Archive for the ‘News’ Category

« Older Entries
Newer Entries »

Chevron Nigeria Selects IHRDC to Enhance the Skills of Its Escravos Project Personnel

Friday, December 31st, 2010

Boston, MA (PRWEB) October 31, 2005

International Human Resources Development Corporation (IHRDC) announced today it has been contracted by Chevron Nigeria to develop a competency-based training program called the Skill Enhancement Process (“SEP”) for about 1,000 existing employees and new recruits at their Escravos Project, a major oil and gas production facility.

Bradford Donohue, IHRDC Director of Corporate Development and Program Manager noted “We are delighted to bring our Competency Assurance Process, specialists and other resources to Nigeria to assist Chevron with this challenging assignment.”

At the outset, IHRDC specialists will work closely with a Chevron Nigeria team to develop an execution plan, which will include project strategic and training objectives, training policies and international standards of training for Operations & Maintenance (O&M) personnel at Escravos.

IHRDC Subject Matter Experts (SMEs) will then build job descriptions and Competency/Skills Enhancement Models for every major title O&M job within the Escravos project.

Using these models, IHRDC and Chevron Nigeria specialists will conduct assessments, perform objective verifications and develop individual skill gap analysis for approximately 1000 employees. Using the skill gap analysis output IHRDC Specialists will define a 3-4 year training plan, schedule and budget to enhance the skills of each employee.

Ayman Meneassy, Vice President of IHRDC, Middle East & Africa said “I am grateful to Chevron for inviting us to apply our Competency Assurance Process (CAP) in Nigeria. We have used it to develop capable O&M personnel at drilling, oil and gas production, refining, gas processing and LNG facilities throughout the Middle East and North Africa, and are happy to expand into West Africa.”.

About IHRDC

Headquartered in Boston with offices in Amsterdam, Cairo and Caracas, International Human Resources Development Corporation (IHRDC) is a privately owned company that has been providing highly regarded management, technical and operations training programs and competency-based e-learning systems to the oil and gas industry for more than 35 years.

The company’s e-Learning program, the International Petroleum Industry Multimedia System (IPIMS), won the 2003 Corporate Award for Excellence in Distance Learning Programming from the U.S. Distance Learning Association in Washington, D.C. IPIMS is currently licensed by over 55 companies worldwide.

For more information contact:

Bradford Donohue, Director of Corporate Development 617-536-0202, ext. 2259    

Ayman Meneassy, Vice President, Middle East & Africa 857-204-2489

# # #



Tags: , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , ,
Posted in News | No Comments »

Medigap: Why It Matters

Friday, December 31st, 2010

Will you be 65 soon? If you’re turning 65 in the next few months, you might consider getting a Medigap policy to supplement your Medicare coverage. Most people think Medicare covers more than it actually does.

For 2009, Medicare Part A gives you a ,068 hospital deductible per stay; Medicare Part B asks you to pay 20% of physician, outpatient and home healthcare costs after a 5.00 deductible.1 With numbers like these, it’s easy to see the value of Medigap coverage.

Are you in the GAP (guaranteed acceptance period)? The easiest time to qualify for Medigap coverage is right around 65 – specifically, the window of time starting three months before and ending six months after your 65th birthday. This is the “guaranteed acceptance” period, in which anybody with Medicare can get into a Medigap plan. Outside of this window of time, you need to be reasonably healthy to get Medigap coverage.2

In most states, there are 12 Medigap plans offered – Medigap A through L. Plans A through J are the “traditional” plans; K and L are high-deductible plans and far less popular.

The A-J plans all offer you the same set of core benefits: 20% coinsurance after you pass the 5 Part B deductible, all Part A Hospital coinsurance for hospital stays between 61-150 days, 3 pints of blood (Parts A & B), and 365 more lifetime hospital days. While these basic benefits stay the same among Medigap plans offered through different companies, premiums differ quite a bit among insurance providers.2

Medicare Advantage plans. These private insurance plans are also called Part C plans, and they exist in different varieties – HMOs, PPOs, PFFSs (Private Fee-for-Service Plans), and MSAs (Medicare Savings Accounts). Plan members pay a percentage of the costs for medical services they receive, which means relatively low premiums.

By law, all Medicare Advantage plans are at least as wide-ranging as original Medicare, and many also provide coverage for drug costs. Most of these plans cap member payments at a certain level annually.3

Unfortunately, federal government subsidies on MA plans will shrink by as much as 5% in 2010, which will likely mean higher premiums and/or fewer benefits.4

Read the fine print and shop around. Medigap coverage is not all the same, so be sure to compare and contrast Medigap plans with the input of an experienced insurance professional who understands the medical and lifestyle issues common to mature Americans.

