing questions, ensuring a smooth and stress-free tax preparation process. Overall, TurboTax delivers an intuitive and efficient tax filing experience through its sleek interface and cutting-edge features, making it a game-changer in the world of tax preparation.

PayPal (online payments)

Rating: 5/5

PayPal is a highly reputable and widely used online payment platform that allows individuals and businesses to securely send and receive payments across the globe. With its user-friendly interface, top-notch security measures, and extensive merchant support, PayPal has emerged as a leader in the digital payment landscape catering to the needs of millions of users worldwide. The platform offers seamless integrations with major e-commerce platforms and supports a variety of currencies, ensuring accessible and hassle-free transactions for both buyers and sellers. Given its unparalleled service, reliability, and convenience, I would rate PayPal a solid 5 out of 5.

Now, let’s talk about some of the coolest features of PayPal that truly set it apart! One remarkable feature is the ability to create and send custom invoices within minutes, making it incredibly easy for freelancers and businesses to bill their clients professionally. Additionally, PayPal’s One Touch feature lets you complete purchases rapidly without needing to re-enter your login information, ensuring a swift and smooth checkout experience. Furthermore, PayPal.Me, a personalized payment link, lets you request or accept payments in a snap by simply sharing your custom URL. With such innovative solutions designed to make your online payment experience as seamless as possible, it’s no wonder PayPal has earned the trust and loyalty of millions across the globe.

Stripe (online payment processing)

Rating: 5/5

Stripe is an exceptional online payment processing platform that streamlines the way businesses accept and manage transactions. Designed with powerful and flexible APIs, Stripe effortlessly integrates with numerous e-commerce and mobile platforms, helping businesses of all sizes to scale efficiently. The tool prioritizes security by employing advanced encryption technologies, ensuring that user information and payment data remain safe. Furthermore, Stripe’s transparent pricing model with competitive rates appeals to a wide range of users, from startups to established enterprises. Overall, I would rate Stripe a solid 5 out of 5 for its reliability, ease of use, and comprehensive features.

Of Stripe’s many cool features, two stand out as exceptionally exciting! The first is the ease with which Stripe can be integrated into virtually any online platform. Whether you’re using a popular e-commerce system or custom-built software, Stripe’s robust APIs quickly and seamlessly establish a connection, saving valuable time and getting businesses up and running in no time. Another remarkable aspect of Stripe lies in its powerful machine learning algorithms that continuously detect and prevent fraudulent activities from taking place. These advanced algorithms, coupled with a comprehensive support system, provide businesses with an extra layer of security for their payment transactions. Combine these cool features with unmatched efficiency and user experience, and it’s no wonder Stripe is a leader in the world of online payment processing!

Square (payment processing)

Rating: 4.5/5

Square (payment processing) is a highly efficient and versatile tool that enables businesses of all sizes to accept credit card payments from customers. It operates smoothly on both iOS and Android devices, making it a popular choice for retailers, service providers, and other businesses requiring seamless transaction processing. The platform offers a user-friendly interface, secure payment processing, and a generous selection of features appealing to different business models. With its extensive support for various types of cards, including contactless ones, Square is an essential tool for businesses looking to modernize their operations and improve customer experience. Rating: 4.5/5

The coolest feature of the Square payment processing tool has to be its ability to generate professional invoices and receipts in no time! The Square invoicing feature allows you to effortlessly create digital invoices, customized with your business logo, and send them to your clients via email or text. Your customers can quickly pay their invoices through a secure online portal, making the process hassle-free for both parties. Furthermore, Square offers real-time tracking of invoice payments, allowing you to stay organized and maintain a healthy cash flow. The tool also supports contactless payments, accommodating customers who prefer using digital wallets like Apple Pay or Google Wallet. Ultimately, Square’s fantastic features simplify business transactions, promoting a smooth flow of operations and keeping both merchants and customers happy.

Venmo (peer-to-peer payments)

Rating: 4.5 out of 5

Venmo is a widely popular peer-to-peer payment tool designed to simplify financial transactions among friends, families, and even small businesses. The app offers users an incredibly user-friendly experience, allowing them to smoothly send, request, and receive money from their contacts with just a few taps on the screen. It stands out for its unique social twist, where users can publicly or privately share their transactions with a personalized message, making it feel more connected and enjoyable. Owned by PayPal, the tool is equipped with robust security features that provide a safe environment for its users’ financial information.

One of the coolest features of Venmo is the seamless integration of peer-to-peer payment with an engaging social feed! Users can add personality to their transactions by including a message, emoji, and even animated stickers, making it feel more like a social media feed full of fun interactions. Another fantastic feature is the Venmo card, which acts as a debit card linked to your Venmo balance-allowing for easy spending without the need to transfer funds to your bank account. The Venmo card also offers personalized cashback deals that cater to your spending habits, putting some money back in your pocket. Talk about convenience and fun in one app!

TransferWise (international money transfers)

Rating: 4.8/5

TransferWise, now known as Wise, is a groundbreaking and innovative financial technology (fintech) company specialized in providing international money transfers at an impressively low cost. This cloud-based solution has rapidly gained popularity among individuals and businesses globally, seeking an efficient alternative to traditional banking institutions. Wise’s platform is user-friendly, transparent, and consistently delivers on its promise to execute swift, secure transactions, which makes it an appealing choice for users across the board. Based on its performance and overall user experience, I would rate Wise 4.8 out of 5.

As for its coolest features, let’s dive right in! First and foremost, Wise stands out for its exceptional transparency, allowing you to see the real mid-market exchange rates and the minimal fees it charges right upfront, keeping any unpleasant surprises at bay. Secondly, the Borderless account feature is a game-changer, enabling you to hold and manage multiple currencies all under one account. That’s perfect for freelancers, remote workers, or frequent travelers who need a seamless way to receive and send money in various currencies. Lastly, Wise boasts an incredibly fast transaction time compared to traditional banking systems, meaning you no longer have to anxiously wait for days on end to ensure your money reaches its destination. It’s no wonder Wise has quickly become a fan-favorite for those seeking efficient and affordable international money transfers!

Coinbase (cryptocurrency exchange)

Rating: 4.5/5

Coinbase is a leading cryptocurrency exchange that offers its users an intuitive and user-friendly platform to buy, sell, and manage various cryptocurrencies. With a firm commitment to security, compliance, and stability, Coinbase has established itself as one of the most reliable and trusted cryptocurrency exchanges worldwide, providing access to popular digital assets such as Bitcoin, Ethereum, Litecoin, and many others. Its advanced features, competitive fees, and seamless integration with various payment methods make it an ideal choice for both beginners and experienced traders to engage with the rapidly evolving world of digital currencies.

One of the coolest features of Coinbase is its user-friendly and easy-to-navigate interface, which ensures a smooth and enjoyable experience for all users, regardless of their prior knowledge or expertise in cryptocurrencies. Furthermore, thanks to the robust security measures it employs, such as two-factor authentication and offline storage of digital assets, Coinbase ensures that your funds are safe and well-protected at all times. Also, with their Coinbase Pro platform, experienced traders can enjoy advanced charting tools, margin trading, and a variety of order types to optimize their trading strategies. To top it off, Coinbase also offers a comprehensive educational program called Coinbase Earn, allowing users to learn more about various cryptocurrencies and even earn rewards for completing quizzes and tasks. There’s no doubt that Coinbase truly stands out as a go-to cryptocurrency exchange!

Robinhood (investment and trading app)

Rating: 4.5/5

Robinhood is an innovative investment and trading app designed primarily for the modern retail investor seeking a user-friendly platform to buy and sell stocks, options, cryptocurrencies, and exchange-traded funds (ETFs). The app’s commission-free trading platform, intuitive design, and mobile-first approach have attracted a large user base, particularly among younger investors who value simplicity and easy access to financial markets. Despite some negative news and outages in recent years, Robinhood remains a popular choice for those looking to begin their investing journey or expand their portfolio in a cost-effective manner.

As for the coolest features, Robinhood’s fractional shares trading is a game changer! This allows users to invest in top-tier companies with expensive stocks, such as Amazon or Tesla, even if they don’t have the full amount needed to purchase a whole share. This democratizes investing and opens the door for small investors to build a diverse portfolio without breaking the bank. Another awesome feature is the app’s user interface, which is visually appealing and easy to navigate. The real-time data on stock prices, customizable watchlists, and educational content available right within the app make it absolutely thrilling for anyone to have the power of financial markets at their fingertips. Get ready to embrace the age of accessible investing!

Acorns (micro-investing)

Rating: 4.5/5

Acorns is a unique and innovative micro-investing platform designed to help users invest their spare change into a diversified portfolio. By rounding up everyday transactions and automatically investing the difference, Acorns has opened up the world of investing to users who may not have considered it before or felt they lacked the necessary funds to begin. The easy-to-use app provides a simple user interface and offers a range of features, such as recurring investments, retirement savings accounts, and earning rewards that can be invested in your account. Access to financial literacy content also enhances the platform’s appeal, making it a brilliant all-in-one investing tool for beginners and seasoned investors alike.

One of the coolest features of Acorns is its “Round-Ups” that completely revolutionizes the way we look at saving and investing. By seamlessly connecting to your debit or credit card, the app rounds up every transaction to the nearest dollar and invests the spare change in a diversified portfolio. The process is almost invisible, and before you know it, your small round-ups will accumulate into a significant sum of money. Additionally, the “Found Money” program allows you to earn rewards from partnered brands, which are automatically invested into your account, providing a bonus to your growth potential. And if you’re looking to learn more about personal finance, Acorns’ Grow Magazine offers valuable insights and advice to help you make informed financial decisions in an engaging and easy-to-understand language. Isn’t it fantastic to have a tool that simplifies investment and turns it into a fun, daily experience!

Betterment (robo-advisor)

Rating: 4.5/5

Betterment is a top-tier robo-advisor designed to streamline and optimize the investing process for users of all expertise levels. By leveraging advanced algorithms, Betterment creates tailored investment portfolios that meet each user’s financial goals and risk tolerance. As a low-cost alternative to traditional financial advisors, Betterment offers incredibly competitive pricing and has a user-friendly platform with a seamless experience that allows clients to create accounts, set financial goals, choose the desired level of risk, and deposit funds. I would rate this tool a 4.5 out of 5 for its remarkable features, ease of use, and affordability.

Now, let me share with you some of Betterment’s coolest features! Firstly, their tax-loss harvesting and tax-coordinated portfolio strategies are absolutely game-changing, potentially saving clients significant money on taxes. Secondly, they offer personalized advice for external accounts which goes above and beyond just managing the assets on their platform. And perhaps the most exciting feature is their fractional shares trading, allowing clients to optimize their portfolios because every dollar invested is fully utilized. Betterment’s array of advanced features and their commitment to continuously innovating and improving the investment experience make it an incredibly attractive robo-advisor choice for optimizing your financial future!

Wealthfront (robo-advisor)

Rating: 4.5/5

Wealthfront is an innovative and reliable robo-advisor platform that delivers personalized, comprehensive financial planning services to a broad range of clients. As the first robo-advisor to offer direct indexing, Wealthfront has a straightforward, user-friendly interface that makes investment management effortless for both novice and experienced investors. The platform’s robust algorithm-driven advice takes tax efficiency, risk tolerance, and financial goals into consideration, ensuring that clients achieve their objectives with a tailored approach. Wealthfront’s low advisory fees and account minimums further enhance its appeal, making it accessible to many users. Overall, I would rate Wealthfront a solid 4.5 out of 5.

Wealthfront is packed with amazing features that set it apart from its competition! One of the coolest and most unique features is its Tax-Loss Harvesting, which allows you to maximize returns by strategically selling investments to offset taxable gains. This essentially optimizes your portfolio for tax efficiency, freeing up extra money for you to invest. Another remarkable feature is the Time-Weighted Return calculator, which keeps you informed about your investments’ performance by providing a breakdown of your returns in a clear, visually appealing manner. The Path tool is also a fan-favorite, offering customizable wealth planning advice to help you meet your goals, whether it’s about buying a house or saving for retirement. The fantastic features just keep coming with Wealthfront, making it an exciting robo-advisor to try out!

E*TRADE (online brokerage)

Rating: 4.5 out of 5.

E*TRADE is a cutting-edge online brokerage platform that offers a comprehensive suite of tools and resources for investors and traders of all experience levels. This intuitive platform provides advanced charting, research capabilities, trading tools, and a user-friendly interface that streamlines the investing process. E*TRADE has achieved wide recognition for its easy-to-navigate design, efficient trade execution, and comprehensive educational resources that cater to both novice and experienced users, making it a powerful all-in-one solution for modern investors. E*TRADE’s dedication to innovation and customer satisfaction has solidified its position as one of the top online brokerage platforms in the industry.

Now let’s talk about E*TRADE’s coolest features! With E*TRADE, you get access to its extraordinary Power E*TRADE trading platform, which offers advanced charting, risk analysis, and more than 100 technical studies, allowing you to make data-driven decisions with ease. Their innovative Snapshot Analysis tool lets you conduct a quick yet in-depth evaluation of potential investments, giving you a clear insight into company performance and market trends. The cherry on top? E*TRADE’s top-notch mobile app, which allows you to monitor and manage your portfolio from virtually anywhere. Harnessing the power of cutting-edge technology and a user-friendly approach, E*TRADE places the entire stock market at your fingertips, providing an unparalleled advantage for investors and traders alike.

Vanguard (investment management)

Rating: 4.5 out of 5.

Vanguard, a renowned investment management software/tool, brings a comprehensive approach to managing financial portfolios seamlessly. Offering a wide array of services, including retirement planning, wealth management, and investor education, this platform is designed to cater to individual investors, financial professionals, and institutions alike. Its user-friendly interface and strong emphasis on cost-efficiency makes it a reliable choice for various investment needs. Vanguard is well-respected in the industry for its selection of competitive index funds and ETFs, personalized advice, and commitment to transparency.

Now, let’s dive into the coolest features of Vanguard! For starters, Vanguard boasts an excellent lineup of low-cost ETFs and mutual funds, which are perfect for both seasoned investors and beginners seeking a diversified, cost-effective investment strategy. Another fantastic feature is their retirement planning tools, which make it incredibly easy and stress-free for users to make crucial decisions about their retirement savings. Not to mention, Vanguard Personal Advisor Services, where the platform pairs you with a dedicated financial advisor who crafts a tailored investment plan based on your unique goals and preferences. With Vanguard’s powerful tools and services, navigating the world of investment has never been more exciting and empowering!

Fidelity (investment management)

Rating: 4.5 out of 5

Fidelity is an exceptional investment management software and tool designed to offer a comprehensive suite of services to cater to a vast array of investors. It covers everything from stock trading, mutual funds, ETFs, and retirement accounts like IRAs to advanced investing tools and resources. Fidelity’s well-organized interface, top-notch research capabilities, and round-the-clock customer support contribute to an optimal user experience that appeals to both beginners and seasoned investors alike.

Let’s dive into some of Fidelity’s coolest features that make investing an absolute breeze! One standout is its cutting-edge research tools that give you access to expert insights and analysis, helping you make informed decisions backed by solid data. Additionally, the Active Trader Pro platform unlocks an impressive suite of advanced investing tools that let you track the markets, execute trades, and manage your portfolio with ease – how awesome is that? And, we simply cannot forget about Fidelity’s commission-free trading on U.S. stocks, options, and ETFs, which makes it one of the most cost-effective platforms in the game. With all of these excellent features, Fidelity empowers you to unlock your full investing potential!

Charles Schwab (investment management)

Rating: 4.5/5

Charles Schwab is a prominent investment management tool that offers a comprehensive suite of services catering to individual investors, businesses, and institutions. This platform has gained significant reputation due to its competitive pricing, exceptional customer service, and extensive range of investment options, including stocks, bonds, mutual funds, and ETFs. Among the tool’s most noteworthy features are user-friendly interfaces, robust research tools, and seamless integration with mobile and desktop devices, all of which contribute to its widespread appeal in the world of financial management.

When it comes to Charles Schwab’s coolest features, one must definitely rave about its innovative and cutting-edge technology, making the investment experience efficient and enjoyable. The StreetSmart Edge, their advanced trading platform, offers customizable charts, powerful research tools, and an impressive degree of personalization, allowing users to efficiently monitor the market, manage their investments, and develop effective trading strategies. Furthermore, Schwab’s trading app for mobile devices takes convenience to a whole new level, allowing on-the-go investing and account management. To complete the package, the company has also incorporated an extensive network of branches and 24/7 phone support, ensuring every user’s needs are catered to and that expert help is always available.

Ally Bank (online banking)

Rating: 5/5

Ally Bank is an innovative and secure online banking platform that offers a wide range of financial services and products to its users. As an exclusively digital bank, Ally Bank provides customers with convenient access to their accounts, competitive interest rates, and an intuitive user interface, making it easy for users to manage their money effectively. Their banking services include savings and checking accounts, CDs, investment options, loans, and more. With exceptional customer service, extensive digital tools, and no monthly maintenance fees or minimum balance requirements, Ally Bank stands as an exceptional choice for individuals who prefer a streamlined digital banking experience. I would rate Ally Bank a solid 5 out of 5 for its comprehensive set of features and user-friendly system.

One of the coolest features that Ally Bank offers is its industry-leading savings rates, allowing customers to grow their money faster than with other traditional banks. Ally Bank is also known for its versatile mobile app with impressive functionalities like depositing checks through the app by taking pictures, easy account management, and robust financial tracking and budgeting tools. Moreover, Ally Bank’s user experience is enhanced by their 24/7 customer support, ensuring that all customers receive prompt assistance whenever needed. Lastly, Ally Bank has uniquely integrated the popular Zelle® money transfer service, enabling users to send and receive money quickly and securely within their platform. All these innovative features reinforce the superiority of the Ally Bank experience, making it a top-choice for anyone looking for a reliable and feature-rich online banking platform.

Capital One (banking and credit cards)

Rating: 5/5

Capital One is a well-established financial institution that provides an exceptional suite of services, including banking and credit cards, which seamlessly cater to the various financial needs of its users. With their commitment to customer satisfaction, Capital One ensures that its software and tools effectively streamline their services, making it easy for users to manage their accounts, pay bills, and plan their financial budgets. The platform boasts an intuitive interface, robust security features, and round-the-clock customer support, ensuring a smooth and secure experience for its patrons. Based on its ease of use, outstanding services, and reliability, I would rate Capital One 5 out of 5.

Now, let’s dive into some of the coolest features Capital One has to offer! One of the most fantastic aspects of the software is its AI-driven assistant, Eno, which actively monitors your accounts to keep you informed about potential fraud, duplicate charges, and assists with on-time bill payments. Also, the CreditWise feature is a game-changer for those looking to monitor and improve their credit scores with access to insightful tips and updates. Furthermore, the ability to lock your credit card with a single tap on the app provides an unmatched level of security and control in the palm of your hand. Capital One’s robust suite of financial tools combined with these killer features makes it a top choice for users, keeping their finances in check and hassle-free!

Chase (banking and credit cards)

Rating: 4.7 out of 5

Chase bank offers an efficient, user-friendly software/tool for its banking and credit card services. As an all-in-one financial management platform, it allows users to easily access their accounts, pay bills, transfer funds, and manage their credit cards with just a few clicks. The software also offers a mobile app, which is compatible with both iOS and Android devices, providing the utmost convenience to customers while they are on the go. Security is a top priority for Chase, as the software is equipped with multiple layers of protection to ensure the safety of users’ data and financial resources. Overall, I would rate the Chase banking and credit card software/tool a solid 4.7 out of 5.

I cannot help but feel enthusiastic about some of the coolest features of this tool! One of the most notable features is the Chase Ultimate Rewards program, which lets credit cardholders earn points on every purchase made. The points can be redeemed for gift cards, travel, or even cash back, making it an exciting bonus for those who use their credit cards frequently. Another amazing feature is the real-time fraud monitoring and instant transaction alerts, ensuring that users have full control over their financial activities and can take immediate action in case of any suspicious activity. Additionally, the budgeting and spending summary tools prove to be extremely handy in keeping users on track with their financial goals, helping to make smarter decisions with their money. It’s no wonder that the Chase banking and credit card software/tool has become a popular choice amongst savvy consumers!

