Financial Decoder

The cryptocurrency landscape is vast. There are well over 10,000 types of cryptocurrencies. For investors who are looking for exposure to this space, are there indirect opportunities that might reduce some of the risk? In this episode, Mark Riepe is joined by Inga Rachwald, a senior portfolio strategist for Schwab Asset Management. They discuss the development of various crypto and blockchain technologies, various use cases for specific cryptocurrencies, and financial instruments available to investors looking for indirect exposure.Follow Financial Decoder for free on Apple Podcasts or wherever you listen.Financial Decoder is an original podcast from Charles Schwab. For more on the series, visit Schwab.com/FinancialDecoder. If you enjoy the show, please leave us a rating or review on Apple Podcasts. Important DisclosuresInvestors should consider carefully information contained in the prospectus or, if available, the summary prospectus, including investment objectives, risks, charges, and expenses. Please read it carefully before investing.The information provided here is for general informational purposes only and should not be considered an individualized recommendation or personalized investment advice. The investment strategies mentioned here may not be suitable for everyone. Each investor needs to review an investment strategy for his or her own particular situation before making any investment decision.All expressions of opinion are subject to change without notice in reaction to shifting market or economic conditions. Data contained herein from third party providers is obtained from what are considered reliable sources. However, its accuracy, completeness or reliability cannot be guaranteed.Past performance is no guarantee of future results and the opinions presented cannot be viewed as an indicator of future performance.Investing involves risk, including risk of loss.Fiat curency is a government-issued currency that is not backed by a commodity such as gold.Digital currencies, such as Bitcoin, are highly volatile and not backed by any central bank or government. Digital currencies lack many of the regulations and consumer protections that legal-tender currencies and regulated securities have. Due to the high level of risk, investors should view Bitcoin as a purely speculative instrument.Virtual Currency Derivatives trading involves unique and significant risks. Please read NFA Investor Advisory – Futures on Virtual Currencies Including Bitcoin  and CFTC Customer Advisory: Understand the Risk of Virtual Currency Trading. Charles Schwab Futures and Forex LLC is a member of NFA and is subject to NFA’s regulatory oversight and examinations. However, you should be aware that NFA does not have regulatory oversight authority over underlying or spot virtual currency products or transactions or virtual currency exchanges, custodians, or markets.You should carefully consider whether trading in virtual currency derivatives is appropriate for you in light of your experience, objectives, financial resources, and other relevant circumstances. Please note that virtual currency is a digital representation of value that functions as a medium of exchange, a unit of account, or a store of value, but it does not have legal tender status. Virtual currencies are sometimes exchanged for U.S. dollars or other currencies around the world, but they are not currently backed nor supported by any government or central bank. Their value is completely derived by market forces of supply and demand, and they are more volatile than traditional fiat currencies. Profits and losses related to this volatility are amplified in margined futures contracts.Currencies are speculative, very volatile, and not suitable for all investors.Futures trading involves a high level of risk and is not suitable for all investors.This information does not constitute and is not intended to be a substitute for specific individualized tax, legal, or investment planning advice. Where specific advice is necessary or appropriate, Schwab recommends consultation with a qualified tax advisor, CPA, financial planner, or investment manager.The policy analysis provided by the Charles Schwab & Co., Inc., does not constitute and should not be interpreted as an endorsement of any political party.All corporate names are for illustrative purposes only and are not a recommendation, offer to sell, or a solicitation of an offer to buy any security.Diversification and asset allocation strategies do not ensure a profit and do not protect against losses in declining markets. Examples provided are for illustrative purposes only and not intended to be reflective of results you can expect to achieve.Correlation is a statistical measure of how two investments have historically moved in relation to each other, and ranges from -1 to +1. A correlation of 1 indicates a perfect positive correlation, while a correlation of -1 indicates a perfect negative correlation. A correlation of zero means the assets are not correlated.Schwab Asset Management™ is the dba name for Charles Schwab Investment Management, Inc. Schwab Asset Management and Schwab are separate but affiliated companies and subsidiaries of The Charles Schwab Corporation.Google Podcasts and the Google Podcasts logo are trademarks of Google LLC.Spotify and the Spotify logo are registered trademarks of Spotify AB.Apple Podcasts and the Apple logo are trademarks of Apple Inc., registered in the U.S. and other countries.(1222-2TE4)