This material was prepared by Peter Montoya Inc, and does not necessarily represent the views of John Jastremski, Jeremy Keating, Erik J Larsen, Frank Esposito, Patrick Ray, Robert Welsch, Michael Reese, Philip Catalan, Brent Wolf, Andy Starostecki and The Retirement Group or QA3 Financial Corp. This information should not be construed as investment advice. Neither the named Representatives nor Broker/Dealer gives tax or legal advice. All information is believed to be from reliable sources; however, we make no representation as to its completeness or accuracy. The publisher is not engaged in rendering legal, accounting or other professional services. If other expert assistance is needed, the reader is advised to engage the services of a competent professional. Please consult your Financial Advisor for further information or call 800-900-5867.

The Retirement Group is not affiliated with nor endorsed by fidelity.com, netbenefits.fidelity.com,  hewitt.com, resources.hewitt.com,  access.att.com, AT&T, Qwest, Chevron, Hughes, Northrop Grumman, Raytheon, ExxonMobil, Glaxosmithkline, Merck, Pfizer, Verizon or by your employer. We are an independent financial advisory group that specializes in transition planning and lump sum distribution. Please call our office at 800-900-5867 if you have additional questions or need help in the retirement planning process.

Citations.

1 questions.medicare.gov/cgi-bin/medicare.cfg/php/enduser/std_adp.php?p_faqid=2100           [4/8/09]

2 senioreducators.com/learn/lrn_hins_medigap [4/23/09]

3 senioreducators.com/learn/lrn_hins_ma [4/23/09]

4 online.wsj.com/article/SB124010250670532189.html?mod=dist_smartbrief  [4/18/09]

additional info: http://www.theretirementgroup.com/new/retiregroup2/content.asp?contentid=2016566134

Tags: , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , ,
Posted in News | No Comments »

ChevronTexaco Employ Invisible Workforce

Friday, December 31st, 2010

(PRWEB) August 16, 2004

Like most global energy companies, ChevronTexaco are under increasing pressure from falling fossil fuel prices, increasing availability of other energy sources such as gas, market liberalisation and environmental accountability standards. Indeed, with Total Quality Management and cost reduction playing a fundamental role in the company’s development the need for the effective use of resources is rapidly becoming a critical success factor. This was highlighted by Stephen Lester, Quality and Business Support Manager, for ChevronTexaco, “The focal driving forces within the company, such as cost reduction, capital stewardship and operational excellence has inevitably placed heavy demands on our quality assurance team.” He added,” More jobs need doing but with less people to do them.”

To combat these resource limitations, ChevronTexaco established cross-departmental steering groups that helped drive further efficiency into established processes, yet one persistent issue remained, administrative bureaucracy. Quality Control representatives were required to extract performance data from the company’s IBM Lotus Notes system and re-enter data in to other systems for reporting. Furthermore, management would have to complete manual check-ups on the statuses of employee tasks whilst placing new activities into the system. Lost employee time and money was escalating rapidly and Stephen was quick to stress this point, “The manual approach to job allocation and monitoring, in a critical area such as quality control and business support, was detracting from the company’s competitiveness and hindering the initiatives of our steering groups. The automation capabilities of TaskCentre eradicated these manual requirements and increased efficiency.”

ChevronTexaco required a solution that enhanced their current system but did not cause widespread disruption and create a surge of training requirements. In essence, they needed a solution that would enhance and complement current work practices and this was highlighted by Stephen when he said, “We needed a proactive solution that would eradicate administration duties and free-up much needed employee time without interruption. Orbis TaskCentre® delivered.”

In specific terms, Orbis TaskCentre® was deployed to automate some of the company’s most critical activities and this was indicated by Stephen, “The first deployment of Orbis TaskCentre® provided an immediate return on investment as we automated a number of quality-specific business processes that were costing the company time and money. The impact on our quality control function was visible from day one.”

ChevronTexaco are also using the intelligent automation capabilities of Orbis TaskCentre® to monitor credit violations and accounts exceeding their user authority. “Traditionally, we used to manually monitor and act upon changes within our financial system, however, TaskCentre® now completely automates this activity. It even escalates notifications and sends reports to line managers when violations are not resolved.” said Stephen.