American Express (credit cards)

Rating: 4.5/5

American Express, popularly known as Amex, is a global financial services provider well-known for its top-notch credit card offerings. The company’s credit cards are geared towards a variety of consumers, from frequent travelers to small business owners, catering to their unique needs with an extensive range of features and benefits. With a powerful rewards program, Membership Rewards, American Express cardholders can earn and redeem points for travel, merchandise, gift cards, and more. The unparalleled customer service, fraud protection, and additional perks grant users a seamless and secure experience, keeping them loyal to the brand.

The coolest features about American Express credit cards are undeniably the incredible rewards program and the exceptional additional benefits! As an Amex cardholder, you can rack up points quickly with Membership Rewards, thanks to their accelerated earning rates on various categories like travel and dining. Redeeming your rewards is equally exciting with options like booking flights, shopping online, and even transferring points to airline and hotel partners. But that’s not all – American Express goes above and beyond with their extra perks such as access to exclusive events, complimentary airport lounge entry, travel insurance, and impressive discounts at select merchants. All of these fantastic features truly elevate the cardholder experience, leaving you feeling like a VIP while spending and saving simultaneously!

NerdWallet (personal finance advice)

Rating: 4.5/5

NerdWallet is an exceptional personal finance advice software/tool designed to help users make informed decisions regarding their money. Providing expert advice on a variety of financial topics such as credit cards, loans, mortgages, investing, and savings accounts, NerdWallet arms users with the knowledge and understanding they need to manage their personal finances with confidence. By utilizing data-driven recommendations, NerdWallet enables users to compare financial products and determine the best options based on their unique circumstances, making it a reliable source of information for anyone seeking financial guidance. Based on its vast array of features and comprehensive guidance, I would rate NerdWallet a solid 4.5 out of 5.

Now, let me tell you about some of the coolest features that have left users raving about NerdWallet! Their suite of calculators alone is nothing short of amazing – mortgage, student loan repayment, retirement planning, and even credit card payoff calculators, to name just a few. NerdWallet’s side-by-side financial product comparison feature is a fantastic resource that allows users to closely examine various offerings and make educated choices based on their unique needs. To top it off, they offer personalized recommendations tailored to each user’s financial goals, ensuring that you have a specialized roadmap to financial success. NerdWallet truly goes the extra mile in providing tools and resources to make personal finance management a breeze!

Credit Karma (credit scores and reports)

Rating: 4.5/5

Credit Karma is a comprehensive and user-friendly financial tool that offers free credit scores, credit reports, and seamless monitoring services. The platform’s easy-to-navigate interface assists users in understanding their credit scores, offering personalized insights and tips to help them make smarter financial decisions. With an array of features such as credit monitoring alerts, seamless integration with various financial accounts, and tax filing services, Credit Karma stands out as an incredibly versatile and valuable personal finance tool.

The coolest features of Credit Karma will undoubtedly leave you impressed! For starters, say goodbye to paying for credit reports as Credit Karma offers them for free, pulling data from two major credit bureaus, TransUnion and Equifax! Not only that, but Credit Karma also provides an intuitive Credit Score Simulator, allowing you to see how various financial moves may affect your score, making financial planning a breeze. Also, the app’s innovative Identity Monitoring feature takes security up a notch with alerts for potential data breaches and identity theft. Let’s not forget about the Credit Karma Tax service! It’s an easy, free, and accurate way to file your federal and state taxes. In a nutshell, Credit Karma’s feature-rich platform makes it an indispensable partner in managing and enhancing your financial well-being!

Zillow (real estate information)

Rating: 4.5/5

Zillow is a comprehensive real estate platform that offers a wide range of services and tools to facilitate the process of buying, selling, and renting properties. With an extensive database of over 110 million U.S. homes, Zillow provides users with up-to-date information on home values, local market trends, and an array of related data. This user-friendly platform caters to homeowners, buyers, sellers, and agents by offering unique features such as Zestimate, a home valuation algorithm that estimates a property’s current market value. Overall, Zillow deserves a solid 4.5 out of 5 rating for its outstanding features and ease of use.

Now, let’s dive into Zillow’s coolest features! To begin with, Zillow’s 3D Home Tours present an innovative way to virtually explore properties from the comfort of your home. This immersive experience allows potential buyers to have a comprehensive view of the property and understand its layout before deciding to visit in person. Next up is the Zillow Offers feature, where Zillow directly purchases homes from sellers, eliminating the hurdles of traditional home selling processes. No more stressful listing and negotiation! Moreover, Zillow’s Mortgage Calculator makes estimating your monthly mortgage payment a breeze; just plug in some basic information, and the tool does the rest! These exciting features set Zillow apart from other real estate platforms and make the whole process of finding and buying your dream home a truly delightful experience.

SoFi (personal loans and refinancing)

Rating: 4.5/5

SoFi, short for Social Finance, is a versatile financial platform offering personal loans and refinancing options for individuals seeking to consolidate debt, finance large purchases, or achieve their financial goals. With a streamlined online application process and competitive interest rates, SoFi has positioned itself as an industry leader in personal finance. Thanks to its excellent customer service and a focus on transparency, users can expect a hassle-free experience when exploring the various options available on the platform.

The coolest features of SoFi are undoubtedly the competitive rates, flexible terms, and additional benefits they offer to their users! With fixed and variable interest rates ranging from 2.99% to 6.28% for personal loans and refinancing options, ensuring affordable options for various financial needs. Moreover, SoFi offers loan terms between 5 to 20 years, giving borrowers the freedom to find a repayment plan that fits their budget. But that’s not all! SoFi also provides member-exclusive benefits such as unemployment protection, career coaching, financial planning, and networking events, truly showcasing SoFi’s commitment to helping users succeed both financially and professionally!

LendingClub (peer-to-peer lending)

Rating: 4.5/5

LendingClub is an innovative peer-to-peer lending platform that connects borrowers with investors, offering a streamlined loan application process and competitive interest rates. This online marketplace empowers individuals and businesses by providing financing solutions tailored to their specific needs while offering investors the opportunity to diversify their portfolios and earn solid returns. LendingClub’s transparent fee structure and commitment to customer satisfaction have contributed to its status as a leader in the rapidly evolving fintech industry.

LendingClub is packed with some of the coolest features that make it a user-friendly and efficient platform! One of the top features is their proprietary credit grading system, which ensures investor confidence and helps borrowers get lower interest rates based on their credit scores. Additionally, LendingClub’s Auto Invest tool allows investors to automatically diversify their funds by investing in a custom mix of loans, saving time and effort on manually selecting individual loans. Last but not least, the platform’s intuitive user interface enables a seamless borrowing and investing experience, with straightforward tracking and management capabilities available at your fingertips. With these state-of-the-art features, LendingClub is revolutionizing the peer-to-peer lending landscape and is the go-to solution for both borrowers and investors!

Quicken (personal finance software)

Rating: 4.5/5

Quicken is a versatile personal finance software designed to help users effectively manage their financial life with ease. It offers powerful tools to stay on top of expenses, investments, and bill payments all in one integrated platform. Compatible with both Windows and Mac operating systems, Quicken is a well-designed software that is trusted by millions for its ability to simplify complex financial tasks, making it an indispensable tool for individuals and small businesses alike.

Now let me tell you about some of the coolest features of Quicken that make it stand out from other personal finance software! First and foremost, you’ve got the incredibly useful budgeting and spending tracking, which allows you to set spending goals and monitor your progress effortlessly. Its comprehensive investment tracking feature lets you keep a close eye on your portfolios and make informed decisions from its built-in market comparisons. And let’s not forget the ability to synchronize your financial data with over 14,000 financial institutions, ensuring seamless integration with your bank accounts, credit cards, and other financial products. Cheers to Quicken for revolutionizing the way we manage our money!

YNAB (You Need a Budget – budgeting software)

Rating: 4.5/5

YNAB, or You Need a Budget, is an innovative budgeting software designed to help individuals and families gain control over their finances and achieve financial stability. This intuitive and user-friendly tool adapts to your unique financial situation, connecting directly with your bank accounts to import transactions and track your spending habits. By utilizing its “Four Rules” methodology, YNAB encourages users to take proactive steps towards financial security, such as allocating income towards specific expenses and building an emergency fund. It is available on multiple platforms, making it easily accessible for users on the go or at home.

Now, let’s talk about some of the coolest features of YNAB that set it apart from other budgeting software! Firstly, the “Age of Money” metric is an innovative way of determining how long your hard-earned dollars have been in your possession before being spent. This encourages users to save money and break the paycheck-to-paycheck cycle. Additionally, YNAB’s seamless synchronization across multiple devices ensures that you can keep track of your budget anytime, anywhere – whether on your phone, tablet or computer. The software also provides highly visual and easy-to-understand reports and graphs, giving users a clear insight into their financial progress. With YNAB’s active and supportive community, complete with educational resources and workshops, you have everything you need to take control of your financial future!

Morningstar (investment research)

Rating: 4.5/5

Morningstar is a powerful and comprehensive investment research tool, designed to streamline the process of analyzing stocks, funds, industries, and worldwide economies. Highly regarded among financial professionals and casual investors alike, Morningstar offers a wealth of information, including thoroughly researched data, expert analysis, and insightful tools that provide users with the knowledge they need to make well-informed, confident decisions in today’s fast-paced market. Boasting a user-friendly interface and an extensive database, Morningstar consistently delivers up-to-date, accurate content that caters to a wide spectrum of users’ investment needs.

Now, let’s talk about some of the coolest features Morningstar has to offer! For a start, their Portfolio X-Ray tool is absolutely amazing, allowing you to dive deep into your investments and scrutinize your overall performance, exposure, risk, and potential diversification. Additionally, the Morningstar Ratings for stocks, mutual funds, ETFs, and closed-end funds make it easy for you to cut through the noise and quickly identify top-performing securities. Perhaps the most exciting part is the wealth of expert-written articles and up-to-date news, keeping you well-informed on market happenings, investment trends, and opportunities! Morningstar truly goes above and beyond, incorporating a variety of innovative elements to create an indispensable resource for anyone involved in the world of investing.

Bloomberg Terminal (financial data and analytics)

Rating: 5/5

The Bloomberg Terminal is a cutting-edge financial data and analytics software that provides users with an extensive array of information on diverse financial markets and instruments. Designed specifically for finance professionals, this powerful tool combines real-time data streaming, in-depth market intelligence, and execution capabilities into a comprehensive solution tailored to the needs of traders, portfolio managers, and research analysts. Leveraging Bloomberg’s vast network and expertise, the Terminal ensures quick and seamless access to a vast pool of financial news, research, and analytical tools that enable users to make informed decisions in this fast-paced and ever-changing industry. Overall, I rate the Bloomberg Terminal a solid 5 out of 5 for its impressive range of features, excellent user interface, and unparalleled market access.

In an enthusiastic tone: Get ready to be blown away by the coolest features of the Bloomberg Terminal! The Terminal’s data-rich environment empowers users with lightning-fast and accurate real-time data on stocks, bonds, commodities, and currencies – all displayed in sleek, customizable charts and graphs. Stay ahead of the game with Bloomberg’s top-notch news and analytics, and gain invaluable insights from industry titans, as well as exclusive Bloomberg reports, to help you make smarter investment strategies. Moreover, the Terminal’s robust integration capabilities allow seamless connection with other tools for maximized productivity. Whether you’re a seasoned financial expert or a newcomer, the Bloomberg Terminal is the ultimate one-stop-shop for all your financial analytics needs – ensuring you stay on top of the markets at all times!

Zoho Books (accounting software)

Rating: 4.5/5

Zoho Books is an all-inclusive, cloud-based accounting software designed to cater to the financial needs of small and medium-sized businesses. With a user-friendly interface and a wide range of features, this software streamlines and automates daily financial operations, including invoicing, expense tracking, and bank reconciliation. It even handles tax compliance and provides insightful financial reports, offering a comprehensive solution for managing your finances. The seamless integration with other Zoho applications, third-party apps, as well as its mobile availability, highlights the software’s adaptability to cater to diverse business demands. Overall, Zoho Books deserves a solid rating of 4.5 out of 5.

Now let’s talk about some of the coolest features that make Zoho Books an outstanding accounting tool! The software’s sophisticated automation capabilities are genuinely awe-inspiring, as it dramatically reduces manual work – this means, bye-bye to data entry nightmares! The time tracking and project billing features are absolute game-changers, allowing you to track your employees’ billable hours with ease and bill clients accordingly. The multi-currency functionality is a godsend for businesses with a global clientele, making currency conversions a breeze! Lastly, the custom reporting feature is probably one of our favorites, as it enables you to create personalized reports, empowering you to analyze the financial data that matters the most to your business. So, why wait? Level up your company’s financial management with Zoho Books today!

Wave (small business accounting)

Rating: 4.5/5

Wave is an innovative small business accounting software that offers a broad range of features designed to streamline and simplify financial management for entrepreneurs and owners. This cloud-based solution provides multiple easy-to-use functionalities including invoice creation, expense tracking, receipt scanning, and payroll processing, making it an ideal choice for businesses looking to efficiently maintain accurate financial records. Its user-friendly interface and thoughtful integrations help small business owners save time and stay organized, allowing them to focus on growing their venture.

Rating: 4.5 out of 5

Wave’s coolest features really set it apart from the competition, making financial management a breeze for business owners! Its slick invoice customization allows you to create stylish, professional invoices that can be easily tailored to suit your brand’s identity. The built-in receipt scanning tool is an absolute game changer – simply snap a picture of your receipts and watch as Wave automatically extracts and organizes the relevant information. Additionally, Wave’s seamless bank connections enable real-time transaction updates, eliminating the need for manual data entry and ensuring accurate financial records. Wave’s fusion of style, innovation, and usability truly delivers a top-notch small business accounting experience for its users!

Xero (cloud accounting software)

Rating: 4.5/5

Xero is an innovative cloud-based accounting software designed to simplify the management and tracking of business financials for small to medium-sized enterprises. This robust tool makes it easy for users to monitor their cash flow, generate reports, issue invoices, and manage payroll seamlessly. Xero is user-friendly, offering an aesthetically pleasing interface and dashboard, coupled with a wide range of useful integrations, making it a one-stop solution for business owners who need to efficiently maintain their financial records. Overall, I would rate Xero a solid 4.5 out of 5 for its functionality, ease of use, and comprehensive financial-management features.

Now let’s talk about some of the coolest features of Xero that truly set it apart! One of the standout features that users adore is the bank reconciliation process. Xero’s smart auto-reconciliation system makes it a breeze to synchronize your bank account transactions with the software, reducing manual data entry and potential human errors. Not only that, but Xero’s real-time dashboard vastly improves decision-making, as users have instant access to their financial position at any given time. Need to manage expenses on the go? No worries! Xero’s mobile app enables you to manage invoicing, reconciliation, and other financial tasks right from your mobile device. Furthermore, Xero’s multi-currency support is a game-changer for businesses operating in global markets, allowing for seamless transactions in various foreign currencies. With all these features and more, Xero is undoubtedly an essential tool for any modern business.

FreshBooks (small business invoicing)

Rating: 4.5/5

FreshBooks is an intuitive and comprehensive invoicing and accounting software designed specifically for small businesses and freelancers. The platform simplifies the invoicing process by providing customizable templates, automatic reminders, and seamless integration with various payment gateways to facilitate smooth transactions. Furthermore, it optimizes financial management with its time-tracking, expense tracking, and reporting tools that enable users to gain better insight into their business performance. The user-friendly interface coupled with a vast array of features has made FreshBooks an essential tool for managing finances efficiently, allowing small business owners more time to focus on core business tasks.

One of the coolest features of FreshBooks is its ability to streamline your workflow by automating essential tasks, such as recurring invoices, expense categorization, and payment reminders! With FreshBooks, you can even snap photos of your receipts and have the sophisticated expense tracking module categorize them with unparalleled accuracy. And, let’s not forget how FreshBooks simplifies collaboration through its project management tools, allowing you to invite team members, clients or contractors to your projects to keep everyone on the same page. If you’re always on the go, the mobile app is a lifesaver, providing you with the flexibility to track your time, expenses and send invoices directly from your smartphone. Above all, FreshBooks is the embodiment of a modern, efficient tool poised to revolutionize the way small businesses approach their financial management!

Paychex (payroll and HR services)

Rating: 4.5/5

Paychex is a comprehensive payroll and HR services tool designed to cater to the needs of businesses of various sizes. Its robust platform streamlines payroll processing, tax filing, and employee benefits management, while also offering HR support and solutions to enhance workforce productivity. Paychex’s user-friendly interface enables seamless management of payroll data, along with tools for tracking employee hours, integrating with accounting solutions, and providing real-time analytics for more effective decision-making. Furthermore, its exceptional customer support ensures that businesses receive timely assistance and guidance during critical processes. With its feature-rich offerings, Paychex earns a well-deserved 4.5 out of 5 rating.

One of the coolest features of Paychex has to be the cloud-based Paychex Flex platform! Its intuitive dashboard brings together all the essential HR solutions with just a few clicks, granting access to a suite of advanced tools for payroll, tax compliance, workforce management, employee benefits administration, and employee onboarding. Paychex Flex also offers seamless integration with numerous third-party applications to create a centralized and efficient workflow. The cherry on top is the Paychex Flex mobile app, which enables both employers and employees to manage their payroll-related tasks on-the-go. Coupled with top-notch customer support, Paychex truly revolutionizes the way businesses handle their HR and payroll functions!

ADP (payroll and HR services)

Rating: 5/5

ADP is a comprehensive and robust payroll and HR services software/tool that has become an essential component for many businesses worldwide. This well-designed platform streamlines and automates various payroll and HR-related tasks, such as employee timesheet tracking, managing employee benefits, attendance, and tax document processing. The intuitiveness and efficiency of the user interface make it easy to navigate and allows businesses to focus on their core operations. This software easily adapts to the unique needs of various industries, providing tailored solutions that help organizations stay compliant and save time. On a scale of 1 to 5, ADP earns a solid 5 for its ease of use, comprehensive features, and excellent customer support.

Now, let’s talk about some of the coolest features of ADP! The analytical and reporting capabilities of this tool are truly next-level, providing you with insights on employee trends and actionable data, enabling you to make well-informed HR and payroll decisions. Another impressive feature is its seamless integration with other enterprise systems, such as ERP and accounting software, which makes the overall data management hassle-free. ADP’s mobile app is also a game-changer, as it allows employees and managers to access crucial information and perform tasks on-the-go, fostering flexibility and convenience. The tool’s constant updates to stay compliant with tax laws and regulations ensure businesses remain up-to-date without any extra effort. Honestly, ADP is a game-changing tool, and its feature set is outstanding, transforming the way organizations manage their payroll and HR processes.

FactSet (financial data and analytics)

Rating: 4.5/5

FactSet is a highly sophisticated financial data and analytics software that enables finance professionals to access, analyze, and share crucial data for informed decision-making. This powerful tool provides a comprehensive platform with a wealth of features, including data feeds and APIs, research management, portfolio analysis, risk management, and customizable reporting tools. With its remarkable capacity to integrate thousands of data sources into a single, streamlined interface, FactSet has become a top choice for asset managers, risk analysts, and financial research experts seeking actionable intelligence in today’s ever-evolving market landscape.

When it comes to the coolest features of FactSet, there’s a lot to be excited about! For starters, FactSet’s extensive integration capabilities allow users to seamlessly combine various data sources, including proprietary data and third-party providers. This empowers users with a more comprehensive view of the financial landscape and makes it much easier to identify trends, risks, and opportunities. Additionally, the platform’s powerful analytics engine enables finance professionals to perform sophisticated quantitative analysis and modeling using state-of-the-art statistical and machine learning methods. The interactive and visually engaging dashboard also allows users to create customized visuals and graphics to help communicate critical financial insights more effectively. FactSet’s collaborative tools make it easy to share data, analysis, and reports with your team, ensuring everyone stays informed and aligned. With all these amazing features, it’s no wonder FactSet is an indispensable tool for finance professionals!

Thomson Reuters Eikon (financial data and news)

Rating: 4.5/5

Thomson Reuters Eikon is an innovative and comprehensive financial data and news platform designed to cater to the needs of professionals in the finance industry. This powerful tool integrates market data, analytics, trading, and messaging capabilities, allowing users to make timely and informed decisions based on accurate insights. Eikon stands out for its ability to provide a sophisticated and user-friendly experience while ensuring seamless access to relevant information. Its compatibility with various asset classes, including equities, fixed income, foreign exchange, and commodities, establishes Eikon as a one-stop solution for financial data and news dissemination.

