For more information about the author, click to view their website: Edward Jones
The
financial markets always go through periods of instability. And we may see more
of that now, given concerns about tariffs, inflation, and the economy. As an
investor, how can you deal with this volatility?
Some
investors try to take advantage of market ups and downs by attempting to follow
the age-old advice to “buy low and sell high” — that is, they seek to buy
stocks when they feel prices have bottomed out and they sell stocks when they
think the market has reached a high point. In theory, this is a great idea, but
in practice, it’s essentially impossible, because no one can really predict
market highs and lows.
Rather
than trying to anticipate highs and lows, your best strategy for coping with
the price fluctuations of the financial markets is to diversify your investment
portfolio by owning a mix of stocks, bonds and other types of securities. Different
types of financial assets can move in different directions at any given time —
so, for example, stocks may be up while bonds are down, or vice versa. If you
only owned one of these types of assets, and the market for that asset class
was down, your portfolio could take a bigger hit than if you owned a variety of
asset types.
And
you can further diversify within individual asset categories. Stocks can be
domestic or international, large-company or small-company — and these groupings
can also move in different directions at the same time, depending on various
market forces. As for bonds, they too don’t always move in a uniform direction,
or at least with the same intensity — for instance, when interest rates rise,
bond prices tend to fall, but longer-term bonds may fall more than shorter-term
ones, which are closer to maturity with fewer interest payments remaining.
Conversely, when rates are falling, longer-term bonds may be more attractive because
they lock in higher yields for a longer time. Consequently, one diversification
technique for bonds is to build a “ladder” containing bonds of varying
maturities.
Some
investments, by their nature, are already somewhat diversified. A mutual fund
can contain dozens, or even hundreds, of stocks, or a mixture of stocks and
bonds. And different mutual funds may have different investment objectives —
some focus more on growth, while others are more income-oriented — so, further
diversification can be achieved by owning a mix of funds.
Furthermore,
some investors achieve even greater diversification by owning alternative
investments, such as real estate, commodities, and cryptocurrencies, although
these vehicles themselves are often more volatile than those in more
traditional investment categories.
While
a diversified portfolio is important for every investor, your exact level of
diversification — the percentages of your portfolio devoted to stocks, bonds,
and other securities — will depend on your individual risk tolerance, time
horizon and financial goals. You may want to consult with a financial
professional about creating the diversified investment mix that’s right for
your needs.
Ultimately, while diversification can’t guarantee profits or protect against all losses, it can help you reduce some of the risks associated with investing and better prepare you to deal with the inevitable volatility of the financial markets — two key benefits that can help you over the many years you’ll spend as an investor.
Chad Choate III, AAMS
828 3rd Avenue West
Bradenton, FL 34205
941-462-2445
[email protected]
This article was
written by Edward Jones for use by your local Edward Jones Financial Advisor.
