News

Firm Name Change Announced

Etico Wealth Management, LLC, (Etico WM) formerly known as DLG Wealth Management, LLC has changed their name in order to provide a more recognizable association with their affiliate broker dealer, Etico Partners, LLC, member FINRA, SIPC. Etico WM is a seasoned Investment Advisory firm registered with the Securities and Exchange Commission (SEC). With headquarters in Clifton Park, NY and offices located throughout the US, Etico WM offers a wide range of investment management and financial planning services for individuals, family groups, small businesses or institutions.

Wendy Elliott, CEO of Etico WM, expressed her excitement with the recent change stating, “this provides us with a great opportunity to continue offering high-quality wealth management services with an ethical focus on building and maintaining strong relationships with our clients as well as providing a stronger affiliation with the broker-dealer Etico Partners, LLC.”

Joe Leo, Executive Vice President and a long-tenured Etico Wealth Management advisor, stated “as a growing business with strong roots in multiple states we felt that the name change provided more recognition and clarity for our business moving forward.”

 

Retirement Planning: The Basics

You may have a very idealistic vision of retirement — doing all of the things that you never seem to have time to do now. But how do you pursue that vision? Social Security may be around when you retire, but the benefit that you get from Uncle Sam may not provide enough income for your retirement years. To make matters worse, few employers today offer a traditional company pension plan that guarantees you a specific income at retirement. On top of that, people are living longer and must find ways to fund those additional years of retirement. Such eye-opening facts mean that today, sound retirement planning is critical. But there’s good news: Retirement planning is easier than it used to be, thanks to the many tools and resources available. Here are some basic steps to get you started.

Determine your retirement income needs

It’s common to discuss desired annual retirement income as a percentage of your current income. Depending on whom you’re talking to, that percentage could be anywhere from 60% to 90%, or even more. The appeal of this approach lies in its simplicity. The problem, however, is that it doesn’t account for your specific situation. To determine your specific needs, you may want to estimate your annual retirement expenses. Use your current expenses as a starting point, but note that your expenses may change dramatically by the time you retire. If
you’re nearing retirement, the gap between your current expenses and your retirement expenses may be small. If retirement is many years away, the gap may be significant, and projecting your future expenses may be more difficult. Remember to take inflation into account. The average annual rate of inflation over the past 20 years has been approximately 2%.1 And keep in mind that your annual expenses may fluctuate throughout retirement. For instance, if you own a home and are paying a mortgage, your expenses will drop if the mortgage is paid off by the time you retire. Other expenses, such as health-related expenses, may increase in your later retirement years. A realistic estimate of your expenses will tell you about how much yearly income you’ll need to live comfortably.

Calculate the gap

Once you have estimated your retirement income needs, take stock of your estimated future assets and income. These may come from Social Security, a retirement plan at work, a part-time job, and other sources. If estimates show that your future assets and income will fall short of what you need, the rest will have to come from additional personal retirement savings.

Figure out how much you’ll need to save

By the time you retire, you’ll need a nest egg that will provide you with enough income to fill the gap left by your other income sources. But exactly how much is enough? The following questions may help you find the answer:
• At what age do you plan to retire? The younger you retire, the longer your retirement will be, and the more money you’ll need to carry you through it.
• What is your life expectancy? The longer you live, the more years of retirement you’ll have to fund.
• What rate of growth can you expect from your savings now and during retirement? Be conservative when projecting rates of return.
• Do you expect to dip into your principal? If so, you may deplete your savings faster than if you just live off investment earnings. Build in a cushion to guard against these risks.

Build your retirement fund: Save, save, save

When you know roughly how much money you’ll need, your next goal is to save that amount. First, you’ll have to map out a savings plan that works for you. Assume a conservative rate of return (e.g., 5% to 6%), and then determine approximately how much you’ll need to save every year between now and your retirement to reach your goal. The next step is to put your savings plan into action. It’s never too early to get started (ideally, begin saving in your 20s). To the extent possible, you may want to arrange to have certain amounts taken directly from your paycheck and automatically invested in accounts of your choice [e.g., 401(k) plans, payroll deduction savings]. This arrangement reduces the risk of impulsive or unwise spending that will threaten your savings plan — out of sight, out of mind. If possible, save more than you think you’ll need to provide a cushion.