Now, let’s delve into the coolest features that make Thomson Reuters Eikon stand out from the crowd! Users are sure to be thrilled by the cutting-edge visualization tools which provide striking clarity and impressive presentation of the data. With their powerful coding capabilities, the Eikon Data API presents endless customization opportunities for advanced analysts. The icing on the cake is Eikon’s intelligent search functionality, making it effortless to fetch the most relevant information among the vast databases it has access to. Additionally, Eikon Messenger is incredibly handy, enabling users to connect with other professionals in the financial industry, fostering collaboration and knowledge sharing. It’s no wonder why Thomson Reuters Eikon is a preferred tool among financial enthusiasts and seasoned professionals alike!

Bloomberg Professional (financial data and news)

Rating: 4.5/5

Bloomberg Professional is a leading financial data and news software, designed to provide finance professionals with extensive market information, data analytics, and communication capabilities. This all-inclusive tool offers rich insights into various asset classes, in-depth analytical instruments, and real-time financial news, enabling informed decision-making for investors, traders, and other market players. Bloomberg Professional streamlines the understanding of financial markets and trends through its user-friendly interface and powerful search functions, catering to the needs of its vast user base.

Now, let’s talk about some of the coolest features of Bloomberg Professional that undoubtedly make it a must-have tool for financial enthusiasts! Firstly, the Launchpad functionality allows users to create fully customizable and interactive workspaces, ensuring they have immediate access to all the relevant and vital data they need. And, of course, who could forget the Bloomberg Terminal Chat feature? This exciting addition makes it possible for professionals to connect, share ideas, and forge essential relationships with peers, paving the way for exceptional real-time collaboration. Not to mention, Bloomberg’s powerful predictive analytics and back-testing lounge help you dig deeper into investment ideas and make more precise financial forecasts – a truly indispensable tool in today’s fast-paced market!

Quodd (real-time financial market data)

Rating: 4.5/5

Quodd is an exceptional real-time financial market data tool that provides users with comprehensive, accurate, and reliable information on a wide array of global markets. As an expert reviewer, I find Quodd to be both user-friendly and incredibly versatile, catering to investment professionals, brokers, traders, and financial researchers alike. Combining its low-latency infrastructure with state-of-the-art technological advancements, Quodd delivers optimal performance, ensuring its users stay ahead of ever-changing market conditions.

Now, let’s talk about Quodd’s coolest features! Standing out from the competition, Quodd’s UltraCache technology places the power of data manipulation right at your fingertips. Say goodbye to lagging data as Quodd’s unparalleled low-latency infrastructure keeps you in sync with the pulse of the market, giving you the edge you need to make informed decisions. Additionally, Quodd offers customization options that enable you to craft a data feed suitable to your unique industry requirements. But wait, there’s more! Quodd’s robust data offering covers everything from Level I & II quotes, full order book depth, historical data, and much more! Experience financial market data like never before with Quodd.

Intrinio (financial data feeds)

Rating: 4.8/5

Intrinio is an innovative and robust financial data platform designed to cater to the needs of everyone from individual investors to large enterprises, providing a wide array of data feeds that encompass a vast range of financial data. The platform excels in offering high-quality, comprehensive data spanning across several domains, including financial statements, economic data, stock market data, and more. What sets Intrinio apart is its commitment to accessibility and affordability, making it a perfect choice for businesses of all sizes and individuals with varied financial expertise. Based on its versatility, ease of use, and the sheer volume of data it provides, I would rate Intrinio 4.8 out of 5.

Intrinio’s coolest features are undeniably its impressive variety of data feeds and seamless integration capabilities! The platform offers more than 200 data types for thousands of companies worldwide, empowering users to access cutting-edge information on stocks, options, commodities, Forex, ETFs, and many more. With tools like the Excel add-in or an assortment of APIs, users can conveniently extract the precise data they require and integrate it with their existing tools, analytical applications, or software solutions. Moreover, Intrinio’s user-friendly Web App makes it simple to analyze data online and share valuable insights seamlessly with your team or clients. Get ready to supercharge your financial analysis with Intrinio!

Refinitiv (financial data and infrastructure)

Rating: 4.5/5

Refinitiv is a cutting-edge financial data and infrastructure software that provides users with an extensive range of tools and resources for better decision-making and enhanced workflow productivity. This comprehensive platform offers insightful analytics, current and historical financial data, expert research, and powerful collaboration tools to streamline the user experience. As an expert reviewer, I am impressed by the seamless integration of various features within the software and the user-friendly interface, which makes accessing reliable financial data an effortless task. Based on its extensive capabilities, I would rate Refinitiv a solid 4.5 out of 5.

Now, let’s dive into some of the coolest features of Refinitiv that are sure to blow your mind! The software facilitates detailed analysis with its Eikon Data API, allowing users to access an extensive range of data with unparalleled speed and accuracy. Moreover, the platform’s intuitive visualization tools make data interpretation a breeze, allowing you to conquer even the most complex financial markets. To top it all off, Refinitiv’s innovative collaboration tools and flawless integration with Microsoft products enable users to share their findings with their team effortlessly, fostering a seamless and effective communication channel. With Refinitiv, the sky is the limit when it comes to discovering unparalleled financial insights!

Morningstar Direct (institutional investment research)

Rating: 4.8/5

Morningstar Direct is an exceptional institutional investment research software and analytics tool designed to cater to the needs of asset managers, wealth managers, and asset owners. It provides a versatile platform that offers an extensive range of advanced analytics, robust research capability, and visual presentation features that are crucial for making informed investment decisions. This all-encompassing tool grants users access to comprehensive data on investment vehicles like stocks, bonds, ETFs, and mutual funds, allowing them to analyze portfolios, screen investments, and assess performance. Taking into account the capabilities and essential features that Morningstar Direct offers, I would rate this tool at a solid 4.8 out of 5.

Now, let me share some of the coolest features that make Morningstar Direct stand out in the investment research environment! The software boasts a sleek and customizable user interface that allows users to view investment data and perform detailed analysis with ease. One of the most innovative aspects of this tool is the incorporation of Artificial Intelligence (AI) in the form of the Morningstar Quantitative Rating, which predicts the future performance of funds by simulating the decisions of expert analysts. Additionally, Morningstar Direct empowers users to construct powerful benchmarks, perform peer group analysis, and create visually stunning marketing presentations to showcase their strategies. Without a doubt, this advanced software not only simplifies the entire investment research process, but also enables users to gain valuable insights and fine-tune their investment strategies based on robust research capability.

S&P Capital IQ (financial research and analysis)

Rating: 4.5/5

S&P Capital IQ is a comprehensive financial research and analysis tool that offers an extensive range of data and intelligence for professionals across various industries including finance, investment, and corporate strategy. This powerful platform provides users with an impressive array of financial data points such as company financials, market and economic data, valuations, and mergers and acquisitions information. By leveraging predictive analytics, robust data visualization tools, and seamless Excel integration, S&P Capital IQ streamlines the decision-making process and helps businesses make informed decisions backed by solid evidence. Rating: 4.5/5

Now, hold onto your hats because S&P Capital IQ has some seriously amazing features that will blow your mind! This incredible platform allows users to access a global database of millions of public and private companies, as well as detailed financial data on various fixed income instruments, industry metrics, and more. Are you a fan of customizable charts? Well, get ready to dive into a plethora of advanced charting functionality that will make visualizing complex information a breeze! And let’s not forget the Excel Plug-in that transforms your spreadsheet into a supercharged financial analysis tool, allowing you to easily import, compare, and analyze vast amounts of data on companies, sectors, and financial markets. Get ready to elevate your financial analysis game with S&P Capital IQ!

Moody’s Analytics (financial research and risk management)

Rating: 4.5/5

Moody’s Analytics is a cutting-edge financial research and risk management software designed to provide comprehensive solutions for both investors and financial industry professionals. With a strong commitment to innovation and consistent data accuracy, this suite of powerful tools enables users to make informed and timely decisions by leveraging robust predictive analytics, credit risk modeling, and actionable insights into global financial markets. A product of years of expertise in credit analysis, Moody’s Analytics helps navigate today’s complex financial landscape with speed and efficiency.

Now, let’s dive into the coolest features of Moody’s Analytics! One of the most fantastic aspects of this software is its extensive library of customizable credit risk models, empowering you to build unique analyses tailored to your requirements. Another standout feature is the award-winning Economic Scenario Generation system, which allows you to simulate and predict potential market outcomes by adjusting various economic variables. And if you’re a visual learner, you’ll love the interactive global heatmap, offering an at-a-glance synthesis of credit risk across multiple countries and industries. Moody’s Analytics is undoubtedly a must-have tool for anyone looking to tackle financial challenges with confidence and expertise!

Riskalyze (risk assessment software)

Rating: 4.5/5

Riskalyze (now rebranded as Nitrogen) is an innovative risk assessment software that serves as an indispensable tool for financial advisors, providing them with a comprehensive approach to risk management. With an intuitive user-interface and robust features, the software effectively empowers advisors to efficiently evaluate their clients’ risk tolerance levels and align their portfolio accordingly. Taking a scientific, quantitative approach to analyze risk, Riskalyze generates a unique “Risk Number” for each investor, streamlining the process of making well-informed investment decisions.

If there’s one thing to get excited about with Riskalyze, it’s the incredible coolest features this software brings to the table! First and foremost, the groundbreaking Risk Number system which not only simplifies risk gradient measurement but also enables investors to mitigate losses with a personalized approach. The Retirement Plans feature seamlessly integrates the retirement scenario planning process into the risk assessment framework, crafting a holistic view of potential retirement outcomes. Additionally, the Compliance Cloud is a game-changer, ensuring advisors and their clients remain fully compliant with ever-evolving regulatory environments. Riskalyze truly stands out as a premier risk assessment tool, revolutionizing the way financial advisors cater to individual investor needs.

BlackRock Aladdin (investment and risk management)

Rating: 4.5/5

BlackRock Aladdin is a remarkable investment and risk management software/tool that has established itself as an authoritative player in the finance industry. With its state-of-the-art technology and sophisticated features, Aladdin directs users towards making informed decisions and mitigating risks in their investment portfolios. From asset allocation to comprehensive analytics, the tool assists in addressing complexity and providing efficient insights into investment strategies for both institutional and wealth management clients. Considering its holistic approach towards risk management and investment planning, I would rate BlackRock Aladdin a solid 4.5 out of 5.

Now, let me elucidate some of the coolest features of BlackRock Aladdin in an enthusiastic tone! The platform’s cutting-edge AI technology instills a sense of confidence in its users, unraveling complex market patterns and offering actionable insights in real-time. Its integrated trading and portfolio management capabilities create a seamless experience, streamlining the entire investment process. Moreover, Aladdin’s robust, cloud-based infrastructure ensures top-notch security and accessibility. The platform’s impressive, user-friendly interface and customizable dashboards allow users to keep a close eye on every aspect of their portfolios, making it an indispensable tool for any serious investor. So gear up for a thrilling journey of investment mastery with BlackRock Aladdin!

Calypso/Adenza (trading and risk management)

Rating: 4.5/5

Calypso (now rebranded as Adenza) is a comprehensive and sophisticated trading and risk management tool designed to cater to the needs of various industry segments including banks, hedge funds, central banks, asset managers, and insurance companies. It encompasses end-to-end processing capabilities including front-to-back office trade processing, collateral management, funding optimization, and liquidity management. Built on a distributed architecture, Calypso offers unparalleled support for cross-asset trading, risk management, and scalability, enabling users to effectively manage their trading operations while remaining compliant with evolving regulations.-

Calypso’s coolest features provide users with unparalleled ease and efficiency! The platform’s real-time, cross-asset trading capabilities allow for seamless management across different asset classes and product types, including complex derivatives. The powerful risk management module provides cutting-edge analytics, enabling users to evaluate risk across an entire portfolio, mitigating potential losses and enhancing strategic decision-making processes. Another standout feature is Calypso’s collateral management system, which streamlines collateral optimization and enables the optimal use of assets. The system’s modularity and flexibility make it adaptable to various business requirements, proving Calypso to be an essential tool for staying ahead in the ever-evolving financial industry!

Oracle Financial Services (banking and financial solutions)

Rated a 4.5 out of 5

Oracle Financial Services is a comprehensive suite of banking and financial solutions designed to meet the diverse needs of financial institutions. Combining cutting-edge technology with unparalleled industry expertise, Oracle’s innovative software offers robust functionality spanning core banking, risk management, analytics, and customer experience. With a focus on addressing the evolving regulatory and compliance environment, this integrated solution empowers organizations to streamline their operations, drive growth, and deliver exceptional customer service. Rated a 4.5 out of 5, Oracle Financial Services sets the standard for end-to-end banking and financial platforms.

Now, let’s talk about some of Oracle Financial Services’ coolest features! One standout is the Oracle Financial Services Analytical Applications (OFSAA), a powerful set of tools offering banks deep insight into their business data. The platform’s risk management capabilities are also top-notch, providing advanced risk analytics and a comprehensive risk reporting framework. Not to mention, Oracle’s flexible architecture allows seamless integration with third-party systems, ensuring an adaptive and future-proof solution for any organization. With these remarkable features and more, Oracle Financial Services truly revolutionizes the way financial services adapt and thrive in an increasingly dynamic era.

SAS (analytics and risk management)

Rating: 4.5/5

SAS is a versatile and powerful software suite that offers comprehensive analytics and risk management solutions to businesses and organizations worldwide. This tool is known for its cutting-edge visual interface and user-friendly approach, making complex and extensive data analytics tasks seamlessly accessible to users without a technical background. With a broad array of functionality ranging from data exploration and predictive modeling to risk assessment and reporting, SAS empowers its users to transform raw data into actionable insights and address risk-related challenges strategically. The software stays ahead of the curve by continuously integrating the latest developments in the world of data analytics and risk management.

SAS has some jaw-dropping features that set it apart from other analytics tools available in the market. One of its coolest features is the incorporation of advanced Artificial Intelligence (AI) and Machine Learning (ML) techniques to facilitate predictive modeling, analysis, and forecasting while crunching massive amounts of data. SAS Visual Analytics is another game-changing component that allows users to create visually engaging reports, dashboards, and interactive applications with ease. It’s there to make sure that even the most complex information and analytics findings can be effortlessly communicated and shared among team members and decision-makers. Moreover, the tool’s proficiency in handling risk management aspects like fraud detection, stress testing, and credit risk modeling only adds to its impressive list of features. With SAS, there’s truly no limit to the insights and benefits you can derive from your data.

Frequently Asked Questions (FAQ)

Q: How can finance tools help me become part of the financial elite?

A: Finance tools provide individuals with the necessary tools and insights to make informed financial decisions. By utilizing advanced budgeting, expense tracking, investment analysis, and trading platforms, you can enhance your financial expertise and stay ahead of market trends, increasing your chances of achieving financial success and joining the ranks of the financial elite.

Q: Are these finance tools suitable for beginners?

A: Yes, many of the finance tools mentioned in the article are designed to cater to users of all levels, including beginners. They offer intuitive interfaces, educational resources, and step-by-step guidance to help individuals grasp financial concepts and make effective use of the tools, regardless of their prior knowledge or experience.

Q: How can artificial intelligence and machine learning benefit my financial management?

A: Artificial intelligence and machine learning algorithms embedded in finance tools can provide valuable insights and automate repetitive tasks. These technologies can analyze financial data, detect patterns, and offer personalized recommendations for budgeting, investment opportunities, and risk management. By leveraging AI and machine learning, you can save time, make data-driven decisions, and optimize your financial strategies.

Q: What is decentralized finance (DeFi), and how can it impact my financial journey?

A: Decentralized finance (DeFi) refers to financial applications built on blockchain technology, offering transparent, secure, and peer-to-peer financial services. DeFi tools enable users to participate in lending, borrowing, and yield farming activities, bypassing traditional intermediaries. By embracing DeFi platforms, you can access new investment avenues, earn higher yields, and enjoy greater control over your financial assets.

Q: Do I need to have a strong financial background to use these tools effectively?

A: While a strong financial background can be advantageous, many of the finance tools featured in the article are designed to be user-friendly and accessible to individuals of various backgrounds. However, it is still beneficial to have a basic understanding of financial concepts to fully utilize these tools and make informed decisions. Continuous learning and staying updated with financial trends will enhance your overall effectiveness in using these tools.

Q: Can these finance tools guarantee financial success?

A: Finance tools provide valuable assistance in managing finances and making informed decisions, but they do not guarantee financial success. Ultimately, achieving financial success depends on various factors, including personal financial discipline, market conditions, and individual investment strategies. These tools act as enablers, providing insights and tools to optimize your financial management, but success is determined by the actions and decisions you make.

Q: Are these finance tools expensive to use?

A: The cost of finance tools can vary depending on the specific tool and its features. Many tools offer free versions or trial periods with limited functionality, while premium versions may require a subscription or one-time payment. It is advisable to research and compare different tools to find the ones that best suit your needs and budget. Additionally, the potential benefits and returns generated from using these tools may outweigh their costs in the long run.

Conclusion

Ultimately, the financial elite of 2023 will be those who embrace innovation, leverage cutting-edge finance tools, and combine them with their expertise and experience. These individuals will be able to navigate the complexities of the financial landscape with confidence, making strategic decisions that yield profitable outcomes. By incorporating the top finance tools mentioned in this article into their financial toolkit, aspiring individuals can position themselves as frontrunners in the pursuit of financial success and join the ranks of the financial elite in this dynamic and exciting era of finance.

The post 50 of the Top Finance Tools You Need To Know in 2023 to be Part of the Financial Elite appeared first on Due.

John Rampton

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September 4, 2023
Is Zoom Video Communications (ZM) Worth Chasing in September? | Entrepreneur
Zoom Video Communications (ZM) has raised its outlook for the third quarter and expects to grow its operations in the Asia-Pacific region. Does this mean the stock is a buy now? Let’s look at the financial metrics of ZM to gauge its prospects….

Zoom Video Communications, Inc. (ZM), a leading provider of communication platforms, recently posted impressive second-quarter earnings. In addition, the company’s forecasted profits for the third quarter have outperformed Wall Street predictions, with an adjusted profit per share anticipated to fall between $1.07 and $1.09, a figure surpassing the Refinitiv analysts’ average estimate of $1.03.

Even though the company’s revenue expansion no longer matches the fourfold increase witnessed during the global pandemic, there is still a sense of optimism within ZM. The confidence primarily emanates from solid technical investments and what appears to be significant potential for growth in the Asia-Pacific region.

Considering these factors, it would be prudent to examine the trends of ZM’s primary financial indicators to understand better the potential benefits of investing in its stock.

Analyzing Zoom Video Communications’ Financial Performance Trends: Growth, Downturn, and Volatility (October 2020 – July 2023)

ZM’s reported Price/Earnings ratio (P/E) exhibited significant fluctuations and a trend of sharp boom and bust over the series interval. Notably, several key points clearly illustrate this trend:
- Beginning in October 2020, ZM’s P/E was notably high at 275.598.
- A consistent decline occurred over the following year, reaching a low of 23.468 in January 2022. This represents a decrease of about 91.49% from the original value in October 2020.
- A modest uptick occurred over the following months, bringing ZM’s P/E to 31.877 in October 2022.
- However, a sudden and substantial surge occurred at the beginning of 2023, skyrocketing ZM’s P/E to an unprecedented 3,521.008 in April 2023 – a growth of approximately 11,076.38% from its value in January 2023.
- As quickly as it shot up, ZM’s P/E plummeted back down to 144.755 in July 2023, reflecting yet another dramatic shift.
From the data, we understand that ZM’s P/E experienced considerable volatility, which was characterized by a significant downturn between October 2020 and January 2022, a modest recovery for the rest of 2022, an extreme surge in early 2023, and a sudden fall by July 2023.