The success of ChevronTexaco’s invisible workforce also drew comment for Philip Smith, Managing Director for Orbis Software, “It’s very much the norm for companies the size of ChevronTexaco to derive the competitive gains they [Chevron Texaco] have by implementing such technology. They often have an exceptional understanding of their business structure and this facilitates a rapid and significant return-on-investment.” He added, “I have no doubt that this company will be the first global energy provider to achieve Gartner’s event-driven architecture status and we will be working closely with them to accomplish this objective.”

About Orbis Software

Orbis Software are the market leaders in automation and alerting software, helping organisations drive efficiency through automated business processes.

Founded in 1997, Orbis Software Ltd provides a scalable suite of applications to suit any size of organisation. There are more that 4000 organisations around the world already using Orbis products, including such names as Nasdaq, Telstar, BP, BDO Stoy Hayward, GE Capital Equipment, The Rank Group, Salomon Brothers, Zenith, BUPA, Jaguar, Lloyds TSB and Rolls Royce.

About ChevronTexaco

ChevronTexaco is the world’s fourth largest publicly-traded, integrated energy company and is active in over 180 countries. The company employs over 53,000 people and has a net income (02) of $ 1.1billion.

For further details on this Press Release, please contact Paul Spencer on +44 00 (1202) 464318 or pcs@orbis-software.com



Tags: , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , ,
Posted in News | No Comments »

How Ltc Insurance Can Help Protect Your Assets

Friday, December 31st, 2010

How will you pay for long term care? The sad fact is that most people don’t know the answer to that question. But a solution is available.

As baby boomers leave their careers behind, long term care insurance will become very important in their financial strategies. The reasons to get an LTC policy after age 50 are very compelling.

Your premium payments buy you access to a large pool of money which can be used to pay for long term care costs. By paying for LTC out of that pool of money, you can preserve your retirement savings and income.

The cost of assisted living or nursing home care alone could motivate you to pay the premiums. AARP and Genworth Financial conduct an annual Cost of Care Survey to gauge the price of long term care. The 2008 survey found that

The national average annual cost of a private room in a nursing home is ,460 – 9 per day, and 17% higher than it was in 2004.
A private one-bedroom unit in an assisted living facility averages ,090 annually – and that is 25% higher than it was in 2004.
The average annual payments to a non-Medicare certified, state-licensed home health aide are ,884.1

Can you imagine spending an extra -80K out of your retirement savings in a year? What if you had to do it for more than one year?

AARP notes that approximately 60% of people over age 65 will require some kind of long term care during their lifetimes.2

Why procrastinate? The earlier you opt for LTC coverage, the cheaper the premiums. This is why many people purchase it before they retire. Those in poor health or over the age of 80 are frequently ineligible for coverage.

What it pays for. Some people think LTC coverage just pays for nursing home care. Not true: it can pay for a wide variety of nursing, social, and rehabilitative services at home and away from home, for people with a chronic illness or disability or people who just need assistance bathing, eating or dressing.3

Choosing a DBA. That stands for Daily Benefit Amount, which is the maximum amount your LTC plan will pay for one day’s care in a nursing home facility. You can choose a Daily Benefit Amount when you pay for your LTC coverage, and you can also choose the length of time that you may receive the full DBA every day. The DBA typically ranges from a few dozen dollars to hundreds of dollars. Some of these plans offer you “inflation protection” at enrollment, meaning that every few years, you will have the chance tobuy additional coverage and get compounding – so your pool of money can grow.

The Medicare misconception. Too many people think Medicare will pick up the cost of long term care. Medicare is not long term care insurance. Medicare will only pay for the first 100 days of nursing home care, and only if 1) you are receiving skilled care and 2) you go into the nursing home right after a hospital stay of at least 3 days. Medicare also covers limited home visits for skilled care, and some hospice services for the terminally ill. That’s all.2

Now, Medicaid can actually pay for long term care – if you are destitute. Are you willing to wait until you are broke for a way to fund long term care? Of course not. LTC insurance provides a way to do it.

Why not look into this? You may have heard that LTC insurance is expensive compared with some other forms of policies. But the annual premiums (about as much as you’d spend on a used car from the mid-1990s) are nothing compared to real-world LTC costs.4 Ask your insurance advisor or financial advisor about some of the LTC choices you can explore – while many Americans have life, health and disability insurance, that’s not the same thing as long term care coverage.