Understand your investment options

You need to understand the types of investments that are available, and decide which ones are right for you. If you don’t have the time, energy, or inclination to do this yourself, hire a financial professional. He or she will explain the options that are available to you, and will assist you in selecting investments that are appropriate for your goals, risk tolerance, and time horizon. Note that many investments may involve the risk of loss of principal.

Use the right savings tools

The following are among the most common retirement savings tools, but others are also available.
Employer-sponsored retirement plans that allow employee deferrals [like 401(k), 403(b), SIMPLE, and 457(b) plans] are powerful savings tools. Your contributions come out of your salary as pre-tax contributions (reducing your current taxable income) and any investment earnings are tax deferred until withdrawn. These plans often include employer-matching contributions and should be your first choice when it comes to saving for retirement. 401(k), 403(b) and 457(b) plans can also allow after-tax Roth contributions. While Roth contributions don’t offer an immediate tax benefit, qualified distributions from your Roth account are free of federal, and possibly state, income tax.

IRAs, like employer-sponsored retirement plans, feature tax deferral of earnings. If you are eligible, traditional IRAs may enable you to lower your current taxable income through deductible contributions. Withdrawals, however, are taxable as ordinary income (unless you’ve made nondeductible contributions, in which case a portion of the withdrawals will not be taxable). Roth IRAs don’t permit tax-deductible contributions but allow you to make completely tax-free withdrawals under certain conditions. With both types, you can typically choose from a wide range of investments to fund your IRA.

Annuities are contracts issued by insurance companies. Annuities are generally funded with after-tax dollars, but their earnings are tax deferred (you pay tax on the portion of distributions that represents earnings). There is generally no annual limit on contributions to an annuity. A typical annuity provides income payments beginning at some future time, usually retirement. The payments may last for your life, for the joint life of you and a beneficiary, or for a specified number of years (guarantees are subject to the claims-paying ability of the issuing insurance company). Annuities may be subject to certain charges and expenses, including mortality charges, surrender charges, administrative fees, and other charges.
Note: In addition to any income taxes owed, a 10% premature distribution penalty tax may apply to taxable distributions made from employer-sponsored retirement plans, IRAs, and annuities prior to age 59½, unless an exception applies.
1 Calculated form Consumer Price Index (CPI-U) data published by the Bureau of Labor Statistics, January 2020

IMPORTANT DISCLOSURES

Broadridge Investor Communication Solutions, Inc. does not provide investment, tax, legal, or
retirement advice or recommendations. The information presented here is not specific to any
individual’s personal circumstances. To the extent that this material concerns tax matters, it is not intended or written to be used, and cannot be used, by a taxpayer for the purpose of avoiding penalties that may be imposed by law. Each taxpayer should seek independent advice from a tax professional based on his or her
individual circumstances. These materials are provided for general information and educational purposes based upon publicly available information from sources believed to be reliable — we cannot assure the accuracy or
completeness of these materials. The information in these materials may change at any time and
without notice.

Etico Wealth Management, LLC
Joseph Leo
Executive Vice President
1795 Route 9
Clifton Park, NY 13413
518-348-0060 x405
315-790-5511
jleo@eticony.com

Understanding Social Security

Approximately 68 million people today receive some form of Social Security benefits, including retirement, disability, survivor, and family benefits. (Source: Fast Facts & Figures About Social Security, 2019) Although most people receiving Social Security are retired, you and your family members may be eligible for benefits at any age, depending on your circumstances.

How does Social Security work?

The Social Security system is based on a simple premise: Throughout your career, you pay a portion of your earnings into a trust fund by paying Social Security or self-employment taxes. Your employer, if any, contributes an equal amount. In return, you receive certain benefits that can provide income to you when you need it most–at retirement or when you become disabled, for instance. Your family members can receive benefits based on your earnings record, too. The amount of benefits that you and your family members receive depends on several factors, including your average lifetime earnings, your date of birth, and the type of benefit that you’re applying for.

Your earnings and the taxes you pay are reported to the Social Security Administration (SSA) by your employer, or if you are self-employed, by the Internal Revenue Service. The SSA uses your Social Security number to track your earnings and your benefits.

You can find out more about future Social Security benefits by signing up for a my Social Security account at the Social Security website, ssa.gov, so that you can view your online Social Security Statement. Your statement contains a detailed record of your earnings, as well as estimates of retirement, survivor, and disability benefits. If you’re not registered for an online account and are not yet receiving benefits, you’ll receive a statement in the mail every year, starting at age 60. You can also use the Retirement Estimator calculator on the Social Security website, as well as other benefit calculators that can help you estimate disability and survivor benefits.