The trend and fluctuations in the trailing-12-month revenue of ZM show a largely consistent increase over the reported period, though the sharpness of the increase begins to level off gradually as we move towards more recent data. Here are notable points:
- On October 31, 2020, the revenue was $1.96 billion.
- By January 31, 2021, there was a considerable increase to $2.65 billion.
- A steady rise is observed through 2021, with an evident peak at $3.91 billion by October 31, 2021.
- The first half of 2022 showcases a somewhat slower upward trend, but the revenue still manages to rise to $4.29 billion by July 31, 2022.
- Revenue continues to grow but at a diminishing rate, reaching $4.35 billion by October 31, 2022, and $4.39 billion by January 31, 2023.
- From April to July 2023, the growth is marginal, going from $4.42 billion to $4.46 billion.
There is a substantial increase when we measure the growth rate from the first value to the last. The revenue has gone from $1.96 billion in October 2020 to $4.46 billion by July 2023. This signifies a growth of approximately 128%. This growth showcases how ZM has significantly expanded its revenue base over the period.

The gross margin for ZM shows an overall upward trend over the evaluated period. Here is a summary of the percentage fluctuation over time:
- October 2020: 70%
- January 2021: 69%
- April 2021: 70%
- July 2021: 71.1%
- October 2021: 72.8%
- January 2022: 74.3%
- April 2022: 75.1%
- July 2022: 75.2%
- October 2022: 75.5%
- January 2023: 74.9%
- April 2023: 75.1%
- July 2023: 75.5%
Though the company experienced a slight dip in January 2021, it quickly recovered and maintained a consistent growth trajectory. The gross margin peaked at 75.5% in October 2022 and July 2023. From the start of the period in October 2020 (70%) to the end in July 2023 (75.5%), the growth rate indicates an increase of around 5.5%.

The last observed value in July 2023 was similar to the peak value reached in October 2022, offering a sign of consistency in the company’s gross margin over time. Despite minor fluctuations, the data depicts a positive upward trend for ZM’s gross margin in the given time frame.

Based on the comprehensive data presented, the current ratio of ZM has shown an overall increasing trend from October 2020 to July 2023, with some fluctuations in between.
- In October 2020, the current ratio was 1.86.
- It saw a significant increase by January 2021, reaching 3.80, and has remained above 3 since then.
- However, there were periods of minor drops: April 2021 (3.50), July 2021 (3.46), April 2022 (3.63), July 2022 (3.44), and October 2022 (3.24).
- After dropping to 3.24 in October 2022, it increased again, reaching 3.66 in January 2023, 3.56 in April 2023, and peaking at 3.99 in July 2023.
The growth rate from October 2020 (1.86) to July 2023 (3.99), calculated from the first to the last value in the series, is approximately 114%. The current ratio peaks twice during the period, first in January 2021 (3.80) and then in July 2023 (3.99). However, regular fluctuations demonstrate a level of volatility in ZM’s financial liquidity.

The most recent data from 2023 indicates an improving trend in the company’s current ratio, implying a stronger ability for the company to meet its short-term obligations.

Analyzing the Volatility Trends in Zoom Video Communications Share Prices in 2023

Below, you can find the analysis of the data for ZM:
- On March 10, 2023, the share price was $67.99.
- This gradually increased, reaching $72.24 on April 6, 2023.
- However, by the end of April, there was a notable decrease in the share price to $62.89.
- In May, there was an overall trend of growth where the price rose from $61.93 to $67.37.
- The price fluctuated slightly during June, seeing a slight peak at $69.09 and ending the month at $67.79.
- In July 2023, we observed another significant rise, with the share price reaching $72.28 but dropping slightly at the end of the month to $71.29.
- Furthermore, in August, there was a decline where the share price dropped to $66.28 before picking up again at the end of the month.
- On September 1, 2023, the share price was $71.72.
In terms of growth rate, the price demonstrated an initial increasing trend up until April, followed by a sharp deceleration until the end of the same month. The share price then started to grow again, with some fluctuations, reaching a peak in July and then decreasing in August, followed by a final increase in early September.

This pattern signifies a certain level of volatility in the stock’s performance over the examined period. Here is a chart of ZM’s price over the past 180 days.

Zoom Video Communications Shows Remarkable Growth, Quality, and Value in 2023

The POWR Ratings grade for the company ZM, which falls under the Technology – Services category, has shown some improvements over the period from March 11, 2023, to September 2, 2023. Here’s a summary of its performance:
- From March 11, 2023, to April 1, 2023, ZM held a steady B (Buy) POWR grade and ranked #26 out of 77 stocks in its category.
- In April 2023, it improved slightly, ranking #24 during the weeks of April 8 and April 15 and eventually reaching the #22 position by the week of April 22. By the end of the month (April 29), it had moved up to the #21 position.
- During May 2023, ZM’s rank fluctuated between #24 and #18 while maintaining its B (Buy) POWR grade.
- Continuing into June 2023, there was a promising improvement as ZM reached the #16 rank during the weeks of June 3 and June 17. However, the month ended with a drop as its rank fell back to the #22 position on June 24.
- The month of July saw similar performance, with the rank fluctuating between #22 and #17 while still maintaining the B (Buy) POWR grade.
- In August, ZM saw a substantial improvement, ending the month with a B (Buy) POWR grade and a #9 rank in the category as of September 4, 2023.
Although the ranking fluctuated from March to August, the latest data shows a significant improvement both in POWR grade and rank within its category.

Based on the POWR Ratings for ZM, the three most noteworthy dimensions are Growth, Quality, and Value. These dimensions have the highest values in the data.
- Growth: The Growth ratings steadily improved from March 2023 to September 2023. It began with a score of 66 in March 2023, maintained until April of the same year, then gradually climbed to 93 by September 2023. This steady increase indicates an ongoing positive trend in ZM’s capacity to expand its market share or sales revenue.
- Quality: The Quality dimension consistently got high scores, starting at 82 in March 2023 and incrementally increasing to reach a peak of 91 by September 2023. High and increasing scores demonstrate ZM’s consistent performance and robust financial health over the examined timeframe.
- Value: Starting at 81 in March 2023, the Value rating saw minor fluctuations but remained generally stable or slightly increasing. By the last assessment in September 2023, it reached 85. This consistently high rating shows ZM’s ability to provide good value to its investors.
From these observations and trends, one can infer that ZM performed noticeably well regarding Growth, Quality, and Value across the dated range.

How does Zoom Video Communications, Inc. (ZM) Stack Up Against its Peers?

Other stocks in the Technology – Services sector that may be worth considering are Serco Group plc (SCGPY), NetScout Systems, Inc. (NTCT), and Teradata Corporation (TDC) – they have better POWR Ratings. Click here to see the stocks in the Technology – Services industry.

What To Do Next?

Get your hands on this special report with 3 low priced companies with tremendous upside potential even in today’s volatile markets:

3 Stocks to DOUBLE This Year >

ZM shares were unchanged in premarket trading Monday. Year-to-date, ZM has gained 5.88%, versus a 18.87% rise in the benchmark S&P 500 index during the same period.

About the Author: Anushka Dutta

Anushka is an analyst whose interest in understanding the impact of broader economic changes on financial markets motivated her to pursue a career in investment research.

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The post Is Zoom Video Communications (ZM) Worth Chasing in September? appeared first on StockNews.com
Anushka Dutta

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September 4, 2023
Step Into September With 3 Strong Energy Buys | Entrepreneur

Forecasts by industry professionals indicate an upswing in oil prices due to increased demand and supply constraints. The rising price trends could significantly strengthen the energy sector in the near term. Therefore, entering September, fundamentally strong energy stocks BP p.l.c. (BP), Transportadora de Gas del Sur S.A. (TGS), and GeoPark Limited (GPRK) could be solid additions to your portfolio. Read on….

Escalating demand for crude oil, accompanied by restricted supply, is projected to bolster crude oil prices even further. This trend harbors the potential to enable enduring growth within the energy sector. Therefore, it could be worth investing in quality energy stocks BP p.l.c. (BP), Transportadora de Gas del Sur S.A. (TGS), and GeoPark Limited (GPRK) now.

Before a comprehensive analysis of these stocks, it is prudent to familiarize ourselves with what’s shaping the energy sector’s prospects.

Despite various economic and geopolitical challenges affecting most sectors, the energy sector has demonstrated remarkable resilience. The third quarter of 2023 is predicted to see increased global oil demand, owing predominantly to a surge in international air travel and the intensive summer driving season.

Goldman Sachs predicts that the robustness of this demand could create an unexpected deficit of up to 1.8 million barrels per day (bpd) in the second half of 2023 and a deficit of 600,000 bpd in 2024.

In addition to rising demand, declining U.S. inventories and additional OPEC+ output cuts are expected to provoke supply chain bottlenecks, subsequently elevating crude oil prices.

Alongside these market dynamics, concerns spring from the recent military coup in OPEC member country Gabon, which produces around 200,000 bpd of oil. Although these production volumes might be small, any disruption in the already strained oil market could significantly affect crude oil prices.

Amid these conditions, a bullish sentiment is growing in oil markets. On September 1, the per-barrel price for West Texas Intermediate (WTI) crude oil reached $85, representing this year’s peak.

Moreover, Standard Chartered anticipates that efficient output restraint by producers, led by Saudi Arabia, will pave the way for a price rally that will push Brent prices above the peak of $89.09/bbl achieved earlier this year, with their average fourth-quarter forecast at $93/bbl and a probable intra-quarter high surpassing $100/bbl.

Investor enthusiasm for energy stocks is evidenced by SPDR S&P Oil & Gas Exploration & Production ETF’s (XOP) 3.8% returns in the past five days, outperforming the broader S&P 500’s 1.8% increase.

Considering these favorable trends, we will now delve into the fundamentals of the three quality stocks from the B-rated Foreign Oil & Gas industry, starting with the third choice.

Stock #3: BP p.l.c. (BP)

Headquartered in London, United Kingdom, BP produces natural gas and integrated gas and power, gas trading, onshore and offshore wind power operation, and hydrogen and carbon capture and storage facilities. The company operates through Gas & Low Carbon Energy; Oil Production & Operations; and Customers & Products segments.

On August 15, BP led a $12.5 million Series A financing, with additional investors including Clean Energy Ventures, Mitsubishi Heavy Industries, and GVP Climate in Low-Cost Hydrogen Electrolyzer Innovator, Advanced Ionics. This should bode well for the company.

Also, on August 3, BP made a £4 million investment in Dynamon, a UK-based software company specializing in developing advanced data analytics and simulation tools for commercial transport and logistics companies.

Along with the investment, Dynamon and BP have signed a commercial agreement to utilize ZERO or similar tools. Working together will help BP pulse diversify its fleet proposition and further develop its premium customer offer, supporting customers as they increasingly adopt EV solutions.

BP has announced a dividend per ordinary share of $0.727. BP pays a $1.74 per share dividend annually, translating to a 4.58% yield on the current share price. Its four-year average dividend yield is 6.20%.

BP also intends to execute a further $1.5 billion share buyback before reporting third quarterly results, following $4.5 billion in share buybacks already announced and completed this year.

BP’s trailing-12-month ROCE and ROTC of 27.2% and 16.72% are 26.3% and 57.7% higher than the industry averages of 21.57% and 10.60%, respectively. Its trailing-12-month cash from operations of $35.77 billion is significantly higher than the industry average of $653.45 million.

BP’s EBITDA grew at CAGRs of 35.4% and 11.6% over the past three and five years, respectively. In addition, its levered free cash flow grew at 42.3% and 30% CAGRs over the past three and five years, respectively.

For the fiscal second quarter that ended June 30, 2023, BP’s total revenues and other income stood at $49.48 billion. Its profit and profit attributable to BP shareholders per ADS came in at $1.95 billion and $0.60, respectively. Moreover, its adjusted EBITDA amounted to $9.77 billion.

BP’s operating cash flow stood at $6.29 billion. Also, as of June 30, 2023, its current liabilities were $81.47 billion, compared to $98.70 billion as of December 31, 2022.

BP’s revenue and EPS are expected to be $218.05 billion and $5.33, respectively, in the fiscal year ending December 2023. For the fiscal year 2024, its revenue is expected to come to $215.15 billion, and EPS is expected to increase 3.8% year-over-year to $5.53.

Shares of BP have gained 22.5% over the past year to close the last trading session at $38.13. Over the past three months, it gained 7%.

BP’s solid fundamentals are reflected in its POWR Ratings. The stock has an overall rating of B, which equates to Buy in our proprietary rating system. The POWR Ratings are calculated by considering 118 different factors, with each factor weighted to an optimal degree.

BP also has an A grade for Momentum and a B for Quality. It is ranked #13 out of 43 stocks in the B-rated Foreign Oil & Gas industry.

To see BP’s grades for Growth, Value, Stability, and Sentiment, click here.

Stock #2: Transportadora de Gas del Sur S.A. (TGS)

Headquartered in Buenos Aires, Argentina, TGS transports natural gas produces, and commercializes natural gas liquids in Argentina. The company has four segments: Natural Gas Transportation Services; Liquids Production and Commercialization; Other Services; and Telecommunications.

Its trailing-12-month CAPEX/Sales of 27.47% is 97.5% higher than the industry average of 13.91%.

TGS’ revenue grew at CAGRs of 25.7% and 32% over the past three and five years, respectively. In addition, its total assets grew at 80.7% and 89% CAGRs over the past three and five years, respectively.

TGS’ sales revenues stood at ARS56.71 billion ($162.04 million) for the fiscal second quarter that ended June 30, 2023, while its gross profit came at ARS21.14 billion ($60.40 million). Its operating profit came at ARS15.12 billion ($43.20 million). Its total comprehensive income stood at ARS12.10 billion ($34.58 million), up 5.8% year-over-year.

The company’s total current assets stood at ARS158.04 billion ($451.58 million) as of June 30, 2023, compared to ARS116.41 billion ($332.61 million) as of December 31, 2022.

TGS’ revenue and EPS are expected to come at $662.62 million and $0.65 for the fiscal year ending December 2023. For the fiscal year 2024, its revenue and EPS are expected to come at $1.07 billion and $1.21, up 62.1% and 86.2% year-over-year, respectively. Moreover, it surpassed consensus EPS estimates in three of the trailing four quarters.

The stock has gained 80.6% over the past year to close the last trading session at $12.46. Over the past six months, it gained 16.6%.

TGS’ POWR Ratings reflect a positive outlook. The stock has an overall B rating, which indicates a Buy in our proprietary rating system.

TGS has a B grade for Value, Momentum, and Quality. Within the same industry, it is ranked #10.

Click here for TGS’ additional POWR Ratings (Growth, Stability, and Sentiment).

Stock #1: GeoPark Limited (GPRK)

Headquartered in Bogotá, Colombia, GPRK is engaged in developing and producing oil and gas reserves in Chile, Colombia, Brazil, Argentina, and Ecuador.

On August 9, GPRK announced a quarterly dividend of $0.132 per share, payable to the shareholders on September 7. GPRK pays a $0.53 per share dividend annually, translating to a 5.62% yield on the current share price. Its four-year average dividend yield is 1.56%. The company’s dividend payouts have grown at a CAGR of 84.7% over the past three years.

GPRK’s trailing-12-month levered FCF margin of 14.65% is 135.1% higher than the industry average of 6.23%. Its trailing-12-month ROCE, ROTC, and ROTA of 222.38%, 34.25%, and 19.67% are 931.1%, 223.1%, and 144% higher than the industry averages of 21.57%, 10.60%, and 8.06%, respectively.

GPRK’s EBITDA grew at CAGRs of 35.2% and 16.8% over the past three and five years, respectively. In addition, its levered free cash flow grew at 26.9% and 8.1% CAGRs over the past three and five years, respectively.

In June 2023, nine rigs were in operation (five drilling rigs and four workover rigs), and for the third quarter of 2023, three more rigs will be added (two drilling rigs and one workover rig).

The company acquired 1.7 million shares for $18.6 million in the first six months of 2023, representing approximately 3% of shares outstanding.

In the fiscal second quarter that ended June 30, 2023, GPRK’s revenue stood at $182.30 million, while its operating profit came at $69.50 million. Its net profit stood at $33.80 million.

Moreover, its cash and cash equivalents for the same quarter stood at $86.40 million. The company’s total current liabilities stood at $172 million as of June 30, 2023, compared to $229.20 million as of December 31, 2022.

The consensus revenue and EPS estimates stood at $770.34 million and $2.77, respectively, for the fiscal year ending December 2023, while for the fiscal year ending December 2024, its revenue and EPS are expected to increase 5.1% and 8.1% year-over-year to $809.51 million and $2.99, respectively. It surpassed the consensus revenue estimates in three of the four trailing quarters.

GPRK’s shares have gained marginally over the past month to close its last trading session at $9.39.

It is no surprise that GPRK has an overall B rating, equating to Buy in our POWR Ratings system.

GPRK has a B grade for Value, Sentiment, and Quality. Within the Foreign Oil & Gas industry, it is ranked #8.

Click here to see GPRK’s additional POWR Ratings for Growth, Momentum, and Stability.

What To Do Next?

Get your hands on this special report with 3 low priced companies with tremendous upside potential even in today’s volatile markets:

3 Stocks to DOUBLE This Year >

BP shares were unchanged in premarket trading Monday. Year-to-date, BP has gained 12.70%, versus a 18.87% rise in the benchmark S&P 500 index during the same period.

About the Author: Sristi Suman Jayaswal

The stock market dynamics sparked Sristi’s interest during her school days, which led her to become a financial journalist. Investing in undervalued stocks with solid long-term growth prospects is her preferred strategy.

Having earned a master’s degree in Accounting and Finance, Sristi hopes to deepen her investment research experience and better guide investors.

More…

The post Step Into September With 3 Strong Energy Buys appeared first on StockNews.com

Sristi Suman Jayaswal

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September 4, 2023
26 Ways A Cashless Society Can Simplify Your Financial Life and Save You Astronomical Amounts of Money | Entrepreneur
Our financial lives have been transformed by digital payments and the transition towards a cashless society in recent years. The adoption of cashless transactions has many benefits, including simplifying our financial lives and reducing our overall expenses.

It may be for this reason that more and more people are switching to cashless payment systems.

In less than a decade, Americans went cashless by double digits in a typical week, according to the Pew Research Center. Approximately four out of ten Americans (41%) say they rarely use cash for purchases in a typical week, up from 29% in 2018 and 24% in 2015.

On the other hand, the proportion of Americans paying for all or almost all of their purchases using cash has steadily declined from 24% in 2015 to 18% in 2018 to 14% in 2019. However, roughly six-in-ten Americans (59%) say they pay for some of their purchases in cash in a typical week.

If you still think cash is king, here are 26 ways a cashless society can help you save money and transform your financial habits.

1. Lower transaction costs.

When it comes to digital payments, they’re usually cheaper than cash payments.

With every purchase, you save immediately.

2. Earn cashback rewards.

Businesses often give you cashback or discounts if you use cashless payments. Over time, you’ll save a lot of money. If you use your credit card to pay cashless, you’ll get airline miles and cashback.

You might get more rewards with some credit cards than others depending on your spending habits. There’s a catch, though: If you don’t spend enough on travel rewards, you won’t get the bonus miles. Due to this, you might not get enough to justify buying it or paying for it.

However, since cashback comes with a wide range of reward categories and can be used anywhere, it’s an all-around bonus you may find appealing.

You can also earn different rewards with different credit cards. There are many cards that give you a flat cashback percentage for all purchases, while others give you a higher percentage for certain categories, like dining or shopping at certain stores.

3. You can track your spending easier.

The problem with cash is keeping track of how much you spend. With a card or digital payment, your transactions are tracked in real time.

Simply put, it makes it easy to see where your money is going and cut back where necessary.

4. Budgeting apps integration.

By integrating cashless systems with budgeting apps, it is easier to track expenses and identify areas for saving.

YNAB, for example, allows you to sync your bank account data, import data from a file or manually enter transactions. Once you have signed up, you can create your first budget and assign every dollar a purpose, such as rent or car payment, according to your needs.

In time, you will be spending less money than you earned 30 days ago. In this way, you’ll always be one month ahead.

5. Eliminate ATM fees.

An out-of-network ATM fee assessed by one’s bank plus a surcharge imposed by the ATM owner combined to a total of $4.66 in Bankrate findings, the highest since 2019. Non-customers were charged a surcharge of $3.14, up 1.9 percent from $3.08 in 2021.

By reducing ATM withdrawals, or eliminating them altogether, you can eliminate ATM fees.

6. Reduce currency exchange costs.

When you make a purchase abroad or in a currency other than the U.S. dollar (USD), the foreign transaction fee (FX) appears on your credit card bill. The fee, which typically ranges from 1% to 3%, is charged by many credit card issuers.

However, cashless payments can save you from costly currency exchange fees and unfavorable exchange rates when traveling internationally.