In this special episode, we hear the story of Mary Anne. Mary Anne and her twin sister Virginia were very close growing up. But as they pursued different careers, they lived on different sides of the country. After her sister's untimely passing, how did Mary Anne find a way to honor her sister's memory?The event that Mary Anne organized benefited one of her sister's favorite organizations, the Hingham Historical Commission.Follow Financial Decoder for free on Apple Podcasts or wherever you listen.Financial Decoder is an original podcast from Charles Schwab.If you enjoy the show, please leave us a rating or review on Apple Podcasts.Important DisclosuresThe information provided here is for general informational purposes only and should not be considered an individualized recommendation or personalized investment advice. The investment strategies mentioned here may not be suitable for everyone. Each investor needs to review an investment strategy for his or her own particular situation before making any investment decision. All expressions of opinion are subject to change without notice in reaction to shifting market conditions. Data contained herein from third-party providers is obtained from what are considered reliable sources. However, its accuracy, completeness, or reliability cannot be guaranteed. Examples provided are for illustrative purposes only and not intended to be reflective of results you can expect to achieve.Market fluctuations may cause the value of investment fund shares held in a donor-advised account to be worth more or less than the value of the original contribution to the funds.Past performance is no guarantee of future results and the opinions presented cannot be viewed as an indicator of future performance.Mary Anne is a client of Schwab and was not compensated by Schwab for their comments. The experience described may not be the experience of all clients and is no guarantee of future performance or success.Hingham Historical Commission is not affiliated with Schwab.Investing involves risk including loss of principal.All corporate names and market data shown above are for illustrative purposes only and are not a recommendation, offer to sell, or a solicitation of an offer to buy any security. Apple, the Apple logo, iPad, iPhone, and Apple Podcasts are trademarks of Apple Inc., registered in the U.S. and other countries. App Store is a service mark of Apple Inc.Spotify and the Spotify logo are registered trademarks of Spotify AB.(0924-TPWV)

Taxes are a big issue for any investor. For people likely to incur federal estate tax, does it make sense to give away assets to family members sooner rather than later? The answer to that question can be fraught with all kinds of psychological and emotional issues. But it's important to contemplate the details of different lifetime gifting strategies if you want to maximize what you leave for your heirs. To understand more, Mark Riepe speaks with Susan Bober, a director in Schwab's Wealth Strategies Group in Indianapolis. Mark and Susan discuss why the idea of giving money to family members can cause so much fear and anxiety, the annual exclusion gifting strategy, and the importance of finding an advisor you trust.Follow Financial Decoder for free on Apple Podcasts or wherever you listen.Financial Decoder is an original podcast from Charles Schwab. For more on the series, visit Schwab.com/FinancialDecoder. If you enjoy the show, please leave us a rating or review on Apple Podcasts. Important DisclosuresThis information is not intended to be a substitute for specific individualized tax, legal or investment planning advice. Where specific advice is necessary or appropriate, Schwab recommends consultation with a qualified tax advisor, CPA, financial planner or investment manager.The information provided here is for general informational purposes only and should not be considered an individualized recommendation or personalized investment advice. The investment strategies mentioned here may not be suitable for everyone. Each investor needs to review an investment strategy for his or her own particular situation before making any investment decision.All expressions of opinion are subject to change without notice in reaction to shifting market conditions.Investing involves risk including loss of principal.Examples provided are for illustrative purposes only and not intended to be reflective of results you can expect to achieve.There are minimum requirements to work with a consultant and the Wealth Strategists Group. Wealth management refers to products and services available through the operating subsidiaries of The Charles Schwab Corporation, of which there are important differences including, but not limited to, the type of advice and assistance provided, fees charged, and the rights and obligations of the parties. It is important to understand the differences when determining which products and/or services to select.(1122-24F0)

Anyone who has invested for more than a few years has seen their share of bear markets, bull markets, down economies, and recessions. But each circumstance is different. Heraclitus said that you can't step into the same river twice: The person is different, and the river is different. When the economy turns downward, what are some strategies you should keep in mind? What's the context around the current market and macroeconomic conditions? In this episode, Mark Riepe interviews Schwab's chief investment strategist, Liz Ann Sonders.A few of the issues Mark and Liz Ann discuss include:How and why we label the economy as being in a recession;What an "earnings recession" and a "rolling recession" are;Inflation and interest rates;Unemployment, the housing market, and many other topics.Follow Financial Decoder for free on Apple Podcasts or wherever you listen.Financial Decoder is an original podcast from Charles Schwab. For more on the series, visit Schwab.com/FinancialDecoder. If you enjoy the show, please leave us a rating or review on Apple Podcasts.Important DisclosuresInvestors should consider carefully information contained in the prospectus or, if available, the summary prospectus, including investment objectives, risks, charges, and expenses. Please read it carefully before investing.The information provided here is for general informational purposes only and should not be considered an individualized recommendation or personalized investment advice. The investment strategies mentioned here may not be suitable for everyone. Each investor needs to review an investment strategy for his or her own particular situation before making any investment decision.All expressions of opinion are subject to change without notice in reaction to shifting market conditions.Investing involves risk including loss of principal.Examples provided are for illustrative purposes only and not intended to be reflective of results you can expect to achieve.Past performance is no guarantee of future results and the opinions presented cannot be viewed as an indicator of future performance.Indexes are unmanaged, do not incur management fees, costs and expenses and cannot be invested in directly. For more information on indexes please see www.schwab.com/indexdefinitions.The National Bureau of Economic Research (NBER) is a private, nonpartisan organization that facilitates cutting-edge investigation and analysis of major economic issues.(1022-27JC)