Social Security eligibility

When you work and pay Social Security taxes, you earn credits that enable you to qualify for Social Security benefits. You can earn up to 4 credits per year, depending on the amount of income that you have. Most people must build up 40 credits (10 years of work) to be eligible for Social Security retirement benefits, but need fewer credits to be eligible for disability benefits or for their family members to be eligible for survivor benefits.

Your Retirement Benefits

Your Social Security retirement benefit is based on your average earnings over your working career. Your age at the time you start receiving Social Security retirement benefits also affects your benefit amount. If you were born between 1943 and 1954, your full retirement age is 66. Full retirement age increases in two-month increments thereafter, until it reaches age 67 for anyone born in 1960 or later. But you don’t have to wait until full retirement age to begin receiving benefits. No matter what your full retirement age, you can begin receiving early retirement benefits at age 62. Doing so is sometimes advantageous: Although you’ll receive a reduced benefit if you retire early, you’ll receive benefits for a longer period than someone who retires at full retirement age. You can also choose to delay receiving retirement benefits past full retirement age. If you delay retirement, the Social Security benefit that you eventually receive will be as much as 8 percent higher. That’s because you’ll receive a delayed retirement credit for each month that you delay receiving retirement benefits, up to age 70. The amount of this credit varies, depending on your year of birth.

Disability Benefits

If you become disabled, you may be eligible for Social Security disability benefits. The SSA defines disability as a physical or mental condition severe enough to prevent a person from performing substantial work of any kind for at least a year. This is a strict definition of disability, so if you’re only temporarily disabled, don’t expect to receive Social Security disability benefits–benefits won’t begin until the sixth full month after the onset of your disability. And because processing your claim may take some time, apply for disability benefits as soon as you realize that your disability will be long term.

Family Benefits

If you begin receiving retirement or disability benefits, your family members might also be eligible to receive benefits based on your earnings record. Eligible family members may include:
• Your spouse age 62 or older, if married at least 1 year
• Your former spouse age 62 or older, if you were married at least 10 years
• Your spouse or former spouse at any age, if caring for your child who is under age 16 or disabled
• Your children under age 18, if unmarried
• Your children under age 19, if full-time students (through grade 12) or disabled
• Your children older than 18, if severely disabled
Each family member may receive a benefit that is as much as 50 percent of your benefit. However, the amount that can be paid each month to a family is limited. The total benefit that your family can receive based on your earnings record is about 150 to 180 percent of your full retirement benefit amount. If the total family benefit exceeds this limit, each family member’s benefit will be reduced proportionately. Your benefit won’t be affected.

Survivor Benefits

When you die, your family members may qualify for survivor benefits based on your earnings record. These family members include:
• Your widow(er) or ex-spouse age 60 or older (or age 50 or older if disabled)
• Your widow(er) or ex-spouse at any age, if caring for your child who is under 16 or disabled
• Your children under 18, if unmarried
• Your children under age 19, if full-time students (through grade 12) or disabled
• Your children older than 18, if severely disabled
• Your parents, if they depended on you for at least half of their support
Your widow(er) or children may also receive a one-time $255 death benefit immediately after you die

Applying for Social Security Benefits

The SSA recommends apply for benefits online at the SSA website, but you can also apply by calling (800) 772-1213 or by making an appointment at your local SSA office. The SSA suggests that you apply for benefits three months before you want your benefits to start. If you’re applying for disability or survivor benefits, apply as soon as you are eligible. Depending on the type of Social Security benefits that you are applying for, you will be asked to furnish certain records, such as a birth certificate, W-2 forms, and verification of your Social Security number and citizenship. The documents must be original or certified copies. If any of your family members are applying for benefits, they will be expected to submit similar documentation. The SSA representative will let you know which documents you need and help you get any documents you don’t already have.

IMPORTANT DISCLOSURES

Broadridge Investor Communication Solutions, Inc. does not provide investment, tax, legal, or
retirement advice or recommendations. The information presented here is not specific to any
individual’s personal circumstances. To the extent that this material concerns tax matters, it is not intended or written to be used, and cannot be used, by a taxpayer for the purpose of avoiding penalties that may be imposed by law. Each taxpayer should seek independent advice from a tax professional based on his or her
individual circumstances. These materials are provided for general information and educational purposes based upon publicly available information from sources believed to be reliable — we cannot assure the accuracy or
completeness of these materials. The information in these materials may change at any time and
without notice.