7. Pay your bills automatically.

Using automatic payments to pay your bills can save you money in a number of ways.
- You may be eligible for discounts. Incentives or discounts may be offered to customers who set up automatic payments. Signing up for automatic bill payment might give you a small discount from your utility company, for instance.
- You can avoid late fees. The cost of late fees can add up quickly. With automatic payments, you will never be late on a payment because you forgot to make it.
- You’ll stop paying overdraft fees. When your checking account’s balance falls below zero, you may be charged a fee. In order to avoid this, you need to make sure you have enough money in your account to pay your bills automatically.
- Your credit score may improve. Making on-time payments on your bills is an important factor in determining your credit score. Setting up automatic payments increases your likelihood of paying your bills on time, which helps you improve your credit score.
- You’ll save time. You can save a lot of time by setting up automatic payments. No more checking the mail or making monthly payments online.
Additionally, automatic bill payments can assist you in staying organized and keeping track of your spending. If you set up autopay for all your bills, you can easily track your spending. As a result, you will be able to budget more effectively and achieve your financial goals more easily.

8. Paperless transactions.

By using electronic receipts and statements, you can lead a greener lifestyle. Additionally, since companies save on paper, stamps, and sorting when customers pay online, it can be beneficial for their bottom line to have as many customers as possible on paperless billing.

It is common for companies to offer customers some sort of incentive to switch to paperless services.

9. It’s no longer necessary to carry loose change.

As a result of a cashless society, loose change no longer needs to be carried. That might not seem like a big deal. A lot of loose change, however, can accumulate over time and add unnecessary clutter to your life.

Moreover, loose change has no value over time. Your spare change from everyday purchases can instead be invested using an app such as Acorns. Let’s say you spend $30.45 on groceries. You will automatically receive $0.55 from Acorns for your future.

10. Safeguards your cash.

A shopping experience, whether it’s online or offline, is not without risk. With that said, there is nothing worse than losing a wallet, having a credit card account hacked, or even fraudulently using a check

At the same time, whenever you carry cash, you will be unable to track where the money went or who spent it. It is therefore risky to carry money around due to theft. It is possible, however, to track, dispute, freeze, or even prevent fraudulent transactions using cashless payment methods.

Additionally, most debit and credit cards now have EMV chip technology to prevent fraud. Also, all online transactions are encrypted, and your unique password is required in order to access them.

Geolocation data, transaction history, and other factors can also be used by credit card providers to detect suspicious transactions. Your card provider can reject payment if someone outside your area steals your card and tries to make a large purchase. Overall, this is much safer and easier than trying to track down your cash thief.

11. Cash is dirty.

If you haven’t gotten the memo, cash is filthy. In fact, there are reports that paper money carries more germs than household toilets. Moreover, bills are a breeding ground for gross microbes: germs can live for 48 hours on most surfaces, but reportedly the flu virus can survive on paper money for 17 days or more.

In addition to being an inconvenience, being sick can cost you money in the following ways:
- Lost wages. When you’re sick, unpaid leave may be your only option if you don’t have paid sick days. When you’re unable to work for a long period of time, this can result in significant income loss.
- Increased medical expenses. It is possible to walk into a doctor’s office and have to pay out of pocket for prescriptions, doctor’s visits, and other medical expenses — even if you have health insurance. When you’re sick for a long time, these costs can add up quickly.
- Reduced productivity. It is difficult to work as efficiently when you are sick. As a result, your employer may have to pay for missed deadlines, errors, and other problems. Further, this may prevent you from engaging in your side hustle.
- Increased stress. There are many health problems that can increase stress, including being sick. Consequently, medical expenses and wages may be lost even further.
12. Convenient tap-and-go.

Payments made with contactless cards are quick and convenient, saving you time when you’re busy. While it might seem insignificant, these extra minutes add up enough for you to revise your budget or engage in money-making activities.

13. You can benefit from discounts.

Businesses that accept cashless payments may offer discounts. As an example, when you pay with your Starbucks card or app, you’ll get free refills of hot or cold brewed coffee. You can also receive notifications about new offers and deals by downloading the Dunkin Donuts app.

14. The ability to access digital coupons.

It is possible to save significant amounts of money on groceries and other essentials by using digital coupons available on a variety of digital payment platforms.

15. Grace period without interest.

In some cases, credit cards offer a grace period that is interest-free. As a result, you won’t have to pay immediate interest on the money you borrow. In general, they last between 21 and 55 days.

16. Easily split bills.

Maintaining a running tab on your friends and family can be appealing. However, taking on a personal loan with your peers may not be a smart move based on the risk of getting into debt with them.

Splitting bills can be done quickly using a cashless application like Venmo. You can pay exactly what you owe using payment apps since they connect directly to your bank account and credit cards.

17. Early sales access.

With some retailers, customers paying with credit cards are given early access to sales. Nordstrom credit card holders, for instance, provide early access to the retailer’s anniversary sale, which takes place every summer and includes apparel, shoes, accessories, and home goods.

18. Warranty extensions are available.

Purchases made with credit cards may be covered by extended warranties. A case in point is the Chase Sapphire Preferred Card. A manufacturer’s warranty of three years or less is extended by one year; $10,000 per item, $50,000 per account.

19. Rental car insurance is available.

If you use your credit card to pay for a rental car, some cards offer insurance. The Capital One Venture X Rewards Credit Card is one example. Your rental car may be covered by an auto rental collision damage waiver that covers theft and collision damages up to $75,000, up to the actual cash value of the vehicle.

20. Protect yourself from rising prices.

It is possible to get price protection with some credit cards. Basically, you’re covered if the price of your purchase drops within a set period of time.

21. Boost your digital wallet’s capacity.

Groceries, gifts, and everyday essentials can be easily ordered online. Besides skipping the store line, you’ll get some sweet discounts too.

The process of setting up a payment method with your favorite online shop can be just as straightforward. However, juggling multiple cards between multiple sites or digging into your wallet every time you want to make a payment slows down the speed and convenience of digital retail.

Digital wallets, a suite of payment services and information the user keeps on their device, are making checkout easier at many retailers. At checkout, simply login to your digital wallet, and your payment options are displayed.

It’s possible to use digital wallets to combine credit cards, debit cards, peer-to-peer payment apps, and even cryptocurrencies. Payment is as easy as one click from site to site with your digital wallet.

Digital wallets can also be taken offline. With a tap of your phone, you can pay at many physical stores with your digital wallet.

22. Financial goals tracking.

Financial goals can be tracked easily and quickly using digital payment apps. The result is better financial discipline and money management.

23. Counterfeit money risk reduced.

In a cashless society, counterfeit money is virtually eliminated, protecting your finances.

This might not seem like a priority. But, it was estimated that the counterfeit money detection market would reach US$2.8 billion in 2022. The market is also expected to reach US$4.1 Billion by 2030, growing at a CAGR of 4.8%.

24. Access to financial services.

Cashless economies encourage financial technology development. Why’s that relevant? Financial services benefit individuals and businesses alike. Here are a few advantages:
- Increased financial security. People can save money, manage their debt, and protect their assets. As a result, they can better weather financial shocks.
- Improved access to credit. When people need credit, financial services can help them start or grow a business, invest in their education, make major purchases, or save for retirement.
- Enhanced economic opportunities. People can use financial services to start a business, save for retirement, and invest in their education. Upward mobility and increased income can result.
- Reduced poverty. Having access to financial services helps people build assets and escape poverty.
- Increased financial inclusion. Having access to, affordability, and knowledge of financial services can reduce financial exclusion.
In general, having access to financial services can improve people’s lives and businesses.

25. Reduce impulse buying.

Due to the physical nature of cash, you’re more likely to be conscious of how much you spend. When you swipe a credit or debit card, it’s easy to overspend.

Digital payments, however, give you time to reconsider impulse purchases. After all, contactless transactions take only one or two seconds compared with cash, which takes six to seven.

26. Simplify, organize, and declutter.

Digital transactions help you declutter your wallet by eliminating physical cash. In addition, it promotes better financial management.

Conclusion

In a cashless society, embracing digital payment methods can simplify your finances and save you significant amounts of money. Going cashless offers countless benefits, from lower transaction costs to cashback rewards to greater security.

FAQs

How does a cashless society work?

In a cashless society, all financial transactions are carried out electronically, without the use of physical cash. Online and mobile payment services, credit cards and debit cards, electronic money transfers, or cryptocurrency are all ways people and businesses transfer money digitally.

What are the benefits of a cashless society?

A cashless society has several potential benefits. Among them:
- Increased efficiency. Compared to cash transactions, cashless transactions are faster. Because you don’t have to count or handle cash, and there’s less fraud risk.
- Reduced crime. A cashless society can help reduce crime, like thefts and muggings. Because there’s no cash to steal, and criminals won’t target businesses that don’t take cash.
- Improved tax collection. Governments can collect taxes easier in cashless societies. The reason for this is that all transactions are recorded electronically, so figuring out income and expenses is easier.
- Increased financial inclusion. Financial inclusion can be increased by cashless societies. You can still use electronic payment methods if you don’t have a bank account or a credit card.
What are the drawbacks of a cashless society?

A cashless society also has some drawbacks. Some of them are:
- Increased privacy concerns. There’s a digital trail left behind by cashless transactions, which might make people worry about their privacy. The reason is that governments and businesses could track people’s spending habits.
- Risk of fraud. It’s possible for hackers to steal people’s personal info and use it fraudulently.
- Increasing reliance on technology. A cashless society requires people to have access to technology to pay. Without a computer or smartphone, this could be a problem.
Are there any challenges to going cashless?

Moving to a cashless society has a lot of challenges, including:
- Electronic payments need to be adopted widely.
- Everyone should have access to electronic payments.
- People’s privacy needs to be protected in a cashless society.
- In a cashless society, fraud needs to be prevented.
Is a cashless society inevitable?

There’s no way to tell if a cashless society is inevitable. Before a cashless society can be fully implemented, a number of challenges need to be addressed. It’s possible, however, that we’ll eventually move to a cashless society due to the trend toward digital payments.

The post 26 Ways A Cashless Society Can Simplify Your Financial Life and Save You Astronomical Amounts of Money appeared first on Due.
John Rampton

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September 4, 2023
Preparing for Retirement: 5 Overlooked Financial Steps to Take in Your 30s and 40s | Entrepreneur
Your 30s and 40s are arguably the best time of your life—still young and energetic, but a little wiser. This is also an exciting, sometimes daunting period of life—with career growth, personal growth, and raising a family to contend with.

Amidst all of this, retirement might seem like an abstract, far-away thing that isn’t anywhere near the top of the list of priorities. However, your 30s and 40s are crucial when it comes to achieving financial stability for your post-career life.

Retirement planning isn’t a simple, monolithic task—it’s multifaceted, complex, and requires balancing competing interests. However, there’s no going around it—if you want to enjoy life after your early 70s, you need to start preparing for retirement as soon as possible, if you haven’t already begun. One in five Americans expect that they won’t be able to retire at all.

Doing this the right way consists of plenty of small steps and decisions, along with leveraging a couple of slightly more complex mechanisms. We’ve boiled things down to the 5 most important and overlooked financial steps that you can take in your 30s and 40s to ensure a successful retirement.

Let’s get started, one step at a time.

1. Understanding and Maximizing Employer Retirement Plans

Right off the bat, employer retirement plans are your most important and powerful tool when it comes to saving for retirement.

Employer retirement plans work like this—a portion of your pre-tax salary is deducted from your paycheck, put into a separate account (most of which have tax benefits), and then accrues gains from the investments made inside the retirement account.

There are several types of employer retirement plans—however, for the purpose of this guide, we’ll focus on the much more common 401(k) plan, as it applies to a large percentage of our readership. We’ll leave the topic of the 403b retirement plan, which is designed for employees of nonprofit or tax-exempt organizations, for another day.

To recap—these plans allow investors like yourself to set aside a part of today’s income to ensure a steady flow of funds later. So, how does that come to fruition?

First, we have to deal with the most underappreciated and underutilized part of these plans—and that is employee matching. A lot of employers in the US will match your contributions to these plans, up to a certain percentage—effectively incentivizing you to save for retirement by giving you free money.

So, the first practical consideration here is this: Find out if your employee matches 401(k) contributions, and maximize this benefit by taking full advantage of it.

The second piece of the puzzle is compound interest. Think of the term like this—compound interest is the interest you earn on interest. To put it in slightly more grounded terms, the gains you secure from your investments will be reinvested to generate further profits—this allows the size of your account to snowball over the long term, and is a key reason why you should start investing for retirement as soon as possible.

Next on the list, but no less important, are individual retirement accounts, more commonly referred to as IRAs. IRAs operate on a very similar basis to 401(k) plans, but they aren’t employee-sponsored. With IRAs, you’re on your own, and the contribution limits are much lower—but you have a lot more flexibility in terms of what you can invest in.

Both 401(k)s and IRAs also come in another version—Roth 401(k)’s and Roth IRAs. Basically, the Roth versions are funded with after-tax dollars—however, in return for that, your withdrawals in retirement (after the age of 59 and a half) are tax-free.

The pesky thing about Roth IRAs is that they have income limits—anyone making more than $153,000 on an annual basis cannot contribute to such an account. If this applies to you, there are some backdoor Roth IRA considerations that you should keep in mind.

2. Diversifying Your Investment Portfolio

Diversification is a method of managing risk when investing. In fact, it is the method of managing risk—the bread and butter of it, if you will.

The idea is pretty straightforward: Allocating your investments across a variety of financial instruments, industries, sectors, and countries allows you to experience smaller losses should one of them experience a catastrophic downturn.

At the same time, you are exposing yourself to a lot of potential upside. Should any of the industries, sectors, etcetera that you’ve invested in see great returns, it will be reflected in your portfolio. Don’t put all of your eggs in one basket, but in investing terms.

The crucial thing to remember is that proper diversification is achieved by carefully balancing your allocations between investments that are not correlated. In plain terms, you should invest in areas that react differently to a single set of conditions.

It’s important to note that diversification does not prevent losses—it mitigates them. Secondly, seeing as how conditions are always changing, diversification isn’t a one-and-done affair—it will require monitoring and adjustments from time to time.

Let’s go a bit more in-depth with diversification. Essentially, this method spreads out risk by investing in a variety of assets whose returns haven’t historically moved in the same direction and to the same degree. By doing this, should a portion of your portfolio decline in value the rest should either increase or not decrease in value as much, mitigating overall losses.

So, how do you go about achieving effective diversification for your portfolio?

First order of business—asset classes. The three main asset classes are equities (stocks), fixed-income securities (bonds), and cash and equivalents. There are also other asset classes, such as commodities, real estate, precious metals, and cryptocurrencies, but for the sake of brevity, we’ll focus on the main three.

All of these asset classes respond in different ways to market conditions. As an example, when the economy is trending upward, stocks usually perform well, while bonds offer subpar returns in comparison. When the tables turn, however, and the economy is in a recessionary environment, bonds can outperform stocks. Just by using this simple example, you see the underlying logic—diversification is a buffer against market volatility.

Second, diversification is also done within an asset class. Following the same logic, investing in stocks that are contained within one sector or industry is a death knell for your portfolio should that sector or industry face a crisis. Several industries and sectors are negatively correlated with one another — meaning that when one falls, the other tends to rise (for example, oil prices and airline stocks). It is estimated that some 90% of retail traders do not generate a positive return with their investments in the stock market—highlighting the need for diversification.

The same holds true for fixed-income securities. You need to diversify your bonds by investing in government, municipal, and corporate bonds in order to achieve the best returns.

Third, consider diversification in terms of geography as well. There is no reason to limit yourself to the place where you live. Allocating a part of your portfolio to developing markets can lead to high returns while simultaneously reducing overall risk.

Diversification is invaluable and necessary—but it isn’t a matter of“fire and forget”. As the value of specific parts within your portfolio increases or decreases, your actual allocations will drift. This is remedied by occasionally rebalancing your portfolio, which helps in maintaining a consistent risk profile.

3. Life Insurance and Estate Planning

You might easily think that if you do everything right in terms of retirement planning, you won’t need life insurance. That’s completely wrong. Let’s take a minute to discuss why.

Life insurance works like this—you pay premium payments, and the insurance company provides a lump-sum payment, known as a death benefit, to beneficiaries upon the insured’s death.

This benefit acts as a financial safety net, ensuring that your dependents can meet their financial obligations and maintain their standard of living.

When choosing a life insurance policy, it’s crucial to assess your family’s financial needs, taking into account factors such as your income, the number of dependents, their ages, future education expenses, and your spouse’s earning capacity.

When tackling the topic of life insurance, keep these three ideas at the forefront of your plans:
- Replacing a source of income: If you are the primary provider of income in your household, life insurance can replace that lack of income, helping your family maintain their standard of living.
- Repaying debts: Life insurance can help pay off debts such as mortgages, personal loans, student loan debts, and other forms of debt, ensuring that your family doesn’t face financial hardship.
- Funeral costs and cash on hand: Life insurance can also offer liquidity to your family, ensuring that funeral expenses are covered.
Different types of life insurance exist, including:

Each of them has its own advantages and drawbacks. Since these are long-term commitments with potentially huge implications, it is best to go about the entire process of selecting and purchasing life insurance with a financial advisor.

Now let’s move on to the topic of estate planning.

While it might sound like something only people that have summer homes in the Hamptons need, that’s a far cry from the truth — and estate planning is essential in not only securing the financial future of your family but also in securing mental and emotional stability for yourself as you age.

Put simply, estate planning entails the management of your estate in the event of your death or incapacitation.
It involves deciding on important decisions like how assets should be distributed (or preserved), who should care for your minor children, and who should make decisions on your behalf if you yourself are not able.

Estate planning includes several elements. Wills are legally binding documents that clearly state how your assets should be handled after your passing, and how they should be distributed or preserved. Trusts offer a bit more say in exactly how and when your assets are distributed to heirs and can come with tax benefits.

On the less financial side of things, the process also entails choosing who to assign power of attorney to—a person you trust to make both financial and medical decisions in case you are unable to, and setting healthcare directives—instructions for medical care that go into effect if you are not able to communicate your wishes.

We should also tackle the topic of estate taxes. While the federal estate tax exemption is quite sizable (just shy of $13 million in 2023), some states have lower thresholds when compared to others.

In order to optimize the estate planning process, you might have to gift some of your assets to your heirs or set up trusts while you’re still alive.

Now that we’ve covered all of that, it should be clear that you can’t do all of this on your own. Estate planning entails enlisting the help of professionals, such as financial advisors and estate attorneys.

4. Health Savings Account (HSA) and Long-term Health Care

An often overlooked but indispensable part of retirement planning, health savings accounts, and long-term health care are crucial elements that are *not* optional.

As we get older, the odds of experiencing significant health-related expenses increase year by year. Medical costs, especially unexpected ones, can quickly pile up, spiral out of control, and completely deplete your retirement savings.

Let’s first explore Health Savings Accounts or HSAs. This type of savings account allows individuals to contribute pre-tax money to pay for qualified medical expenses. By contributing to an account like this, an investor can not only pay for their current healthcare expenditures but also save for future costs — all with significant tax benefits.

The HSA offers a triple tax benefit. The contributions you make are tax-deductible, the earnings in the account grow tax-free, and withdrawals for qualified medical expenses are also tax-free. Your HSA funds roll over year to year if you don’t spend them.

Additionally, after reaching the age of 65, you can withdraw funds for non-medical expenses without penalty, although these withdrawals will be taxed as income in those cases.
HSA’s also have a degree of flexibility to them — while it depends from account to account, some of them do allow you to invest in assets such as stocks, bonds, or funds.

Now, let’s move on to the second part of this point — long-term health care. As we grow older, the odds of needing assistance with everyday activities, such as bathing, dressing, or eating, increase.

The cost of long-term care can be staggeringly steep and can do quite a number on your savings. Long-term care insurance can help cover these costs. This type of insurance policy reimburses policyholders a daily amount (up to a preselected limit) for services to assist them with activities of daily living.

When considering long-term care insurance, remember that premiums may rise significantly over time and benefits may not cover all types of long-term care. Policies generally cover care in nursing homes, assisted living communities, and home health care. They can (and often do) cover other types of care, but this will require an in-depth overview by a professional.