This material was prepared by Peter Montoya Inc, and does not necessarily represent the views of John Jastremski, Jeremy Keating, Erik J Larsen, Frank Esposito, Patrick Ray, Robert Welsch, Michael Reese, Philip Catalan, Brent Wolf, Andy Starostecki and The Retirement Group or QA3 Financial Corp. This information should not be construed as investment advice. Neither the named Representatives nor Broker/Dealer gives tax or legal advice. All information is believed to be from reliable sources; however, we make no representation as to its completeness or accuracy. The publisher is not engaged in rendering legal, accounting or other professional services. If other expert assistance is needed, the reader is advised to engage the services of a competent professional. Please consult your Financial Advisor for further information or call 800-900-5867.

The Retirement Group is not affiliated with nor endorsed by fidelity.com, netbenefits.fidelity.com,  hewitt.com, resources.hewitt.com,  access.att.com, AT&T, Qwest, Chevron, Hughes, Northrop Grumman, Raytheon, ExxonMobil, Glaxosmithkline, Merck, Pfizer, Verizon or by your employer. We are an independent financial advisory group that specializes in transition planning and lump sum distribution. Please call our office at 800-900-5867 if you have additional questions or need help in the retirement planning process.

Visit our website: http://www.theretirementgroup.com

Citations.

1 aarp.org/states/nj/articles/genworth_releases_2008_cost_of_care_survey_results.html       [4/29/08]

2 aarp.org/families/caregiving/caring_help/what_does_long_term_care_cost.html      [11/11/08]

3 pbs.org/nbr/site/features/special/article/long-term-care-insurance_SP/  [11/11/08]

4 aarp.org/research/health/privinsurance/fs7r_ltc.html                 [6/07]

 

Tags: , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , ,
Posted in News | No Comments »

Tax Alert: Plan To Take Advantage Of 2010 | The Retirement Group

Thursday, December 30th, 2010

Do you see a warning light flashing? Americans with high net worth and high incomes are preparing for the likelihood of higher taxes in 2011 and subsequent years. High earners are almost certainly going to take the hit if the EGTRRA and JGTRRA cuts fade away at the end of 2010. Here’s a summary of what’s happening – and a look at what might happen. There are some developments you will want to remember, and some tax breaks you might very well want to exploit.

No phaseouts on itemized deductions and personal exemptions in 2010. This may provide you with an opportunity for some notable tax savings. Historically, high-income taxpayers have been subject to a reduction in the value of itemized deductions and personal exemptions. That has gradually decreased in this decade. In 2010, the phaseouts are gone entirely. In 2011, they are poised to return.1

As IRS standard deduction and personal exemption amounts are indexed to inflation, you’ll see very little change there for 2010. The standard deduction for heads of household will rise by to ,400 for the 2010 tax year. Other standard deductions will stay put, and the personal exemption amount will remain at ,650 for 2010.1

Lower long-term capital gains rates through 2010. Unless Congress decides to extend these Bush-era cuts, capital gains tax rates will revert to pre-2003 levels in 2011. For 2010, the long-term capital gains rate for those in the 10% and 15% tax brackets is 0%. In 2011, it is set to go to 10%. If you fall into the 25%, 28%, 33% or 35% tax brackets, the capital gains rate is 15% in 2010 and 20% in 2011.2

The Tax Extenders Act of 2009. The House passed this legislation on December 9, and the Senate is likely to follow suit. The final version of this bill would likely extend the additional standard deduction for real property taxes, the deduction for state and local sales tax, and deductions for tuition/education expenses and teachers’ classroom expenses into 2010.3

The estate tax. 0% estate taxes in 2010? That was the plan … but the reality is that estate taxes are likely to remain at current levels in 2010 with some retroactive lawmaking. In early December, the House voted to restore the estate tax for 2010; a week later, the Senate voted against temporarily extending 2009 estate tax levels into the coming year. The Senate will almost certainly take up the issue again in January. However, to prevent a complete repeal of the estate tax next year, any new legislation is expected to contain a retroactive provision. So instead of taking effect upon passage, any new estate tax law would likely be made retroactive to January 1, 2010.4

The AMT. You know how it works – Congress comes up with another AMT patch at the stroke of midnight and middle-class taxpayers are saved once more. Well, just to make things interesting, the Tax Extenders Act of 2009 doesn’t include an AMT patch for 2010. Many tax professionals think the 2010 patch issue will be addressed early next year, with the patch for the 2010 tax year made retroactive.5