Etico Wealth Management, LLC
Joseph Leo
Executive Vice President
1795 Route 9
Clifton Park, NY 13413
518-348-0060 x405
315-790-5511
jleo@eticony.com

Estimating Your Retirement Income Needs

You know how important it is to plan for your retirement, but where do you begin? One of your first steps should be to estimate how much income you’ll need to fund your retirement. That’s not as easy as it sounds, because retirement planning is not an exact science. Your specific needs depend on your goals and many other factors.

Use your current income as a starting point

It’s common to discuss desired annual retirement income as a percentage of your current income. Depending on whom you’re talking to, that percentage could be anywhere from 60% to 90%, or even more. The appeal of this approach lies in its simplicity, and the fact that there’s a fairly common-sense analysis underlying it: Your current income sustains your present lifestyle, so taking that income and reducing it by a specific percentage to reflect the fact that there will be certain expenses you’ll no longer be liable for (e.g., payroll taxes) will, theoretically, allow you to sustain your current lifestyle. The problem with this approach is that it doesn’t account for your specific situation. If you intend to travel extensively in retirement, for example, you might easily need 100% (or more) of your current income to get by. It’s fine to use a percentage of your current income as a benchmark, but it’s worth going through all of your current expenses in detail, and really thinking about how those expenses will change over time as you transition into retirement.

Project your retirement expenses

Your annual income during retirement should be enough (or more than enough) to meet your retirement expenses. That’s why estimating those expenses is a big piece of the retirement planning puzzle. But you may have a hard time identifying all of your expenses and projecting how much you’ll be spending in each area, especially if retirement is still far off. To help you get started, here are some common retirement expenses:
• Food and clothing
• Housing: Rent or mortgage payments, property taxes, homeowners insurance, property upkeep and repairs
• Utilities: Gas, electric, water, telephone, cable TV
• Transportation: Car payments, auto insurance, gas, maintenance and repairs, public transportation
• Insurance: Medical, dental, life, disability, long-term care
• Health-care costs not covered by insurance: Deductibles, co-payments, prescription drugs
• Taxes: Federal and state income tax, capital gains tax
• Debts: Personal loans, business loans, credit card payments
• Education: Children’s or grandchildren’s college expenses
• Gifts: Charitable and personal
• Savings and investments: Contributions to IRAs, annuities, and other investment accounts
• Recreation: Travel, dining out, hobbies, leisure activities
• Care for yourself, your parents, or others: Costs for a nursing home, home health aide, or other type of assisted living
• Miscellaneous: Personal grooming, pets, club memberships

Don’t forget that the cost of living will go up over time. The average annual rate of inflation over the past 20 years has been approximately 2%.1 And keep in mind that your retirement expenses may change from year to year. For example, you may pay off your home mortgage or your children’s education early in retirement. Other expenses, such as health care and insurance, may increase as you age. To protect against these variables, build a comfortable cushion into your estimates (it’s always best to be conservative). Finally, have a financial professional help you with your estimates to make sure they’re as accurate and realistic as possible.

Decide when you’ll retire

To determine your total retirement needs, you can’t just estimate how much annual income you need. You also have to estimate how long you’ll be retired. Why? The longer your retirement, the more years of income you’ll need to fund it. The length of your retirement will depend partly on when you plan to retire. This important decision typically revolves around your personal goals and financial situation. For example, you may see yourself retiring at 50 to get the most out of your retirement. Maybe a booming stock market or a generous early retirement package will make that possible. Although it’s great to have the flexibility to choose when you’ll retire, it’s important to remember that retiring at 50 will end up costing you a lot more than retiring at 65.

Estimate your life expectancy

The age at which you retire isn’t the only factor that determines how long you’ll be retired. The other important factor is your lifespan. We all hope to live to an old age, but a longer life means that you’ll have even more years of retirement to fund. You may even run the risk of outliving your savings and other income sources. To guard against that risk, you’ll need to estimate your life expectancy. You can use government statistics, life insurance tables, or a life expectancy calculator to get a reasonable estimate
of how long you’ll live. Experts base these estimates on your age, gender, race, health, lifestyle, occupation, and family history. But remember, these are just estimates. There’s no way to predict how long you’ll actually live, but with life expectancies on the rise, it’s probably best to assume you’ll live longer than you expect.