When an older adult needs help at home and sees several clinicians, a coverage decision can affect everything from prescription refills to rides. If youre considering TRU PACE in Lafayette, start by asking how enrollment would change the care and coverage you already use. How Medicare and Medicaid Fit Into PACEPACE is the Program of All-Inclusive Care for the Elderly. It coordinates healthcare and support for eligible adults who meet a state standard for nursing home-level care and can live safely in the community with PACE support at enrollment. Applicants must also be 55 or older and live in the programs service area. TRU PACE and Your Current CoveragePhone: 303-665-0115Medicare says people with Medicaid pay no monthly PACE premium. Medicare beneficiaries without Medicaid pay premiums for the long-term care portion and Medicare Part D drugs. Medicare also says participants owe no deductible, copayment, or coinsurance for drugs, services, or care approved by their PACE team. Ask TRU PACE for an estimate based on your individual coverage before enrolling. Doctors, Prescriptions, and Existing ServicesTRU PACE says it becomes the participants insurance provider at enrollment. Participants generally receive care through the programs provider network. Bring a list of your doctors, medications, and scheduled services. Ask which providers are in the network and how the team would coordinate any changes. Why This Matters in LafayetteIf you regularly see a clinician near home or have a specialist visit scheduled outside Lafayette, give the enrollment team the names and dates. Ask which appointments can continue and what to do about any refill due around the enrollment date. How to Get Started1. Gather Your Coverage InformationHave your Medicare and Medicaid information, if applicable, along with details of any current plan. List the appointments and prescriptions you rely on most.2. Ask for an Enrollment and Cost ReviewCall TRU PACE and ask for your expected monthly cost, when any coverage change would take effect, and who would help coordinate the transition. Related Seniors Blue Book CategoriesPACE Adult Day Services Care Management
After a death, families may have to make several decisions in a short time. Others prefer to talk through their wishes ahead of time. In either situation, it helps to separate the practical arrangements from the decisions about how to gather, remember, and say goodbye. What Funeral and Mortuary Services CoverA funeral home can help arrange transportation and care of the person who died, assist with paperwork, and coordinate burial or cremation. A family may also arrange a viewing, funeral, memorial, or private gathering. Ask which decisions need to be made immediately and which can wait. The Natural Funeral in LafayettePhone: 720-515-2344The Natural Funeral lists natural burial, flame cremation, water cremation, and terramation, also called natural organic reduction. Water cremation uses an alkaline water process, and terramation transforms remains into soil. If one of these options interests you, ask what the process involves, how long it typically takes, and what the family receives afterward. Planning a Gathering and Reviewing CostsThe Lafayette funeral home is at 102 W Chester Street in Old Town. Ask what can take place at the Lafayette location and which parts would involve another venue or a cemetery. Request a General Price List and a written breakdown of your choices so you can see which fees cover the funeral homes work and which come from outside providers. Why This Matters in LafayetteIf relatives are coming from out of town or some guests have limited mobility, ask about parking, step-free access, and how many people the gathering space can accommodate. If you plan to hold a service and burial at different locations, check how much time guests will need between them. How to Get Started1. Write Down the Persons WishesLook for written instructions and note any cultural or religious preferences. If youre planning ahead, tell a trusted person where you keep your instructions and whom to call.2. Ask for a Written PlanCall 720-515-2344 and ask what is needed on the first call. Once youve discussed options, request the expected timeline and itemized costs before approving arrangements. Related Seniors Blue Book CategoriesCounseling Hospice Advance Care Planning
When an older adult spends most weekdays alone, families may need more than a place for them to go. They may also be juggling transportation, appointments, and help at home. TRU PACE in Lafayette offers a day center as part of a program that coordinates those needs for eligible older adults. What Are Adult Day Services?Adult day services offer daytime support outside the home. Depending on the program, participants may spend time with peers, eat a meal, take part in activities, or receive help with daily needs. Some centers accept people directly. The Lafayette TRU PACE center serves people enrolled in its broader Program of All-Inclusive Care for the Elderly. TRU PACE in LafayettePhone: 303-665-0115TRU PACEs Lafayette center is at 2593 Park Lane. The program coordinates medical and social services and arranges transportation to the day center and medical visits as needed. Ask the enrollment team what a typical center day includes, how often a participant might attend, and how the team decides what support to arrange at home. Who May QualifyPACE applicants must be at least 55, live in the programs service area, meet the states standard for nursing home-level care, and be able to live safely in the community with PACE support at enrollment. Ask how enrollment would affect access to current doctors and prescription coverage before making a decision. Why This Matters in LafayetteWhen family members already drive someone to several appointments a week, a coordinated schedule can change who needs to be available and when. Ask how pickup would work at the persons Lafayette address and who to call if a ride or appointment changes. How to Get Started1. Ask for an Eligibility ReviewCall TRU PACE. Have the participants ZIP code, current coverage, and a short list of the help they need. 2. Ask to Visit the CenterFind out what the participant might do on a center day, how transportation works, and what changes to their current care arrangements enrollment would involve. Related Seniors Blue Book CategoriesCare Management Transportation Respite Care