How will marginal tax rates rise in 2011? Does anyone think taxes won’t increase in the near future? At present, the marginal tax rates are 10%, 15%, 25%, 28%, 33% and 35%. If Congress doesn’t act by the end of 2010, the tax brackets will reset to 15%, 28%, 31%, 36% and 39.6%. By the way, President Obama and some Democrats have proposed future tax brackets of 10%, 15%, 25%, 28%, 36% and 39.6% for 2011 (that is, only the highest two brackets would revert to pre-EGGTRA levels).3

A healthcare surtax? If the healthcare reforms pass in 2010, taxpayers in the highest brackets might pay even more to the IRS. For example, the legislation that the House passed would require couples with MAGI of ,000,000 or more or individuals with MAGI of 0,000 or more to pay an additional 5.4% surtax.3

And finally, a dilemma for Congress. Congress would like to extend the Bush-era tax cuts further to protect lower-income and middle-income taxpayers. However, some analysts say it would cost the federal government more than trillion over the next decade to do so.3

Have you talked to your financial or tax advisor lately? If you have, good for you. If you haven’t, do so now. Prepare for change, and plan to take advantage of extended and potentially expiring tax breaks.

This material was prepared by Peter Montoya Inc, and does not necessarily represent the views of John Jastremski, Jeremy Keating, Erik J Larsen, Frank Esposito, Patrick Ray, Robert Welsch, Michael Reese, Philip Catalan, Brent Wolf, Andy Starostecki and The Retirement Group or QA3 Financial Corp. This information should not be construed as investment advice. Neither the named Representatives nor Broker/Dealer gives tax or legal advice. All information is believed to be from reliable sources; however, we make no representation as to its completeness or accuracy. The publisher is not engaged in rendering legal, accounting or other professional services. If other expert assistance is needed, the reader is advised to engage the services of a competent professional. Please consult your Financial Advisor for further information or call 800-900-5867.

The Retirement Group is not affiliated with nor endorsed by fidelity.com, netbenefits.fidelity.com,  hewitt.com, resources.hewitt.com,  access.att.com, AT&T, Qwest, Chevron, Hughes, Northrop Grumman, Raytheon, ExxonMobil, Glaxosmithkline, Merck, Pfizer, Verizon or by your employer. We are an independent financial advisory group that specializes in transition planning and lump sum distribution. Please call our office at 800-900-5867 if you have additional questions or need help in the retirement planning process.

Find more Information here: http://www.theretirementgroup.com/new/retiregroup2/content.asp?contentid=2016566134

Citations.

1 webcpa.com/news/CCH-Sees-Little-Help-from-2010-Tax-Inflation-Adjustments-51737-1.html [9/17/09]

2 usatoday.com/money/perfi/taxes/2007-06-15-mym-capital-gains_N.htm [6/15/07]

3 fa-mag.com/fa-news/4914-higher-tax-rates-ahead-so-make-the-most-of-2010.html [12/17/09]

4 marketwatch.com/story/story/print?guid=8639F258-5FD1-467F-AE47-3D5BD4572CB6 [12/18/09]

5 tax.cchgroup.com/Legislation/2009-Tax-Extenders-Act.pdf [12/10/09]

Tags: , , , , , ,
Posted in News | No Comments »

Bout to be a gang fight at chevron by tully n mclaughlin… Funny ass shit lol

Thursday, December 30th, 2010

Bout to be a gang fight at chevron by tully n mclaughlin… Funny ass shit lol – by thatonechin (Saul De La Torre)

Tags: , , , , , , ,
Posted in News | No Comments »

How Much Do I Need to Save? | The Retirement Group

Thursday, December 30th, 2010

One rule of thumb is that retirees will need approximately 80% of their preretirement

 

salaries to maintain their lifestyles in retirement. However, depending

on your own situation and the type of retirement you hope to have, that number

may be higher or lower.

 

Fortunately, there are several factors that can help you work toward a retirement

savings goal.

 

Retirement Age

The first factor to consider is the age at which you expect to retire. In reality,

many people anticipate that they will retire later than they actually do;

unexpected issues, such as health problems or workplace changes (downsizing,

etc.), tend to stand in their way. Of course, the earlier you retire, the more money

you will need to last throughout retirement. It’s important to prepare for

unanticipated occurrences that could force you into an early retirement.

 

Life Expectancy

Although you can’t know what the duration of your life will be, there are a few

factors that may give you a hint.

You should take into account your family history—how long your relatives have

lived and diseases that are common in your family—as well as your own past

and present health issues. Also consider that life spans are becoming longer with

recent medical developments. More people will be living to age 100, or perhaps

even longer. When calculating how much you need to save, you need to factor in

the number of years you will spend in retirement.