Identify your sources of retirement income

Once you have an idea of your retirement income needs, your next step is to assess how prepared you are to meet those needs. In other words, what sources of retirement income will be available to you? Your employer may offer a traditional pension that will pay you monthly benefits. In addition, you can likely count on Social Security to provide a portion of your retirement income. To get an estimate of your Social Security benefits, visit the Social Security Administration website (www.ssa.gov). Additional sources of retirement income may include a 401(k) or other retirement plan, IRAs, annuities, and other investments. The amount of income you receive from those sources will depend on the amount you invest, the rate of investment return, and other factors. Finally, if you plan to work during retirement, your job earnings will be another source of income.

Make up any income shortfall

If you’re lucky, your expected income sources will be more than enough to fund even a lengthy retirement. But what if it looks like you’ll come up short? Don’t panic — there are probably steps that you can take to bridge the gap.

A financial professional can help you figure out the best ways to do that, but here are a few suggestions:
• Try to cut current expenses so you’ll have more money to save for retirement
• Shift your assets to investments that have the potential to substantially outpace inflation (but keep in mind that investments
that offer higher potential returns may involve greater risk of loss)
• Lower your expectations for retirement so you won’t need as much money (no beach house on the Riviera, for example)
• Work part-time during retirement for extra income
• Consider delaying your retirement for a few years (or longer)
1 Calculated form Consumer Price Index (CPI-U) data published by the Bureau of Labor Statistics, January 2020

IMPORTANT DISCLOSURES
Broadridge Investor Communication Solutions, Inc. does not provide investment, tax, legal, or
retirement advice or recommendations. The information presented here is not specific to any
individual’s personal circumstances.

To the extent that this material concerns tax matters, it is not intended or written to be used, and
cannot be used, by a taxpayer for the purpose of avoiding penalties that may be imposed by law.
Each taxpayer should seek independent advice from a tax professional based on his or her
individual circumstances.

These materials are provided for general information and educational purposes based upon publicly
available information from sources believed to be reliable — we cannot assure the accuracy or
completeness of these materials. The information in these materials may change at any time and
without notice.

Etico Wealth Management, LLC
Joseph Leo
Executive Vice President
1795 Route 9
Clifton Park, NY 13413
518-348-0060 x405
315-790-5511
jleo@eticony.com

10 Principles of Investing

When investors are evaluating a potential investment opportunity there a number of factors they must consider. Sometimes investors can be overwhelmed with all of the information, leaving them confused and often frustrated. They are bombarded with advertising, cold calls, and seminars from the financial services industry and often leave these experiences with more questions that answers.

The following principles can help all investors understand how to evaluate a potential investment opportunity. These principles pertain to both those individuals who are still accumulating their assets and those who are faced with the challenges of generating income from their assets after a lifetime of work.

Principle 1: Potential for Greater Return Means Potential for Greater Risk

When evaluating an investment opportunity understanding this principle is a must. Terms like “safe,” or “risky” are too vague and can often be quite misleading.

Investors should utilize this simple formula when determining whether or not and investment is appropriate for their portfolio.

(Anticipated Return on Investment) – (Ten-Year Treasury Interest Rate) = Additional Relative Risk
For example, if the potential return on investment X = 10% and the current ten-year treasury is paying 5%, an investor is assuming twice the risk in investment X as opposed to the ten-year treasury.

Investors must ask themselves if they can accept that risk. As an investor you should know the level of risk involved in every investment and determine whether your portfolio can accept that risk.

Although this principle may sound straightforward it is very often overlooked by the lure of high double digit returns.

Stay tuned for Principle 2: Every Investment Decision Has Risk.

Joseph A. Leo
Vice President, Financial Consultant
Etico Wealth Management, LLC
(518) 348-0060 ext. 405
jleo@eticony.com

Are You Nearing Retirement?