5. Financial Literacy and Regular Review of Financial Plan

Securing a comfortable retirement is a marathon — not a sprint. This is a long-term commitment, and it will require continuous attention, effort, and adjustment in order to succeed. That continuous effort should primarily go in two directions — financial literacy and regular reviews of your financial plan.

Let’s deal with financial literacy first. This is a catch-all term that encompasses managing your personal finances, budgeting, and various forms of investing. Simply put, the more you know about finances, the better equipped you are to make the right decision at any given moment.

We’ve touched on some topics that fall under financial literacy — concepts such as compound interest, tax-advantaged retirement accounts, asset allocation, and risk tolerance.

However, that’s just a small sliver of financial knowledge — you should approach the topic as a lifelong commitment to learning. Just as a quick example, we’ve barely touched on the topic of taxes and inflation, which also have significant effects on retirement.

Nowadays, getting access to high-quality educational material is easier than ever. True, you will have to sort through things in order to separate the wheat from the chaff, but there are many books, online courses, newsletters, and financial media outlets that will help you understand any topic in the world of finance.

Now for the second point — a regular review of your financial plan. Think of this as a health check-up, as you might have at the doctor’s office, but for your retirement plan.

Nothing in this world is ever static — changes in employment and income, marriage, children, college tuition, inheritances, all of these factors can have huge impacts on your retirement plans. And those are just personal matters — to say nothing of changes in the tax code, laws, and the investment landscape.

Having regular check-ins allows you to see whether or not the ship is sailing in the right direction — and no matter how well you go about things, you will always have to make at least some minor adjustments in order for your plans to perform optimally.

In all likelihood, this will consist of reviewing whether or not you’re saving enough, reallocating and rebalancing your portfolio to get back to your desired allocation and risk tolerance, and updating your game plan if necessary.

We touched on risk tolerance above. This isn’t a static category — an investor’s risk tolerance will naturally change over time. While young investors can afford to make mistakes and take on more risk, since the longer time horizon allows the opportunity to make up for losses, the older amongst us don’t have that luxury — so we tend to opt for safer investments such as bonds.

Next, changing market conditions are another reason why you should regularly revisit your retirement plan. Having regular, pre-scheduled appointments with a financial professional allows you to keep track of these changes, mitigate emerging risks, and take advantage of emerging opportunities.

While you can (and should) think of these factors on your own, it is absolutely essential to enlist the help of a certified professional when reviewing your financial plan in order to avoid any potential blindspots and gain access to a vetted source of authoritative advice.

Conclusion

While retirement might seem like something that’s a lifetime away, especially for our younger readers, starting on time is well worth the temporary financial sacrifices.

As previously stated, retirement planning is a marathon, not a sprint. In accordance with that, the sooner you begin, the more leisurely you can reach your goal. This is an expansive process that entails a lot of different factors, so we hope that your list helps you prioritize your goals in what is arguably life’s most important financial journey.

We realize that there is no one-size-fits-all approach, but the steps we’ve outlined here—including maximizing your employer’s retirement plans, maintaining a well-diversified portfolio, and getting appropriate life insurance should apply to each and every working person in the United States.

If you keep these factors in mind, take a proactive approach, and remember to always consult vetted, trusted professionals, your long journey to retirement will be a calm one. Start on time, secure your tomorrow today, and start making your future self proud now.

The post Preparing for Retirement: 5 Overlooked Financial Steps to Take in Your 30s and 40s appeared first on Due.
Shane Neagle

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September 3, 2023
AI and Retirement – How It Will Affect Your Retirement Savings | Entrepreneur

Artificial Intelligence (AI) is impacting humans more than any of us realize. It’s being used by marketers to gain customer insights, by manufacturers to automate processes, and by many businesses to analyze data and improve efficiency.

AI’s ability to rapidly analyze large amounts of data has also given it a huge role in the financial industry, and thus can impact your retirement savings in a variety of ways. In fact, AI is being used most by the banking and securities industry more than any other, with 21% of all AI spending coming from those industries in 2021.

Here we’ll look at the role AI is playing in retirement planning and portfolio management.

AI has the ability to analyze data to make predictions for the future. In financial planning, AI can use data about your spending habits and lifestyle indicators to predict your retirement savings needs.

It can also calculate what actions you need to take to reach your retirement savings goals, in terms of setting aside money each month and the investment vehicles that are best based on your needs.

While some may balk at AI planning their future, a study shows that 53% of consumers actually trust AI to assist with financial planning.

If you’re not in that category, your financial advisor is likely using AI to generate the investment advice they’re giving you anyway. In fact, the use of AI-driven financial advice is projected to increase by 12.6% annually through 2026.

But fear not! AI tools are revolutionizing the financial planning industry. These tools can analyze your current investment data, your plans and goals, and your spending data and align that data with investment vehicles and market data predictions to create a personalized retirement savings plan.

While a human could arguably do the same thing, it would take weeks or months of research and analysis to do so, and the results would likely not be as accurate as those produced by AI.

These tools are still evolving, with new and better tools being developed by AI startups as well as existing companies every day.

Automated Investment and Portfolio Management

If you prefer to do your planning and investments online on your own, a robo-advisor tool may be an option for you. Robo-advisors use AI algorithms to automate investment decisions. Basically a robo-advisor is a digital platform that will manage your retirement portfolio automatically with little human intervention, or no intervention at all.

These robo-advisors can analyze your financial situation, risk tolerance, and retirement goals to create a personalized investment portfolio. These platforms use advanced algorithms to recommend a diversified mix of assets, adjusting the allocation over time to stay in alignment with your changing needs and goals.

As the market fluctuates and the value of different assets changes, the original asset allocation of your portfolio may change. Robo-advisors automatically rebalance your portfolio, ensuring that it stays in line with your desired allocation based on your risk tolerance and other factors.

Some robo-advisors even employ tax strategies to minimize the impact of taxes on your investments. They look for opportunities to offset capital gains with losses, reducing your tax liability and potentially increasing your after-tax returns.

All of this is done based on your personal situation. Robo-advisors allow you to set specific financial goals and assess your risk tolerance through questionnaires or other methods. Based on your risk profile, they recommend investments that align with your comfort level, aiming to strike a balance between risk and potential return.

These tools come with lower fees than a traditional financial advisor and offer convenience. Some examples of robo-advisors included Wealthfront, InteractiveAdvisors, and Betterment.

AI for Fraud Detection and Security

AI tools are also being used by financial advisors and planners to detect potential fraud and keep your accounts secure. They can analyze transaction patterns, look for anomalies, and trigger potential fraud alerts.

In fact, more than 87% of financial services companies have adopted these tools.

The tools can also help to detect cyber attacks and potential identity theft attempts.

All of this is done by analyzing historical transaction data on your accounts, doing so continuously in real time, detecting potential fraud quickly and even taking immediate action to prevent the fraud from occurring.

These tools are being used by financial services companies of all kinds and clearly are of huge value to both you, as a consumer, and the companies that adopt them.

Potential Concerns and Ethical Considerations

As with everything, the use of AI by financial advisors comes with some concerns and drawbacks.

First of all, AI does not have the ability to empathize with you as a human financial advisor can. Not all financial decisions and advice are based on data. Sometimes they’re based on a human understanding of your personal goals, fears, and needs. AI cannot replace that part of the retirement planning and management process.

Concerns have also been raised about data security and privacy. If the AI systems are not properly secured, there is a risk of data breaches and unauthorized access to confidential information.

With the use of AI in general, potential bias and lack of understanding of cultural nuances are also an issue. AI algorithms are only as good as the data they are trained on. If the data used to train the AI contains biases, the resulting financial advice could be skewed or discriminatory, leading to unfair treatment of certain individuals or groups.

Additionally, financial advisors might become overly dependent on AI-generated insights, leading to a reduced understanding of financial concepts and potential risks. This overreliance could become problematic if advisors blindly follow AI recommendations without fully understanding the implications.

Finally, AI is still evolving and it’s not perfect. If the algorithms are flawed or make incorrect assumptions, it could have a serious negative impact on your retirement savings.

The Future of AI and Retirement Savings

One thing is certain – AI is going to have a role in financial planning and retirement savings management for the foreseeable future. It’s also certain that AI tools are going to evolve and advance. As it moves forward, its ability to personalize your plan and portfolio will improve, as will its ability to analyze market trends, economic indicators, and historical data to identify potentially lucrative opportunities and manage risk more effectively.

It’s also likely that AI-powered predictive models will evolve, allowing real-time adjustments to retirement portfolios.

The use of robo-advisors is also likely to become more prevalent, which could be bad news for financial advisors. In fact, in 2021, it was estimated that well over a trillion dollars was being managed by robo-advisors.

Additionally, AI-powered chatbots and virtual assistants already exist that can provide real-time financial education, answering questions and guiding individuals on retirement planning and investment decisions. These tools are likely to advance and become used more and more frequently by financial services companies.

41% of financial services leaders think that, of all AI financial tooIs, chatbots will have the largest impact on the industry.

However, regulations on AI’s use in financial services and AI in general are already starting to emerge and will likely become tighter. The dangers and concerns associated with AI are well-recognized and leaders understand that quick action needs to be taken to ensure that it’s used in a responsible and ethical way.

But what will never change is the fact that, although AI can help manage risks, it cannot completely eliminate market uncertainties. Fluctuations in financial markets could impact retirement savings, necessitating ongoing monitoring and adjustments by humans.

AI’s future in retirement savings holds great promise in providing personalized, efficient, and data-driven solutions for individuals’ financial security. However, addressing privacy, bias, transparency, and regulatory challenges will be vital to harnessing AI’s potential while safeguarding consumers’ interests. Striking the right balance between AI-driven insights and human expertise will be key to successful retirement planning in the AI era.

In an ideal world, AI and financial advisors will work hand in hand to harness its benefits while reducing its potential negative impacts.

AI’s Impact on the Financial Services Industry

AI is already a boon for the financial services industry, which matters to the consumer because the growth of that industry boosts economic growth in general. It’s estimated that AI has the power to increase the revenue of financial services firms by 34% and economic growth by 26%.

However, it could also decrease the need for lower-skilled jobs in the industry by more than 50%.

But the fact is that financial firms must continue to use AI in order to stay competitive. AI increases the potential for firms to have above average growth compared to competitors, with an estimated average growth rate of 35%.

For that reason, you can expect your financial advisory firm to use AI when managing your portfolio for the foreseeable future, like it or not.

Conclusion

As a consumer, it’s important to be aware of how AI is likely affecting your retirement savings. You should also be aware that it’s likely that it’s affecting it in a good way, as the power of AI in the financial planning process is huge. If you have concerns, have a conversation with your financial advisor about how they are using AI in investment decision making.

The post AI and Retirement – How It Will Affect Your Retirement Savings appeared first on Due.

Carolyn Young

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September 2, 2023
Get Top-Rated Stock Screening Tools for Less Than $100 During the Labor Day Sale | Entrepreneur

Disclosure: Our goal is to feature products and services that we think you’ll find interesting and useful. If you purchase them, Entrepreneur may get a small share of the revenue from the sale from our commerce partners.

While the time and energy you put into your business can help it reach revenue and growth goals, you may be missing out if you’re not investing in the stock market. Per LinkedIn, investing in stocks could offer you and your business a security blanket should there be an emergency, and you simply may be missing out on making a passive income that could further boost your business, whether that’s through expansion or investing in new tech.

If you’re newer to the stock market and want insights on investing wisely, the Tykr Stock Screener can educate you. This stock screening app and investment education tool is designed to take the stress out of investing. During our Labor Day Sale through September 4, you can get a lifetime subscription, plus a free course (Better Stock Pricing), for only $99.97 with code STOCK.

Tykr has earned a perfect 5-star rating on Trustindex and a 4.9-star rating on Trustpilot because it’s so effective at taking the guesswork out of investing. This intuitive app can help you gain information on more than 30,000 US and International stocks, and gives you a thorough breakdown of the stock you’re interested in.

When you find a stock you might want to invest in, check out Tykr’s summary for each stock. It labels each stock as On Sale (potential buy), Watch, or Overpriced (potential sell), and Tykr’s scores can help you understand the overall financial stability of a stock.

Plus, Tykr can teach you how to increase your Margin of Safety (MOS) to mitigate risk and maximize your potential returns in the marketplace. The platform also offers connectivity with fellow investors so that you can interact with other users, a portfolio tracker to monitor the performance of your investments, and much more.

Your purchase of Tykr also comes with the course “Better Stock Picking,” a comprehensive lecture on how to enhance your stock picking abilities to ensure your selections boast positive growth potential.

Invest smarter with the Tykr Stock Screener and the free “Better Stock Picking” course, now just $99.97 with code STOCK during the Labor Day Sale. This deal ends September 4 at 11:59 p.m. Pacific.

Prices subject to change.

Entrepreneur Store

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September 1, 2023
Toyota vs Tesla: The Tortoise And The Hare Race Has A New Meaning | Entrepreneur

The automotive industry tends to be a very saturated place for consumers, with endless choices of brands and models; spoiled for choice, they can balance their selection between their needs. Today, investors face a similar dynamic when choosing the right automotive stock to buy potentially. However, they are more spoiled for choice.

There are two names, however, that stand out both to the consumer and to Wall Street, providing selections at both extremes of the spectrum. On one end, a roller coaster of a company called Tesla (NASDAQ: TSLA) offers the excitement of a new company going through its growth spur.

On the other corner comes a name known for durability and quality that beats any comparable name by miles. Toyota Motor (NYSE: TM) is a steady and reliable product in the industry.

These qualities are also reflected in the stock’s behavior. They are even more vivid in the financial drivers of the company, giving investors a chance at exposure to the sector with the balance of growth and safety that every portfolio dreams of.

Tale of Two Extremes

Beginning with the academic definition of a stock’s behavior, the ‘beta,’ investors can start to set expectations for what a day in their portfolios can look like with these two names.

Beta indicates how much a stock is expected to move compared to a benchmark, typically the S&P 500. In other words, what percentage of moves can a shareholder expect relative to one percentage move in the S&P 500? In the case of Tesla and Toyota, betas are 2.07 and 0.57, respectively.

Putting these metrics in real-life terms, whenever the SPDR S&P 500 ETF Trust (NYSEARCA: SPY) rises by one percent, Tesla is expected to increase by 2.07% on average. For Toyota, this may look like a less exciting advance of 0.57%; investors should remember that this also applies to down moves.

This volatility can be seen visually when comparing the two stocks over twelve months, where Tesla shows more peaks and valleys next to Toyota’s smooth sail.

The stock price behavior comes as no surprise when investors consider what is happening behind the scenes at each business.

Balanced Forces in a Portfolio

Toyota stock has outperformed Tesla by 26.2% during the past twelve months; however, the picture looks different over the past five years. Tesla has risen by a stratospheric 1,346%, while Toyota has quietly advanced by 45%.

This is understandable considering that it has been around five years (2018) since the United States FED moved to raise interest rates, pivoting markets into a preference toward reliable earnings and cash flows rather than justifiable though overextended growth.

Now that rates are rising again, and the latest FED minutes show signs of them remaining at these levels, investors seem to be gearing up to balance their portfolio with a bit more Toyota than Tesla. The comprehensive performance gap over the past year is witness to these pivoting flows.

While not as widely covered as Tesla, a few analysts from Jefferies Financial Group (NYSE: JEF) are placing a net 4% upside in the stock from today’s prices. On the other hand, Tesla’s target prices reflect an opposite trend, as there is a consensus 9.6% downside.

Despite overall expectations for car dealers to suffer during the decline in vehicle prices, alongside a tighter consumer budget, Toyota’s business fundamentals are still attracting whatever industry money is left out there.

Optimal Outcome

While investors should not consider dumping their Tesla stock to start buying Toyota, these points serve as the consideration of diversification. While Tesla has been grabbing much attention by discounting prices to compete in the EV niche, Toyota has chosen a quiet path to expansion.

Analysts are projecting a 40.7% jump in Tesla EPS for the next twelve months, which, if achieved, can bring a massive leap in the stock toward previous – or even new – highs.

At the same time, investors are risking placing much weight into realizing these expectations, all the while lithium prices and market saturation affect margins at Tesla.

Any slight miss in these EPS targets may send a significant tantrum into the stock; do you want the high potential rewards of growth? Be willing to accept the risk that comes with it.

Lucky for some, Toyota’s humble 15.7% EPS projected growth comes to save the potentially wild swings in Tesla. Output at the Japanese car maker has reached a monthly record in July, quietly outpacing the adverse effects that can be felt in the industry during the current cycle.

Building an adequate balance in Toyota can add a bit of steady growth and low volatility to a vehicle portfolio composed of Tesla; apart from cushioning the potentially massive rally / pullback, investors also receive a decent 2.2% annual dividend yield.

Gabriel Osorio-Mazilli

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September 1, 2023
100 Super Fun, Cheap, or Free Date Night Ideas | Entrepreneur
Nowadays, it is challenging to find quality time to spend with your significant other. But who says date nights have to be expensive? In fact, having a memorable and enjoyable evening with your loved one doesn’t have to cost a fortune.

Here are 100 super fun, cheap, or even free date night ideas you can try anytime to create lasting memories. Even better, you can ignite the spark with your partner without sweating about money.

Staying home.

1. Cook a romantic dinner together at home.

Here’s a great way to save money and show your partner how much you care. Light some candles, play some music, and make a delicious dinner together. If you’re feeling adventurous, you can try a new recipe or just stick with your favorite comfort food.

Additionally, cooking dinner together is a great way to bond and save money.

2. Have your own Chopped competition.

Have you ever watched the TV show Chopped? It is up to the contestants to put together a meal using random ingredients. It’s the same thing you can do at home.

Organize a competition to see who can produce the tastiest meal from random ingredients picked by the other person. The catch is that you only use the food you already have in your pantry, fridge, or freezer.

3. Create a dessert of your choice.

Dinner should be eaten with the family as usual. When the kids are in bed, though, whip up your favorite dessert. There are many tasty desserts you can make, including cakes, brownies, cookies, milkshakes, ice cream sundaes, and banana bread.

You can even play a game of who can decorate the best cake, or who can make the best ice cream sundae the fastest. As long as you’re having fun, it doesn’t matter who wins.

4. Enjoy a movie night at home.

Enjoy your favorite movie while dimming the lights, making popcorn, and snuggling up on the couch. If weather permits, you can use a projector to watch a movie outside.

5. Treat yourself to a DIY spa night.

After getting a pedicure, you can enjoy a nice massage. As a result of your relaxed state, you may even feel like taking a nap afterward or going to bed early.

Among the other spa treatments you can do together at home are:
- Face or foot masks
- Milk bath
- Steam facial
- Milk bath
- Deep conditioning hair treatments
6. Go camping in your backyard.

Without leaving your backyard, you can pitch a tent, roast marshmallows, and enjoy a night under the stars.

7. Plan a patio date.

A cheap date night can be enjoyed on your patio or balcony during the warmer months. Simply add barbecued food or a carry-out meal, some party lights, and a few beverages, and relax. For ambiance, make sure there is music playing.

You can sometimes make date night more romantic by simply changing the scenery.

8. Watch the sunrise together while eating breakfast.

Who said dates were only for the evening?

Spend a romantic morning watching the sun come up over breakfast as you enjoy your time together. If you find it hard to spend time alone with your partner, this is the perfect date idea.

9. Take a moment to meditate together.

Couples who get zen together stay together — or at least avoid drama and fights that make staying together harder. Therefore, spend some time cultivating a meditation practice with your partner

10. Tap into your inner Van Gogh.

Go to the craft store and buy two canvases, some paint, and create your own masterpieces.

11. Install a Karaoke app on your smartphone.

It doesn’t matter if you sound like Beyoncé or a cat in distress, karaoke is always a good time! You can do it for no cost by searching the app store for free apps that you can download and sing along to. Alternatively, you can search for karaoke tracks on YouTube and blast them through some speakers.

12. Start a garden together.

Try planting a small garden in your backyard (or even on your balcony) together. It will be fun to watch your herbs, vegetables, and flowers grow over time. In addition to making something new together, this is a great way to spend some time outside.

13. Play a 20 questions game.

Enjoy a little fun while getting to know each other with the couples 20 question game. This fun idea for a home date can also be customized.

14. Brew your own beverage.

Try making your own beer, flavored iced tea, or soda by learning how to brew your own. Eventually, you might realize you have a talent and can brew your own beverage. And, who knows? Maybe it’s good enough that you could sell it as a side hustle.