 

Future Health-Care Needs

Another factor to consider is the cost of health care. Health-care costs have been

rising much faster than general inflation, and fewer employers are offering health

benefits to retirees. Long-term care is another consideration. These costs could

severely dip into your savings and even result in your filing for bankruptcy if the

need for care is prolonged.

Factoring in higher costs for health care during retirement is vital, and you might

want to consider purchasing long-term-care insurance to help protect your

assets.

 

Lifestyle

Another important consideration is your desired retirement lifestyle. Do you want

to travel? Are you planning to be involved in philanthropic endeavors? Will you

have an expensive country club membership? Are there any hobbies you would

like to pursue? The answers to these questions can help you decide what

additional costs your ideal retirement will require.

Many baby boomers expect that they will work part-time in retirement. However,

if this is your intention and you find that working longer becomes impossible, you

will still need the appropriate funds to support your retirement lifestyle.

 

Inflation

If you think you have accounted for every possibility when constructing a savings

goal but forget this vital component, your savings could be far from sufficient.

Inflation has the potential to lower the value of your savings from year to year,

significantly reducing your purchasing power over time. It is important for your

savings to keep pace with or exceed inflation.

 

Social Security

Many retirees believe that they can rely on their future Social Security benefits.

However, this may not be true for you. The Social Security system is under

increasing strain as more baby boomers are retiring and fewer workers are

available to pay their benefits. And the reality is that Social Security currently

provides only 27% of the total income of Americans aged 65 and older with at

least ,000 in annual household income.1 That leaves 73% to be covered in

other ways.

 

And the Total Is…

After considering all these factors, you should have a much better idea of how

much you need to save for retirement.

For example, let’s assume you believe that you will retire when you are 65 and

spend a total of 20 years in retirement, living to age 85. Your annual income is

currently ,000, and you think that 75% of your pre-retirement income

(,000) will be enough to cover the costs of your ideal retirement, including

some travel you intend to do and potential health-care expenses. After factoring

in the ,000 annual Social Security benefit you expect to receive, a ,000

annual pension from your employer, and 4% potential inflation, you end up with a

total retirement savings amount of 0,000. (For your own situation, you can

use a retirement savings calculator from your retirement plan provider or from a

financial site on the Internet.)

 

The estimated total for this hypothetical example may seem daunting. But after

determining your retirement savings goal and factoring in how much you have

saved already, you will be able to determine how much you need to save each

year to reach your destination. The important thing is to come up with a goal and

then develop a strategy to help reach it. You don’t want to spend your retirement

years wishing you had planned ahead when you had the time. The sooner you

start saving and investing to reach your goal, the closer you will be to realizing

your retirement dreams.

 

Source: 1) Income of the Population 55 or Older, 2006, Social Security Administration, 2009.

Breakdown based on people aged 65 and older with at least ,000 in annual household

income.

This material was written and prepared by Emerald. © 2010 Emerald

 

This material was prepared by Emerald. © 2010 Emerald, and does not necessarily represent the views of John Jastremski, Jeremy Keating, Erik J Larsen, Frank Esposito, Patrick Ray, Robert Welsch, Michael Reese, Philip Catalan, Brent Wolf, Andy Starostecki and The Retirement Group or QA3 Financial Corp. This information should not be construed as investment advice. Neither the named Representatives nor Broker/Dealer gives tax or legal advice. All information is believed to be from reliable sources; however, we make no representation as to its completeness or accuracy. The publisher is not engaged in rendering legal, accounting or other professional services. If other expert assistance is needed, the reader is advised to engage the services of a competent professional. Please consult your Financial Advisor for further information or call 800-900-5867.

 

The Retirement Group is not affiliated with nor endorsed by fidelity.com, netbenefits.fidelity.com,  hewitt.com, resources.hewitt.com,  access.att.com, AT&T, Qwest, Chevron, Hughes, Northrop Grumman, Raytheon, ExxonMobil, Glaxosmithkline, Merck, Pfizer, Verizon or by your employer. We are an independent financial advisory group that specializes in transition planning and lump sum distribution. Please call our office at 800-900-5867 if you have additional questions or need help in the retirement planning process.

 

Tags: , , , ,
Posted in News | No Comments »

Dollar Cost Averaging In A Down Market | The Retirement Group

Thursday, December 30th, 2010

How it works. Dollar cost averaging is a long-term investment strategy. It means investing in small increments. Through scheduled investments of as little as or 0 per month, you buy investment shares over time, as opposed to pouring a big lump sum into the market. The method is often recommended to younger investors with longer time horizons, and investors who don’t yet have great wealth.