Retirees and soon-to-be retirees should be made aware of the potential risks associated with investing in the stock market or what they could be missing by sitting on the sidelines. Traditional thinking is centered on the belief that as a person nears retirement equity allocation should decrease and fixed income allocation should increase. For nearly thirty years fixed income investments have been thought of as a safe alternative with less risk than the equity markets. Investors have flooded fixed income mutual funds and target date retirement funds with the understanding that their money would be safer and with less risk as they approached their retirement years. As you begin to think about your life after your career one of the questions you will be faced with is whether or not it is smart to keep your money in the stock market after you’ve retired? In order to properly answer that question here are a few tips to keep in mind:

  • The main risk associated with equities is volatility. Many people nearing retirement are looking to minimize their exposure to volatility. As a result they often turn to fixed income investments and are faced with inflation risk (rising price levels for goods and services), which can be as damaging to their financial goals as volatility if not managed properly.
  • Inflation exposure can often be more risky than short-term volatility due to the recent increases in life expectancy. Portfolios that are not designed to keep up with inflation are exposed to increased risk of losing money and negatively altering a person lifestyle in retirement.
  • Not all bonds are created equal. Although generally rising interest rates have a negative effect on fixed income investments, it is important to know the duration and type of bond(s) you are investing in. For example, the longer a bond has until maturity the more likely it is to see price pressure during an inflationary environment.
  • It’s important to understand the difference between a stated bond yield and the real rate of return the bond actually produces. Fluctuations in the bonds price, capital gains distributions to investors, and an individual’s tax situation will all affect the real return that position generates.
  • In recent years, interest rates have been intentionally kept historically low by the Federal Reserve. This phenomenon has the dangerous potential of creating a “bond bubble.” During this time investors have rushed to “protect” their money by purchasing fixed income mutual funds as they continue to be fearful of the volatility associated with the equity markets. Recently we have seen interest rates begin to inch higher putting pressure on the value of the underlying bonds within the mutual funds. As those rates continue to increase these funds will be faced with increased volatility and could decrease in value.

For all the retirees or soon-to-be retirees, is it vitally important to have a professional look at your portfolio. Will you have enough to get you through retirement and live the lifestyle you have become accustomed to?

At Etico Wealth Management, LLC we help clients manage volatility as well as the inflation risk associated with the fixed income portion of their investment portfolio. We create custom, diversified portfolios comprised of many different asset classes to help our clients prepare for an ever changing financial environment.

Joseph A. Leo
Vice President, Financial Consultant
Etico Wealth Management, LLC
(518) 348-0060 ext. 405
jleo@eticony.com

Three Uses for the Dollar

As we enter into an environment where interest rates are rising it is very important to understand how the US dollar is impacted. As investors try to navigate the volatility of the market and make sure their investment portfolios are outpacing inflation it often helps to return to the foundation of how we use the dollar in our economy. The three main uses for the US dollar include; spending, lending, and/or owning.

Spend

If you have a dollar you can buy a hamburger, pay a bill or get a haircut. You can use the dollar to purchase goods and services that have no inherent monetary value.

Lend

The second thing you can do with a dollar is lend it. Lending your dollar means to give your dollar to an entity that will pay you interest for a specific length of time. The common way of lending is to give your dollar to a bank (savings account) and the bank will pay you interest as long as you keep the money in the account. Investors who want a higher rate of return from the bank can look at Certificates of Deposits. CD’s pay a higher rate of interest because you tie up your dollar for a specific time period (1 month to 5yrs).

You can lend your dollar to the U.S Government (Treasuries). The government will pay you an interest rate depending on the maturity. The longer you go out the higher the rate of interest.

Another place to lend your money is Corporate Bonds. By lending your dollar to a corporation (IBM, APPLE) you will receive a fixed interest payment usually paid every 6 months for a specific amount of time. These corporate bonds usually pay higher interest rates than the bank but do have more risk. The longer the maturity is the higher the rate of interest. The higher the risk (can the corporation make its interest payments and pay the bond back at maturity) the higher the interest rate. All of the above examples of lending are taxable.

You can also lend your dollar and receive a tax free interest payment. Municipal Bonds are issued by states, state agencies & local governments. The interest is federal tax free and can be state tax free if you lend within the state you reside.

All these lending vehicles can be done within a mutual fund that can specialize in all or some of the types listed above. By investing in a mutual fund you can diversify your lending in both the type of bond and the length of maturing which can ultimately lessen your risk. This lending is known as “fixed income” investing.

Own

The last thing you can do with your dollar is own your dollar. You can buy a house, buy stock in a corporation, buy a business, buy collectibles or buy many other assets. Buying means you own an asset. That asset may increase or decrease in value but you own it. When you invest in a stock, you own a piece of the corporation (hoping the value goes up). Owning your dollar usually is called equity investing. As with bonds you can invest in a mutual fund to diversify your dollars owned which can also lessen your risk.

Joseph A. Leo
Vice President, Financial Consultant
Etico Wealth Management, LLC
(518) 348-0060 ext. 405
jleo@eticony.com