What do you do if you haven't put enough money into your retirement account over the course of your working life, and you know you don't have enough money or time to fund the retirement you want?You might be tempted to act like a losing football team and throw caution to the wind with a Hail Mary pass. But your financial life is more consequential than a football game, and what you don't want to do is to make a bad situation even worse.If your retirement plan has gotten off track, there are still some actions you can take to try to get it back on track. In this episode, Mark Riepe speaks with Cindy Scott. Cindy is a CERTIFIED FINANCIAL PLANNER™ professional with Schwab in Westlake, Texas, and has helped hundreds of people in setting retirement goals and creating plans to pursue those goals and achieve them. She was a guest on the show back on Season 8, Episode 3: "How Can You Set Better Goals?"A few of the issues Mark and Cindy discuss include:How to get an accurate assessment of how much money you'll need in retirement;Four levers you can use to try to get back on track;The role of Social Security in retirement;Tax efficiency, cash reserves, and many other topics.Follow Financial Decoder for free on Apple Podcasts or wherever you listen.Financial Decoder is an original podcast from Charles Schwab. For more on the series, visit Schwab.com/FinancialDecoder. If you enjoy the show, please leave us a rating or review on Apple Podcasts. Important DisclosuresInvestors should consider carefully information contained in the prospectus or, if available, the summary prospectus, including investment objectives, risks, charges, and expenses. Please read it carefully before investing.The information provided here is for general informational purposes only and should not be considered an individualized recommendation or personalized investment advice. The investment strategies mentioned here may not be suitable for everyone. Each investor needs to review an investment strategy for his or her own particular situation before making any investment decision.All expressions of opinion are subject to change without notice in reaction to shifting market conditions.This information does not constitute and is not intended to be a substitute for specific individualized tax, legal, or investment planning advice. Where specific advice is necessary or appropriate, Schwab recommends consultation with a qualified tax advisor, CPA, financial planner, or investment manager.Investing involves risk including loss of principal.Examples provided are for illustrative purposes only and not intended to be reflective of results you can expect to achieve.Diversification, asset allocation, and rebalancing strategies do not ensure a profit and do not protect against losses in declining markets. Rebalancing may cause investors to incur transaction costs and, when a nonretirement account is rebalanced, taxable events may be created that may affect your tax liability.Past performance is no guarantee of future results and the opinions presented cannot be viewed as an indicator of future performance.An investment in a money market fund is not insured or guaranteed by the Federal Deposit Insurance Corporation or any other government agency. Although a money market fund seeks to preserve the value of your investment at $1.00 per share, it is possible to lose money by investing in a money market fund.Charles Schwab & Co., Inc., a licensed insurance agency, distributes certain life insurance and annuity contracts that are issued by non-affiliated insurance companies. Not all products are available in all states.All corporate names are for illustrative purposes only and are not a recommendation, offer to sell, or a solicitation of an offer to buy any security.Fixed income securities are subject to increased loss of principal during periods of rising interest rates. Fixed income investments are subject to various other risks including changes in credit quality, market valuations, liquidity, prepayments, early redemption, corporate events, tax ramifications and other factors. Lower rated securities are subject to greater credit risk, default risk, and liquidity risk.Apple Podcasts and the Apple logo are trademarks of Apple Inc., registered in the U.S. and other countries.Google Podcasts and the Google Podcasts logo are trademarks of Google LLC.Spotify and the Spotify logo are registered trademarks of Spotify AB.(0922-2KBC)