Why it is worthwhile in a bear market. First of all, when the market drops, the investor practicing dollar cost averaging isn’t hurt as much as the lump sum investor – as the lump sum investor holds many more shares of the declining fund or stock.

 

Second, a stock market downturn produces a kind of “clearance sale” environment. Picture Wall Street as a department store, with signs everywhere announcing 20% or 30% off. You have a chance to buy into some top-quality companies “on sale”. As a consequence of dollar cost averaging, you can now buy in at a lower price – and buy more shares for your money.

 

So what happens when the market recovers? As the market rebounds, you can pat yourself on the back. You were able to buy big at the bottom of the market, and as the market rises, you will have a lower cost basis and you can enjoy the associated gains. All the while, you continue contributing to a winning fund or stock. (Of course, the fact is that a lump sum investor may profit even more from a market rebound, as he or she may hold comparatively more shares than you.)

Perhaps most importantly, you stay invested. Dollar cost averaging gives you a regular, passive investment strategy as opposed to market timing. In a volatile market, the active investor can quickly become a frustrated casualty of his or her impulses – and foolishly “abandon ship”.

 

You might call this a tortoise-and-the-hare analogy. The active investor sprinting all over the place for spectacular gains is the hare; you, through dollar cost averaging, emulate the tortoise. It may not be the “sexiest” way to invest, but in a down market, it is a long-term approach well worth considering.

Learn more. We have witnessed a huge downturn in stocks. The question is … how are you positioning yourself to take advantage of the markets when things rebound? This is a good time to meet with a financial advisor – to review or rebalance your portfolio, to look past the headlines of the moment and toward your long-term objectives. If you’re not currently practicing dollar cost averaging, you may want to talk about the concept with your advisor.

 

This material was prepared by Peter Montoya Inc, and does not necessarily represent the views of John Jastremski, Jeremy Keating, Erik J Larsen, Frank Esposito, Patrick Ray, Robert Welsch, Michael Reese, Philip Catalan, Brent Wolf, Andy Starostecki and The Retirement Group or QA3 Financial Corp. This information should not be construed as investment advice. Neither the named Representatives nor Broker/Dealer gives tax or legal advice. All information is believed to be from reliable sources; however, we make no representation as to its completeness or accuracy. The publisher is not engaged in rendering legal, accounting or other professional services. If other expert assistance is needed, the reader is advised to engage the services of a competent professional. Please consult your Financial Advisor for further information or call 800-900-5867.

 

The Retirement Group is not affiliated with nor endorsed by fidelity.com, netbenefits.fidelity.com,  hewitt.com, resources.hewitt.com,  access.att.com, AT&T, Qwest, Chevron, Hughes, Northrop Grumman, Raytheon, ExxonMobil, Glaxosmithkline, Merck, Pfizer, Verizon or by your employer. We are an independent financial advisory group that specializes in transition planning and lump sum distribution. Please call our office at 800-900-5867 if you have additional questions or need help in the retirement planning process.

Citations.

1 sltrib.com/jazz/ci_10613855            [10/2/08]

2 cnbc.com/id/26982338/page/4/       [10/1/08]

 

Tags: , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , ,
Posted in News | No Comments »

The Retirement Group | Four Words You Shouldn’t Believe

Thursday, December 30th, 2010

“This time is different.” Beware those four little words. They are perhaps the most dangerous words an investor can believe in. If you believe “this time is different,” you are mentally positioning yourself to exit the stock market and make impulsive, short-sighted decisions with your money. This is the belief that has made too many investors miss out on the best market days, and scramble to catch up with stock market recoveries.

Stock market investing is a long-term proposition – which is true for most forms of investing. Any form of long-range investing requires a certain temperament. You must be patient, you must be dedicated to realizing your objectives, and you can’t let short-term headlines deter you from your long-term quest.

But wait – isn’t this time different? Well, it is unusual. We are seeing a level of government intervention in the financial markets that we haven’t seen since the 1930s. We’ve also seen banks, insurers and brokerages seized or rescued. So when headlines say “bank failure” and “government bailout”, and media outlets conduct “man on the street” interviews, you are going to get a sound byte or two of someone – not an economist – wondering aloud about a second Great Depression. (In every recession, some news story inevitably appears weighing how the current economic situation stacks up against the 1930s.)

