A $25,000 CD account in 2026 could earn between $246 and $1,025 in interest, depending on the term and rate, offering a safe way to grow savings with fixed returns, while also considering high-yield savings accounts for more flexibility.
The 'Trump account' is a new government-backed savings account for children born between 2025 and 2029, which starts with a $1,000 deposit and could grow to $1.9 million over 28 years with additional investments. Billionaires like Michael Dell are contributing extra funds for children born before 2025, and the accounts can be invested in low-fee mutual funds or ETFs tracking U.S. equities.
Chinese households, holding $23 trillion in savings, are increasingly turning to equities due to unattractive returns in other asset classes like bonds, property, and wealth management products, with analysts predicting significant future inflows into stocks as alternatives remain unappealing.
An executive order aims to include alternative assets like private equity and cryptocurrency in 401(k) plans, potentially democratizing access but also introducing higher risks, fees, and complexity. Experts advise caution, recommending sticking to traditional stock and bond funds for most investors.
As policymakers debate changes to financial advice rules, employees with 401(k) plans have options when leaving a company, including keeping the money in the current plan, rolling it over into an IRA, or buying an annuity. The Biden administration wants investment advice to come from a fiduciary, but some in the financial industry argue that this would create a regulatory burden. Experts advise retirement savers to review investment options and fees, understand how advisors are compensated, and seek fiduciary financial advisors.
Real estate investors in the US are losing money on roughly one in seven homes they sell, with the highest rate of losses since 2016. The hardest-hit markets are those that saw the largest surges in house prices during the pandemic, with Phoenix, Arizona, topping the list with 30.7% of homes sold by investors losing money. High mortgage rates have eaten into investor profits and slowed homebuying demand, pushing down sale prices. However, many housing investors continue to make gains from buying and selling homes, and there are other ways to invest in real estate, such as prime commercial real estate or real estate investment trusts.