15. Together, paint a room.

Would you like to upgrade a room in your home? Choose a new paint color together and get creative.

16. Complete a DIY project.

Work together on a simple DIY project. Whether it’s making a picture frame or building furniture, it can be as small or as ambitious as you want. Make your way to the hardware store to get your supplies and get started.

17. Imagine yourself in a movie.

You can relive your favorite moments from your favorite cheesy movies. For example, you could reenact iconic scenes from Casablanca, Jerry Macquire, The Princess Bride, Dirty Dancing, or The Notebook.

18. Have breakfast in bed with each other.

On weekends, take turns making breast breakfast in bed. Whenever your partner wakes up, pick out their favorite foods and feed them.

19. Share what you have learned with one another.

If you know something your partner doesn’t, and they know something you don’t, then you probably know something they don’t. A fun and cheap date night is a great opportunity for you to learn from one another.

20. Have a book club for two.

You should both choose a book you are both interested in and discuss it regularly over coffee or tea.

21. Share love letters with each other.

Write each other heartfelt love letters if you’re exchanging L-bombs in your relationship. Alternatively, if it’s not, send each other heartfelt letters, even if it’s just to say what caught your attention.

22. Come up with a bucket list together

The time to start your bucket list is now, not when you retire.

It can be exhilarating to create a bucket list together because you’re looking forward to the fun part of your lives. If you want to achieve it, you can start a vacation fund.

You can make a bucket list vision board to add even more fun to the experience. Post a picture of everything you want to see and do on a board so you can look at it every day.

23. Set financial goals together

It may not seem sexy, but, since you’re on a budget, you can also talk about your financial goals.

The three types of goals you can plan for together are short-term, mid-term, and long-term. Depending on your goals, you may want to save for a house or start a side business with your partner.

24. Join forces to declutter.

Date nights can be fun and productive at the same time. Despite your best intentions, you haven’t taken the time to declutter your home.

While spending time together, you can declutter your home as part of your date night. Additionally, you can sell your stuff to make extra money.

25. Create a time capsule.

Embrace the idea of creating your own time capsule by gathering objects, letters, newspaper articles, and so on. In 10 years, you can uncover it by finding a fun place to bury it.

Explore the Great Outdoors

26. Go for a hike.

Don your sneakers, head to the nearest trail, and hike with your significant other. If you like sunrise hikes, you’ll get some great Instagram shots.

27. Plan a picnic in the park.

Enjoy a romantic picnic at your local park with a delicious lunch and a cozy blanket.

28. Enjoy a sunset stroll.

While watching a breathtaking sunset with your loved one, be awestruck by the beauty of nature.

29. Go for a bike ride.

Discover new paths on two wheels while exploring your city or neighborhood. In addition, you both can enjoy the fresh air.

30. Plan a canoe trip.

Visit a reservoir, river, or lake with a canoe or kayak rented from an outdoor store. Just in case you fall in, remember your swimsuit and life jacket.

31. Spend the day at the beach.

The beach is another great outdoor date idea – just don’t forget the sunscreen! Put on your bathing suit, sandals, and sunglasses, and head to the shore.

Surf lessons, boogie boarding, building sandcastles, playing beach volleyball, or simply lying on the beach soaking up the rays are just a few of the fun activities you can engage in at the beach.

32. Take a fishing trip.

Enjoy a catch-and-release fishing excursion together or take a turn at catching your own dinner. You’ll only need a fishing permit, a pole, and folding chairs to get started.

33. Embark on a ferry ride.

If you want a change of scenery, relocate your date to the nearest ferry. Consider an unexplored area for a longer day trip or a short round-trip ride for a first date in which you’re still getting to know each other — literally and metaphorically.

34. Go tubing on a river.

Spend an afternoon floating down a river on inflatable tubes.

Consider ice skating, sledding, or visiting a cider mill during cold weather.

35. Find geocaches in your local area.

A geocache is a treasure hunt that’s both exciting and free. Find geocaches hidden in your local area and try to find as many as possible.

36. Train together for a race.

Consider joining a running, swimming, or cycling race together. You can achieve your goals as a team by keeping each other accountable and training together.

37. Visit a farm to pick fruit.

Enjoy your bounty of fresh fruits at home and take them home for later for a delicious home-cooked meal or dessert.

38. Birdwatching.

Check out your bird-watching guide and binoculars to see how many different species you can see together.

39. Stargaze.

How long has it been since you last looked up from your phone? Grab a blanket and search for your favorite constellation. The app Star Tracker can provide you with some guidance if you need it.

40. Feed the ducks at a park.

A nearby park offers duck feeding and nature viewing so you can enjoy a relaxing day. However, the best food for ducks is whole grains and seeds rather than bread.

41. Visit the zoo.

Many zoos offer free admission or discounted admission on certain days. There may even be a free local zoo near you. This is a great way to get your steps in while learning more about your favorite animals.

42. Play lawn games.

There is a wide variety of games available, such as miniature golf, flying kits, bocce ball, cornhole, frisbee, and playing catch. Get some competition going and place a friendly wager on the game.

43. Take part in a charity walk.

Taking part in a charity walk or run is a fun date idea that goes beyond the relationship. Walking, running, or jogging during the event will give you and your date a sense that you’re contributing to a worthwhile cause.

44. Clean up your neighborhood.

Do you want to make a positive impact on your community? Organize a park or street cleanup together for your next date.

Out and About

45. Enjoy a free wine tasting at a winery.

The two of you will enjoy an afternoon together. And you might discover a new favorite wine to bring home for your next date night at home.

46. Attend a trivia night.

You can test your knowledge of random facts at a local bar by signing up for trivia night. Cash prizes are typically awarded to winners, so you can split the pot — or save it for a special occasion.

47. Visit a nearby city or town.

Get a taste of a nearby city or town by taking a day trip there.

48. Do some window shopping.

Admire the window displays in a nearby shopping district. The two of you can even imagine what your dream home would be or what your ideal wardrobe would be like.

Or, if it’s bad weather, you can browse IKEA for home decor inspiration. While you’re there, you can even eat some Swedish meatballs for an affordable meal.

49. Discover walking tours near you.

Most big cities offer guided walking tours, either for free or for a fee. The tour is a great way to get out of your neighborhood and learn more about your hometown. It’s also a good way to discover new places for dates.

50. Take a look at street performers in your city.

In major cities, street performers provide great entertainment while you’re walking around. They are often found in busy areas.

51. Attend an expensive open house.

See if there are any open houses in your area and see if you and your date can afford the dream home you have always dreamed of. I would recommend putting on nicer wardrobes so that you fit in. Plus, it’s also fun to get dressed up.

52. Check out a new food truck.

You can enjoy delicious food on the cheap while exploring your city or strolling around a new neighborhood. It’s a win-win.

53. Take a test drive in the car of your dreams

Try out your dream car with your date at a local dealership and rev up the relationship. Perhaps you’ll actually purchase it-in which case, the date won’t be free, but you’ll still have a good time.

54. Attend a concert in the park.

You can sometimes attend for free, and sometimes you have to pay a small fee. No matter what, it’s worth it to hear some great music at night.

55. Visit your local library.

The library is full of fascinating facts and interesting books. Learn something new together as you browse.

56. Sample food at a market.

Are you hungry but don’t want to spend a lot on a restaurant date? Grab some delicious samples at a local food market or festival with your date. You can also shop at Costco on a low-key basis.

57. Enjoy a scenic drive.

Embark on a romantic drive through the countryside or along a picturesque coastline, enjoying the company of your loved one.

58. Go garage-sale shopping.

Start your day off early by hitting the neighborhood garage sales. Try to haggle your way to the most treasures by setting yourselves a small budget (say, $10 or $20 each). Or, you make some extra cash on the side by flipping the items you buy.

59. Attend a local carnival or amusement park.

Who doesn’t enjoy a stroll around a fair or buying a snack you normally wouldn’t eat? You can usually get in free to many local church festivals or carnivals; you just have to pay for the activities you want to take part in, like playing games or eating.

60. Visit an animal shelter.

Visiting your local animal shelter is an excellent way to spend some time cuddling kittens or puppies. As well as relaxing and de-stressing, you’ll also be helping these little guys who need love and attention before they are adopted.

61. Spend a night at a museum.

You can find out if your local museum offers free admission by checking their website — FYI, it’s usually it’s in the evening. You and your special someone can browse around the exhibits and pick out pieces that appeal to you.

62. Visit a local antique store.

Old objects have stories and history. Peruse a vintage store and discuss the past lives of the things you see for sale. Get as creative as you’d like for a good time.

63. Take a trip to a botanical garden.

Taking a stroll together through a local botanical garden is a great way to get to know each other better. If you love nature, this is the perfect date for you.

64. Get cheap tickets for sporting events.

Depending on the sport, there may be no or low entrance fees for high school, college, and club sports. Some pro teams even offer discounts for day games, seniors, or college students. Consider the current season and your interests when choosing a sport.

65. Watch a movie at a drive-in for a low price.

In the summer, many places turn their parking lots into huge drive-in movie theaters. Take a look at what’s available locally. There are so many cheap date ideas available, but so few people know about them.

66. Have a photo shoot.

Make the most out of the day by pretending you’re models for the day and having a photo shoot around the neighborhood or at home. Don’t be afraid to be creative with your poses and backdrops.

67. Enjoy a cup of coffee while strolling around a town square.

Is there anything better than coffee and conversation? A stroll across some nice scenery would be the perfect match.

68. Attend a local play.

A school or a college often puts on a play or a musical. The ticket prices are reasonable, and the proceeds go directly to the local organizations. Adding some entertainment to your local cheap date night is a great idea.

69. Check out the art gallery.

Check out your local art gallery and pretend you’re art critics for a day. On certain days, many galleries offer free admission or discounted rates, making it a great way to spend a couple of hours.

70. Take part in an open mic night or improv.

Whether you want to watch or participate, open mic nights or improv are fun. Alternatively, you can sing at a Karaoke bar. Or attend a comedy night somewhere.

71. Take a ride on a train or trolley.

When we’re always on the go, it can be nice to ride a leisurely mode of transportation somewhere. Whether you want to go sightseeing on a budget, explore a new place, or simply relax and let your mind wander, you can do it all.

72. Go ghost hunting.

Find out if there are any ghosts or paranormal activities at some local haunted spots.

73. Consult a psychic.

Ask a psychic to read your palms or tarot cards. There are probably some predictions you’ll both find funny. But, sometimes there is truth. A psychic, for instance, accurately predicted the hair color of his future wife and the number of children they would have together.

74. Run errands together.

How can running errands be romantic? One of the reasons is that you leave your kids with a sitter at home. Besides, you’ll have a blast strolling Target aisles or picking up groceries – just you two.

75. Volunteer together.

Make a difference in someone’s life by participating in a local charity or community event.

Tap into Nostalgia

76. Take a look at old yearbooks.

In retrospect, once enough time has passed, you’ll find that these hardbound keepsakes are actually quite funny and adorable to look back on. Take a trip down memory lane with your most embarrassing/funny/embarrassing/brag-worthy yearbooks.

77. Share embarrassing photos.

Trade some old photos with your date, whether they’re funny baby pictures or cringe-worthy high school graduation photos. Besides providing some good laughs, it will keep your conversation flowing and help you both see things from different perspectives.

78. Date night with arts and crafts.

When you were a kid, did you love making arts and crafts? Chances are, if you have kids, you have a lot of arts and crafts supplies. You can get creative by raiding kids’ paints, crayons, and art supplies.

Make paper plate animal masks and compete to see who can make the best. Or, painting landscape portraits with Bob Ross is a really fun way to make it extra fun. The key is to enjoy yourself, whatever you do

79. Create a slip ‘n slide.

Slip ‘n Slides are a summer must-have for kids. But, you can also enjoy this activity as an adult. Besides being a surefire hit, this silly date is a great way to cool off during the summer.

80. Plan a treasure hunt.

Find hidden treasures with your family and friends by placing clues around your home or neighborhood.

81. Play board games.

It’s also possible to get a little more adventurous with some strategy games or classics like Monopoly, Clue, or Risk. Alternatively, checkers is always a good choice if you want something a little less cerebral.

82. Go to the arcade for the night.

All you need are some quarters to have a blast at an arcade. To make it more exciting, place a bet on the person who is most likely to win the largest prize.

83. Play retro video games.

Switch on that Nintendo 64 and dust off those old controllers! Play Mario Kart, Mario Party, and all your favorite classics as Mario, Princess Peach, or Toad for the night.

84. Listen to your throwback records, vintage tapes, or mix CDs.

When you were dating, pick the albums that meant the most to you. Alternatively, if you’re dating, share songs that were important to you before.

85. Design and build a blanket fort.

Get in touch with your inner child by building an indoor blanket (or pillow) fort.

86. Fly kites or RC planes.

This is a cheap and fun way to get outside, get some fresh air, and feel like a kid again.

87. Have a water gun fight.

Get water guns out and have a fight. That’s all I have to say. What about a winter alternate? Have an old-fashioned snowball fight.

88. Go rollerblading or skating.

A local park is a great place to get good exercise; or, head to a skating rink. Ice skating is an excellent cold winter alternative.

89. Relive your first date.

First dates can be fun, romantic, and awkward at the same time. Think back on that first date and remember all the best parts.

90. Hide and Seek with a flashlight.

It’s no secret that children love to play hide and seek. It doesn’t matter if they hide in the same five places (and over and over again). Make this fun game even more fun by playing it at night.

Play hide and seek with flashlights only while the entire house is dark. By shining their light on you, the seeker will find you. In the dark, you can hide in so many places.

Go on a Double Date

91. Rent or borrow bikes to explore the city.

When it comes to seeing a city, what is the best method? Go for a bike ride. As a result, you’ll get some exercise and fresh air, and you’ll cover more ground. Plus, you have plenty to discuss with your group.

92. Do a taste test.

To compare food from three places, pick up the same kind from each. Consider pizza, cookies, or brownies that are small and inexpensive.

93. Complete a mystery board game.

You’ll have a blast playing these murder mystery games with your partner and friends. As one of the best cheap date ideas, this one is wildly popular and around $20.

94. Play Groupon roulette.

Among the things Groupon offers, some are definitely better than others. Why not give something new a try?

Take a look at the site and choose something you wouldn’t normally do, such as a dance class or a paint night. Don’t be afraid to step outside your comfort zone with your couple of friends.

95. Go bowling.

You’ll pay less if you bowl early. For up to five people, an hour of bowling at my local bowling alley costs only $20. There is an additional fee of $3 for shoe rentals.

96. Arrange a potluck.

Potluck dinners are a great option for a budget-friendly feast. Plus, it’s a great way to show off your signature dish.

97. Visit a dog park with your dogs.

Take your dog or the dog of a friend to the dog park. The exercise and extra attention will benefit your dog, as well as your socialization with other furry friends. You are basically on a triple date if you are meeting a couple who also owns a dog.

98. Get together and learn a new language, then make plans to go somewhere where you can speak it someday.

Couldn’t it be cool if you could converse with people from another country in their own language? As well as being fun and useful, learning a new language increases brain function and clarity as well.

Taking a class online or in person is an option for you and your friends. Once you’re ready, tell yourselves you’re saving up to travel to the destination of your choice, which will make for a memorable double date.

99. Have a yard sale.

Would you like to get rid of some things that are collecting dust with your friends? Join together for a yard sale. It will be fun to create the plan, decorate the signs, and host the event with your friends. As a result, your house will be less cluttered, you’ll have more money, and you’ll be closer to each other.

100. Make your double date a finanical challenge.

Ensure that each couple agrees to challenge each other to a date under $50 — including childcare.

Conclusion

Date nights are successful if you spend quality time with your partner, not if you spend a lot of money. The 100 ideas featured here will help you create cherished memories and nurture your relationship without straining your wallet.

So, what are you waiting for? Plan your next unforgettable date night now.

FAQs

When it comes to dating, how much should you actually spend?

The amount you can afford should be determined by your paycheck.

According to Cosmopolitan, men spend on average $80 on their first date. On average, people spend $50-$100 on date nights once a month, based on other sources. 58% of women, however, do not even want to go on expensive dates, according to Match.com.

What are some good cheap date ideas for a first date?

It’s possible to keep things low-key and affordable on your first date. For a cheap first date, try these ideas:
- Take a walk or have a coffee.
- Explore your neighborhood on foot.
- Take a picnic at the park.
- Visit a museum or art gallery.
- Enjoy a free concert or show.
- Go bowling or mini-golfing.
- Play board games or video games together.
- Observe the stars.
- Volunteer together.
Is there a way to make a cheap date more special?

You can still make your date special even on a budget. The following tips will help:
- Even a little bit of dressing up goes a long way.
- If you can, bring flowers or a small gift.
- Choose a fun activity that you and your partner will both enjoy.
- Be sure to think about the details, such as reservations and setting the mood.
- Invest time in getting to know each other and spending quality time together.
What makes a cheap date fun?

There are many ways to make a cheap date fun. Here are a few tips:
- Imagination is key. Don’t be afraid to think outside the box if you want to have fun on a budget.
- Keep the experience in mind. What matters most is having fun and enjoying one another’s company. There is no need to worry about spending a lot of money.
- Be spontaneous. Sometimes the best dates are the ones that aren’t planned. Don’t hesitate to take advantage of something that catches your attention.
- Work together as a team. You can have a lot of fun planning a date with your partner. Brainstorm ideas and pick activities you both enjoy.
- Ask for help if you need it. If you can’t come up with any ideas, ask your friends or family for suggestions. You might get some good ideas for a fun and cheap date from them.
The post 100 Super Fun, Cheap, or Free Date Night Ideas appeared first on Due.
John Rampton

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September 1, 2023
This Week’s Most Viral News: September 1, 2023

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September 1, 2023
Budget-Friendly Bites: How to Use Dining Offers and Coupons That Make Eating Out More Affordable? | Entrepreneur
While we all love eating out at popular restaurants, no one loves draining their pockets! However, with careful planning and the right strategies, you can enjoy dining out without burning a hole in your pocket. Whether it’s a pizza night with friends or a family dinner, it pays to make the most of discounts and coupons. Eating out need not be an expensive ordeal for your finances when you know how to take advantage of deals, discounts, and credit card offers.

If you are wondering about the best strategies to save on your meals, we have got you covered in this article. Explore some practical tricks that would help you save money while you enjoy appetizing meals each week. Ranging from restaurant deals to loyalty programs, we will guide you to enjoy budget-friendly bites throughout the year.

Why do restaurants offer deals and discounts?

Have you ever wondered why restaurants and cafes offer heavy discounts to their customers?

Well, it’s just a part of their marketing strategy. Everyone loves relishing quality meals at affordable costs, right? You’d find it challenging to deny free stuff!

Carefully crafted deals attract hundreds of new customers to restaurants. Whether it’s the pizzeria, a bar or pub, or even a casual restaurant, discounts work wonders for these establishments. Restaurants can draw new customers and eventually scale their business.

Let’s take a look at these numbers to give you a better idea about the popularity of deals and discounts at restaurants.
- In 2020, 88% of customers applied a coupon at restaurants.
- 38% of customers would be ready to travel an additional distance of 10 miles to avail of restaurant deals.
- A study reveals that 81% of customers regularly look out for dining deals.
- Around 33% of restaurant-goers decide where to eat out based on the availability of deals.
- While purchasing meals, 77% of customers use restaurant coupons.
Different types of restaurant deals and discounts you should know

Explore the different types of restaurant deals and discounts that should help you save money while eating out.

Buy one get one (BOGO) offers

BOGO offers have been a tried-and-tested strategy for restaurants to draw new customers. Customers get the opportunity to maximize the value of their money. Depending on where you eat, you might come across different types of BOGO offers. These include:
- The second bowl of noodles or pizza comes free when you pay for the first one
- The second item comes at 50% of its price when you purchase the first one
- You may also get a cheaper item when you pay full price for the first one
These promotional offers at restaurants draw new customers and go a long way in establishing their popularity. As a consumer, why not capitalize on these deals and look out for maximum discounts for large meals?

Remember, these offers are available only for a limited period on selected items. So, you need to keep track of the restaurants giving away these deals.

Student discounts

If you happen to be a student or a college-goer, student discounts at restaurants can save you food bills worth hundreds of dollars throughout the year. When you live on limited funds, it pays to be frugal and make the most of these discounts.