But you know what? This time is different. Today, the federal government is able to intervene in the financial markets in a way it couldn’t then. When the Bank of the United States (one of the bigger private banks of that time) collapsed in 1930, the Federal Reserve lacked the power to rescue it. It was an event that gravely wounded the banking system and aggravated the Depression.1

Today, by contrast, the U.S. government has pulled out all the stops. You have 0+ billion assigned to mop up bad debt and ease a credit squeeze. You have the Treasury taking stakes in banks and the Fed issuing loans and helping to engineer bank mergers. You have economic stimulus packages and federal government efforts to stem foreclosures. Yes, this is different – and welcome.

What happens when investors believe those four little words. It’s called panic. In early October, we all saw it. And yes, the potential for panic still exists – witness the morning of October 24, when index futures declined so fast that “circuit breakers” had to be enacted to halt selling on Wall Street.2

The silver lining here is that recently, the market has begun to move in response to standard indicators again – earnings reports, economic releases from the federal government, news from the housing sector, etc. – rather than fear. The news hasn’t been great, but investors have shifted their attention from credit market concerns (inspiring panic) to economic concerns (resulting in more predictable behavior).

Look at the good news we’re getting. No kidding, there really is some. As of Friday, the overnight LIBOR rate (the interest rate banks charge each other for loans) was 1.28% – below the benchmark U.S. interest rate of 1.5%, well below the high of 4.82% reached on October 10.3 Existing home sales increased 5.5% in September, as a result of a buyer’s market – and by the way, year-over-year sales were up 1.4%.4 The average rate on a 30-year fixed mortgage fell to 6.04% this week, down from 6.46% last week.5 Remember when oil prices were 7 a barrel? On October 24, they settled at .22 per barrel (56% lower).6 The Treasury Department may soon move to shore up more than 20 financial companies through cash injections, according to Bloomberg; PNC Financial Services Group announced Friday that it would use Treasury funds to buy National City Corporation, effectively creating one of the larger banks in the U.S.7

This is the time to stay in the market. Withdrawing money from a retirement savings account (and the investment funds within it) might feel rational in the short term, but it can be hazardous for the long term – especially since many Americans haven’t saved enough for retirement to start with. We’re looking at a turbulent stock market right now, and the market may fall a bit further before a recovery builds momentum. The key is to remember that a recession is a few quarters long, not the length of your retirement. If you have questions about your money, turn to the financial advisor you count on as a resource.

 

This material was prepared by Peter Montoya Inc, and does not necessarily represent the views of John Jastremski, Jeremy Keating, Erik J Larsen, Frank Esposito, Patrick Ray, Robert Welsch, Michael Reese, Philip Catalan, Brent Wolf, Andy Starostecki and The Retirement Group or QA3 Financial Corp. This information should not be construed as investment advice. Neither the named Representatives nor Broker/Dealer gives tax or legal advice. All information is believed to be from reliable sources; however, we make no representation as to its completeness or accuracy. The publisher is not engaged in rendering legal, accounting or other professional services. If other expert assistance is needed, the reader is advised to engage the services of a competent professional. Please consult your Financial Advisor for further information or call 800-900-5867.

 

The Retirement Group is not affiliated with nor endorsed by fidelity.com, netbenefits.fidelity.com,  hewitt.com, resources.hewitt.com,  access.att.com, AT&T, Qwest, Chevron, Hughes, Northrop Grumman, Raytheon, ExxonMobil, Glaxosmithkline, Merck, Pfizer, Verizon or by your employer. We are an independent financial advisory group that specializes in transition planning and lump sum distribution. Please call our office at 800-900-5867 if you have additional questions or need help in the retirement planning process.

Citations.

1 latimes.com/business/careers/work/la-fi-depression20mar20,0,996017.story            [3/20/08]

2 biz.yahoo.com/ap/081024/wall_street.html     [10/24/08]

3 online.wsj.com/article/SB122485085629866333.html?mod=googlenews_wsj  [10/24/08]

4 washingtonpost.com/wp-dyn/content/article/2008/10/24/AR2008102401291.html?hpid=topnews          [10/24/08]

5 latimes.com/business/la-fi-briefs24-2008oct24,0,4130956.story   [10/24/08]

6 bloomberg.com/apps/news?pid=20601012&sid=aHjEmeXKRmv0&refer=commodities    [10/24/08]

7 bloomberg.com/apps/news?pid=20601087&sid=aLVM6yyaC.DA&refer=home                [10/24/08]

 

 

Tags: , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , ,
Posted in News | No Comments »

« Older Entries
Newer Entries »