How Did This Happen?

On October 3, the majority of our elected officials agreed that taxpayers should pick up the tab on Wall Street's bad investments.  So Bush got what he wanted, and before anybody really understood the whole picture, a staggering $700 billion bail out package had been signed into law.

A week later, we were still standing on the sidelines, watching helplessly as our 401Ks vaporized and asking, “What just happened?”

What Are the Risks?

With the recent turmoil in the financial markets and the full extent of losses for private investors still to be determined, we can at least thank our lucky stars for one thing:  The Bush administration’s failed efforts to privatize the Social Security system kept that money out of the hands of Wall Street. That’s not to suggest anyone should expect a monthly Social Security check to provide for all their retirement income needs, but it does raise a few good questions: Are you planning for retirement?  What are the risks now? Should I have a fallback plan?

Liquid or Solid?

For three decades, money market funds have been a popular way to invest and save for the future. If you’re brand new to investing, you need to know a few basics about how these funds operate before you become a shareholder. That’s especially true in today’s uncertain economic climate, because the risk of an investment in money market funds has increased. (We’ll explain why in a few minutes, but first provide some background.)