Many restaurants offer student discounts of up to 10% or even more to attract buyers. While you can enjoy these deals directly at some restaurants, others require you to make a purchase above a certain value.

At some eateries, you may have to produce a valid identity card. Even if the restaurant doesn’t require your documents, make sure to inquire about the discount before you place the order.

Apart from offering discounts to students, some restaurants offer free add-ons. So, there’s none stopping you from exploring delicious dishes and exciting your taste buds, even when you live on limited funds.

Combo food deals

We all love combo deals, particularly when restaurants meticulously pair up our favorite meals and drinks. As a customer, you would look out for a full meal at a minimal cost at restaurants. That’s why some restaurants oblige customers with a combination of commonly paired food and drinks. They price the combo meal in such a way that customers end up saving some money.

In other words, you would have to pay more had you purchased those items individually rather than going for the combo meal.

Look out for combo meals at different restaurants for lunch, dinner, or parties. This way, you would save lots of money throughout the year while enjoying the same menu.

The larger your ticket size, the more you can save through combo meals. So, plan your purchases strategically so that you can save a portion for the next day when you order the food home.

Happy hours or time-based discounts

You might already have noticed some local restaurants and cafes offering time-based deals. Popularly known as “happy hours’, these deals bring you a great opportunity to save money on meals by making your purchase within a particular time window.

Some restaurants offer this type of deal on specific days in a week or within specific hours on multiple days in a week. During happy hours, you can purchase meals, appetizers, or drinks at discounted prices. Certain restaurants offer these discounts on a first-come-first-serve basis. Unless you turn out to be an early bird during the limited window, you won’t be able to save!

In most restaurants, you would find the happy hours timed after the peak hours. They strategically choose this sales window so that they continue to get customers even after the prime hours are gone.

Military discounts

Some restaurants have devised a noble way to show their appreciation to US citizens who served the country as a part of the military. In case you are a veteran or active-duty military personnel, you may check out these special discounts. Certain eateries also offer military discounts to the family members of soldiers or war veterans.

In most cases, you can save between 10% and 20% as a part of your military discount. Explore different dining options like take-out meals, dine-in, curb-side pickup, or home delivery orders.

You would have to furnish your proof of service, such as your military ID card, at some restaurants to avail of a military discount. At other restaurants, you need to mention the discount when you place your order or reserve a table.

Calendar-based discounts

Calendar-based restaurant discounts are popular among customers. Usually, restaurants offer this discount on particular days of the month or week or during specific periods all year round.

For instance, some restaurants offer a discount of 15% on the first week of every month. In other restaurants, you may enjoy a discount of 20% every Monday. Besides, some eateries offer these deals on special occasions like Christmas, New Year, or Valentine’s Week.

So, it pays to keep track of these calendar-based discounts at different restaurants. Once you know the discount schedule throughout the month, you can make savings consistently. Now calculate how much you can save on your food fills throughout the year if you can save at least 10% each time you eat out.

Remember, calendar-based discounts are mostly applicable on selected items. So, you need to explore restaurants offering such discounts on your favorite dishes.

Dollar-off discounts

Many new restaurants offer dollar-off discounts at the initial stages of their marketing strategy. For instance, a restaurant might offer a discount of $10 when your purchase value exceeds $100. This is typically a skimming strategy used by new cafes and eateries – a great tactic to encourage customers to try out their meals

First-party discounts

First-party discounts apply to buyers who place online food orders directly on the website or app of the restaurant. You may not benefit from these deals if you habitually order food through third-party apps. So, keep an eye open for first-party discounts at popular restaurants and try to save more by shopping directly from them.

Now, if you find a third-party platform offering credit card discounts or any other special deal, compare the savings in both cases. Accordingly, you can make the purchase strategically to maximize your savings.

Gift card discounts

Gift cards have gained popularity across all retail sectors, and the food business has quickly adopted the strategy. This is a great way to save money, given that you can purchase gift cards at reputed restaurants at a discounted price. With this discount, you can end up saving up to 20% on your meals. Gift card discounts apply to both food and drinks. Besides, you may order food online by making payments using discounts to save more. For instance, a $45 gift card may fetch you meals worth $50.

Birthday discounts

Well, we all love getting gifts on our birthdays. Why not go for discounts that many restaurants offer on these special days?

Birthday discounts bring you the opportunity to save money at restaurants. Although you get it just once a year, it pays to keep track of the maximum discount you get. Also, consider eating out with your family on those special days. You might save significantly on the birthdays of all your family members while remaining informed about these deals.

Endnote

Cultivating the habit of conscious spending defines the secret to attaining financial freedom. So, it’s crucial to decide how frequently you eat out, where you go, and how much you spend. This shouldn’t deprive you of the delicious cuisines around you, right?

There’s plenty of scope to save money on meals and dining once you look around. Restaurant deals continue to be one of the best avenues to make savings. Apart from these recommendations, check out offers on your credit cards from time to time. This way, you can save small percentages throughout the year.

Look out for different types of restaurant discounts and make the most of these deals.

FAQ

What are some apps that can help me save on restaurant meals?

Saving on restaurant meals is easy with popular apps like Groupon, Hooch, LivingSocial, and OpenTable. Groupon allows customers to save on different purchases, including dining through cashback offers and fixed-price discounts.

Hooch is another app through which you can earn rewards for lifestyle purchases and dining. Also, there’s an option to get paid membership for additional benefits like a free drink daily.

You may also check out apps like LivingSocial and OpenTable that can fetch you discounts, discounted meal kits, and points for booking restaurant reservations. Some of these apps also come with provisions such as gift cards.

What are AARP restaurant discounts?

AARP (American Association of Retired Persons) discounts apply only to AARP members. This is a special discount for those senior citizens where they can enjoy a certain discount at participating restaurants while purchasing food and beverages.

Can I get discounts on bulk orders at restaurants?

Yes, many restaurants offer discounts on bulk orders to their customers. So, if you purchase items for large groups, such as family-style food or pizzas, you can qualify for these deals. Restaurants appreciate your presence and decision to purchase sizable amounts of food from them and thereby provide these discounts.

Which credit card can help me get the maximum discount at restaurants?

Different banks partner with restaurants to provide discounts to their customers through their credit cards. You can check with your bank whether their credit cards offer discounts on local restaurants. Accordingly, get a new credit card to maximize your savings at restaurants.

What are the popular types of incentives that restaurants provide?

Deals and discounts at restaurants are the most common forms of incentives. Apart from this, you can also get gift vouchers, gift cards, or points that you can redeem later. With some credit cards, you can also earn additional reward points while eating out at select restaurants.

The post Budget-Friendly Bites: How to Use Dining Offers and Coupons That Make Eating Out More Affordable? appeared first on Due.
Angela Ruth

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September 1, 2023
3 Takeaways from the August Inflation Report | Entrepreneur

The market advanced following the August PCE price index report, but investors and traders should not discount the news. The PCE index remains cool relative to the peaks of the inflation scare, but there are signs that the cooling is over.

Inflation may accelerate again; the evidence could come as early as next month’s data. The underpinning force for inflation is oil, and oil prices are rising.

1. PCE is Cool, but Prices Still High

Compared to last month, the PCE index was as expected and flat at 0.2% momentum (MOM) at the headline and core levels. This is good news because it aligns with slowing inflation, but that is where the good news ends. The year-over-year (YoY) comps were hot at the headline and core levels, showing accelerating inflation. On a component basis, all segments were higher than last year, except for rising energy and energy prices.

At 4.2% core, the FOMC should not ease back on rates, and there is a high likelihood it will raise rates again before the end of the year. Assuming inflation accelerates, there could still be two or more interest rate hikes, and there is reason to believe that inflation will continue to accelerate. Regardless, higher prices impact consumer spending.

Spending has shifted to everyday items and consumables from discretionary, as seen in reports from retailers like Walmart (NYSE: WMT), Target (NYSE: TGT) and Dollar General (NYSE: DG). Higher prices have also led to increased theft, significantly impacting corporate earnings.

2. As Oil Prices Rise, Inflation Will Accelerate

The primary reason is oil prices. Oil prices corrected over the last year on fears of slowing growth, but the floor is in. OPEC and Russia have conspired to keep production below the demand forecast, a lever for higher prices. Regarding the impact of energy on the PCE index, energy prices are down a mid-teen percentage point compared to last year, but this is the last month of “good” comps. The oil price will be more closely aligned with last year’s levels next month, suggesting the downward pressure on consumer-level inflation has run its course.

The price of West Texas Intermediate (WTI) gained more than 3% for the week, aided by a larger-than-expected drawdown of U.S. inventories. Inventories fell more than 10 million barrels compared to the six million expected, compounded by a weaker-than-expected build in seasonal distillate stocks. Heating oil stockpiles rose less than expected, suggesting additional crude drawdowns over the coming weeks.

3. Mispricing the FOMC

The market is mispricing the FOMC, setting it up for a fall. The CME Fedwatch Tool still shows only a 50% chance for one more 25-basis point hike. Despite the Fed’s insistence that inflation is still hot, there are risks to the economy — at least one more hike is likely. The tool also shows a significant probability that interest rates will peak in November, which is wishful thinking at best.

The Fed may reach its peak this fall, but a cut is highly unlikely without a sustained inflation downturn. It can’t happen with oil prices rising. It is more likely the Fed will hold rates at or above the current level well into next year. That raises the specter of recession once again. The next FOMC meeting is in less than three weeks; there will be one more consumer-level inflation report before then.

The Technical Outlook for the S&P 500

The S&P 500 (NYSEARCA: SPY) advanced on the news, but the upside may be limited — the daily candles get smaller throughout the week, and resistance is at the 4,540 level. That level marks the bottom of a resistance zone, including the all-time high and capped gains over the summer.

If the market cannot get above this level, a double-top will be in play that could be confirmed upon the CPI data or the next FOMC policy statement. In that scenario, the S&P 500 could fall 5% or more before hitting its first bounce and 10% or more before the movement ends.

Thomas Hughes

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August 31, 2023
The Ultimate Guide to Finance: How to Turn Data into Art? | Entrepreneur

While you might have heard that data is the new currency, it continues to be the lifeblood of the dynamic finance industry. However, when it comes to tons of data streaming from an assortment of sources, financial institutions might find the volume overwhelming! That’s the crisis that gave birth to the concept of data visualization, the art of turning data into art.

In this article, let’s explore how data visualization has been revolutionizing the finance sector. Transforming raw financial data into visually appealing and understandable formats elicits meaningful insights. While Spreadsheets aren’t viable anymore with tons of data flowing in, finance professionals can seamlessly manage information through data visualization.

What is Financial Data Visualization?

Data visualization refers to the process of visualizing massive data sects graphically. These visuals, available as charts, graphs, or infographics, make it easier to understand how different factors are correlated in finance. Banks, investment brokers, insurance companies, and other organizations working in the ambit of finance are leveraging data visualization to identify market trends.

With data visualization, you can gain real-time insights into different financial aspects to make informed decisions. Whether it’s a real estate investment, financial planning for your future, retirement planning, investing in stocks or commodities, or making cryptocurrency investments, data visualization streamlines the process.

Financial data visualizations involve the visual representation of information in profit and loss sheets, balance sheets, and cash flow statements. This enables finance teams to easily evaluate the information and share relevant trends, opportunities, and exceptions. Thus, you can transform static data in large volumes into a more meaningful story that comprehends data trends.

Why Does Data Visualization Matter in Finance?

In the fast-paced world of finance, successful players need to communicate data concisely and clearly. Text-based reports or Spreadsheets fail to convey the insights hidden within complex financial data. Data visualization brings you a comprehensive solution, maximizing visual engagement through the appropriate presentation.

Here’s why forward-thinking financial organizations are leveraging the power of data visualizations.

Better Understanding

There’s no denying that financial data comes in massive volumes, and it is incredibly challenging to interpret them manually. So, when it comes to interpreting complex patterns, trends, and relationships between data variables, using the appropriate visualization technique becomes necessary. The intrinsic relationships become more apparent when you present data visually. Financial institutes often use data visualization techniques to enable stakeholders to grasp underlying concepts quickly.

Better Decision-Making

Through data visualization, organizations gain a comprehensive overview of financial data. Thus, they adopt a data-oriented stance in their decision-making processes. This encourages businesses to make better and more realistic decisions based on the challenges they encounter. For instance, interactive visual elements like graphs and bars in different colors enable users to explore data from different angles. In the process, they can uncover insights and identify potential opportunities and risks.

Efficient Communication

Well-designed visualizations can effectively communicate financial data to stakeholders. Regardless of the financial literacy of these stakeholders, they can easily comprehend financial data trends. Well-presented visuals simplify complex concepts, making financial data easily ingestible by everyone.

Engaging Presentations

The visual appeal of well-laid-out financial data captivates audiences and seeks their attention. With impactful presentations on financial products like mutual funds and annuities, organizations can help their clients understand patterns and make informed decisions. Data visualization tools also enable these organizations to strengthen their marketing techniques.

What Are The Popular Tools And Techniques For Presenting Financial Data?

Forward-thinking financial organizations are experimenting with a wide plethora of tools and techniques to transform data into art. These include:

Data Visualization Tools

Specialized data visualization tools like Tableau, Power BI, and QlikView have been designed specifically for finance professionals. These tools come integrated with advanced features such as real-time data updates, integration with financial systems, and interactive dashboards.

Infographics and Data Storytelling

Infographics combine visual elements with concise text. Thus, the artistic representation of financial data tells compelling stories. Infographics are effective for summarizing complex financial data and presenting them in a visually appealing format. This makes it easy for others to understand and share this data.

Interactive Dashboards

Interactive dashboards allow users to explore financial data in real time. Advanced options in these systems support features like filtering information to drill down into specific details. Besides, dashboards bring you an intuitive way to monitor key performance indicators (KPIs). Besides, financial analysts use data visualization tools to identify trends, track financial metrics, and detect discrepancies.

Geospatial Visualizations

Geospatial visualizations integrate financial data onto maps. As a result, users can compare and analyze financial performance across regions. This technique proves to be useful for MNCs or businesses dealing with financial data across diverse demographics.

Storyboarding

Storyboarding involves the creation of a sequence of visualizations. These visualizations convey a story or a specific financial message. The technique proves effective in presenting financial data in a narrative format which guides the viewers through a logical flow of information.

How Is Data Visualization Used in the Finance Domain?

Let’s explore some use cases of data visualization in the financial domain to understand its true potential.

Data interpretation made easy

One of the easiest ways to harvest financial data for marketing, operations, or decision-making is using data visualization. Remember, humans are capable of processing images 60,000 times faster than text. Data visualization makes understanding and learning from data much easier. Thus, this art of presenting data simplifies the process of conveying messages and insights.

Besides, traditional methods of evaluating data often offer historical information based on static data. By the time data is processed and cleaned after collection, it becomes obsolete. Thus, it might not aid decision-making due to the lack of relevance. Banking or investment professionals need the latest data to drive decisions. Since data visualization tools generate insights in real time they ensure that the information retains its relevance.

Quick identification

Gone are the days when account managers or financial professionals had to sift through sheets of Excel Data. You can now generate a graphical representation of any given dataset using data visualization tools. So, you can choose any type of presentation, such as heat maps, pie charts, line charts, or bar charts, to identify micro and macro details of the same dataset instantly.

Identifying Fraud Patterns

With the banking sector witnessing increasing instances of financial fraud, data visualization reports help identify fraud patterns. Whether the issue lies in credit card fraud, cryptocurrency fraud, or any other type of discrepancy, data visualization helps identify abnormal patterns.

Thus, employees and cybersecurity experts working in the finance and fraud detection domain obtain the necessary information to mitigate the risks of fraudulent activities. This serves as a powerful defense mechanism against increasing menaces like online data theft or unauthorized credit card access.

Data Sharing and Collaboration

Large financial enterprises with a global presence largely deploy data visualization tools to share information and collaborate. Advanced tools come integrated with sharing features that enable users to share data and reports between employees, teams, and departments. This fosters a better collaborative environment within the organization. Thanks to the advanced feature of data visualization tools, financial teams working at different branches can collaborate, regardless of their locations.

Financial Forecasting

Financial forecasting helps organizations predict how they will perform financially in the future. Data visualization apps help examine this data from a wide range of sources, enabling organizations to gain a holistic picture of their finances.

With accurate financial predictions such as the number of sales, fixed and variable costs, revenues, and expected capital expenditure, businesses can remain financially resilient. This explains why business analysts and financial experts largely bank on the art of data visualization.

Cash Flow Analytics

Using cash flow analytics tools, organizations can determine their working capital. The problem with traditional accounting tools is that they can carry out basic analysis by checking the statements at the end of the month. However, these systems miserably fail with analytics as they cannot segregate the sources of data.

Data visualization tools leverage technology to collect financial data from different sources. Thus, they offer a comprehensive overview of financial data to help organizations accurately forecast their cash flow and reduce risk. Besides, smart analytics tools enable them to get a better understanding of their current cash flow.

Management Reporting

C-level executives and CFOs often need comprehensive financial reports to map their organization’s overall fiscal journey and stature. This includes relevant reports on how individual entities performed in the organization.

However, holistic financial reports also explain how the business performed as a whole. This makes it necessary to integrate visualization data from different systems so that it projects the complete picture of the financial performance. Sophisticated data visualization tools are built to elicit these necessary details and assist crucial decision-making processes.

Consumer Analytics and Insights

Data visualization also reveals how your customers interact with your business while carrying out transactions. With real-time financial data, you can track sales or remain informed about marketing strategies that work. An increasing number of global businesses are leveraging consumer analytics to make data-driven marketing decisions. Thus, business leaders can analyze consumer behavior by location or market segment to share the results instantly with their team.

These smart-systems deliver a single view of their customer preferences. Leveraging data visualization, brands can tweak their strategies to retain customers who drive business profits. Accordingly, they can also develop personalized offerings and loyalty programs to enhance consumer satisfaction.

Endnote

Turning data into art through visualization is a powerful tool in the financial domain. These tools nurture better communication of complicated financial data and support informed decision-making. The artistic approach to collecting and presenting data in the form of storytelling makes complex processes easily ingestible, regardless of your financial literacy.

Global organizations are leveraging data visualization techniques and embracing the right tools to benefit from the true potential of financial data. Finance professionals are already transforming it into visually captivating and actionable insights.

When presented as art, data serves as a bridge between complex financial details and their interpretation. Therefore, businesses need to embrace the power of visualization to revolutionize their approach to finance.

FAQ

How does data visualization enhance financial risk management?

Data visualization goes a long way in mitigating financial risk, as financial analysts can study the visual representation of risk factors. Accordingly, they can figure out the corresponding impact on different financial metrics. Thus, analysts can identify and assess potential risks more effectively, adopting a proactive stance to risk mitigation strategies. Using data visualization, organizations can understand the relationship between different risk factors. Thus, they can make informed decisions to stabilize their finances.

Can data visualization help in portfolio management and asset allocation?

Professionals can streamline serious financial tasks like asset allocation and portfolio management through data visualization. These experts visually represent investment portfolios and their performance metrics. This helps them to perform activities like diversification of risk, allocating strategies, and evaluating performance. Besides, portfolio managers largely count on data visualization tools to identify trends, analyze historical performance, and make data-driven decisions.

How does data visualization help in regulatory compliance in the finance industry?

Data visualization helps financial institutions fulfill regulatory compliance requirements more efficiently. Businesses can visualize and present compliance-related data to monitor and track adherence to AML (anti-money laundering) regulations. Visual representations of compliance data enable organizations to quickly identify and work on discrepancies.

How does data visualization support financial performance benchmarking?

Using data visualization tools, organizations can check their financial metrics with ease. For instance, visually representing key performance indicators (KPIs) enable finance professionals at different organizations to identify performance gaps. Besides, they can measure their progress over time and set realistic targets for performance. Therefore, visually benchmarking financial performance helps organizations identify areas of improvement and get their financial strategies optimized.

Can data visualization contribute to sustainability reporting in finance?

Yes, data visualization can contribute to sustainability reporting within the finance industry. Organizations can visualize their environmental, social, and governance (ESG) data using data visualization and communicate the same transparently. Besides, these data-oriented representations allow investors and regulatory bodies to gain a better idea about the sustainability performance of the organization.

The post The Ultimate Guide to Finance: How to Turn Data into Art? appeared first on Due.

Peter Daisyme

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August 31, 2023