When you spend your working life saving and investing, it can be a little scary when it comes time to shift your mindset and start withdrawing from those accounts. Whether you have a 401(k) or an IRA, what strategies can help you make the most of your retirement nest egg? In this episode, Mark Riepe speaks with Daniel Stein. Daniel is a vice president and branch manager for Schwab in Bethesda, Maryland. He's a CERTIFIED FINANCIAL PLANNER™ professional and a Chartered Financial Analyst.A few of the issues Mark and Daniel discuss include:What investors can do if they haven't yet retired and can still take advantage of higher contribution limits on tax-deferred accounts;The importance of coordinating accounts between spouses;How hard it can be to get a accurate assessment as to how much money you'll be spending;Required minimum distributions, and many other topics.Follow Financial Decoder for free on Apple Podcasts or wherever you listen.Financial Decoder is an original podcast from Charles Schwab. For more on the series, visit Schwab.com/FinancialDecoder. If you enjoy the show, please leave us a rating or review on Apple Podcasts. Important DisclosuresThe information provided here is for general informational purposes only and should not be considered an individualized recommendation or personalized investment advice. The investment strategies mentioned here may not be suitable for everyone. Each investor needs to review an investment strategy for his or her own particular situation before making any investment decision.All expressions of opinion are subject to change without notice in reaction to shifting market conditions.This information does not constitute and is not intended to be a substitute for specific individualized tax, legal, or investment planning advice. Where specific advice is necessary or appropriate, Schwab recommends consultation with a qualified tax advisor, CPA, financial planner, or investment manager.Investing involves risk including loss of principal.Examples provided are for illustrative purposes only and not intended to be reflective of results you can expect to achieve.Diversification and asset allocation strategies do not ensure a profit and do not protect against losses in declining markets.Roth IRA earnings can be withdrawn tax-free after age 59½, if you've held the account for at least five years. If you take a distribution of Roth IRA earnings before you reach age 59½ and before the account is five years old, the earnings may be subject to taxes and a 10% federal tax penalty.Traditional IRA withdrawals are subject to ordinary income tax and prior to age 59 1/2 may be subject to a 10% federal tax penalty.Any corporate name mentioned is for illustrative purposes only and is not a recommendation, endorsement, offer to sell, or a solicitation of an offer to buy any security.An investment in a money market fund is not insured or guaranteed by the Federal Deposit Insurance Corporation or any other government agency. Although a money market fund seeks to preserve the value of your investment at $1.00 per share, it is possible to lose money by investing in the Fund.Fixed income securities are subject to increased loss of principal during periods of rising interest rates. Fixed income investments are subject to various other risks including changes in credit quality, market valuations, liquidity, prepayments, early redemption, corporate events, tax ramifications and other factors.(0922-21P2)

Instinctively, most people know that it's a good idea to save money for the future. But when it comes to saving for retirement, there are complex decisions each person must face—and typically when they are just starting out in the workforce. Is it better to contribute to a 401(k) or a Roth IRA? When can a traditional IRA make sense? How can you convert a traditional account to a Roth account? In this episode, Mark Riepe speaks with Hayden Adams. Hayden is director of tax and wealth management at the Schwab Center for Financial Research. He's also a CERTIFIED FINANCIAL PLANNER™ professional and certified public accountant, and he provides analysis and insights on topics like income tax planning, tax-efficient investing, asset allocation, and retirement withdrawal strategies. Hayden and Mark discuss the history of IRAs, the various types of accounts, how to invest once the account is open, and many of the pressing decisions facing younger investors when they are deciding how best to save for their future. Taxes play a key role in many of the decisions, and Hayden walks listeners through the potential pitfalls—and benefits—of each savings-related decision.Follow Financial Decoder for free on Apple Podcasts or wherever you listen.Financial Decoder is an original podcast from Charles Schwab. For more on the series, visit Schwab.com/FinancialDecoder. If you enjoy the show, please leave us a rating or review on Apple Podcasts. Important DisclosuresThe information provided here is for general informational purposes only and should not be considered an individualized recommendation or personalized investment advice. The investment strategies mentioned here may not be suitable for everyone. Each investor needs to review an investment strategy for his or her own particular situation before making any investment decision.All expressions of opinion are subject to change without notice in reaction to shifting market conditions.This information does not constitute and is not intended to be a substitute for specific individualized tax, legal, or investment planning advice. Where specific advice is necessary or appropriate, Schwab recommends consultation with a qualified tax advisor, CPA, financial planner, or investment manager.Investing involves risk including loss of principal.Roth IRA conversions require a 5-year holding period before earnings can be withdrawn tax free and subsequent conversions will require their own 5-year holding period. In addition, earnings distributions prior to age 59 1/2 are subject to an early withdrawal penalty.Examples provided are for illustrative purposes only and not intended to be reflective of results you can expect to achieve.Any corporate name mentioned is for illustrative purposes only and is not a recommendation, endorsement, offer to sell, or a solicitation of an offer to buy any security.(0822-2J82)

The Fed is hiking short-term interest rates to slow the economy. Now the bond market is starting to expect less inflation longer term, and so yields on Treasury bonds have declined from their peak. What should bond investors do?In this episode, Mark Riepe speaks with Kathy Jones, Schwab's chief fixed income strategist. Kathy has analyzed global bond, foreign currency, and commodity markets extensively throughout her career as an investment analyst and strategist, working with both institutional and individual clients. Kathy makes regular broadcast appearances on CNBC, Yahoo Finance, Bloomberg TV, and many other networks and is often quoted by The Wall Street Journal, The New York Times, Financial Times, and Reuters.Kathy and Mark discuss the reasons why investors typically hold bonds in a portfolio, how the yield curve tends to function, quantitative tightening, and many other topics related to bonds and the current interest-rate environment.Follow Financial Decoder for free on Apple Podcasts or wherever you listen.Financial Decoder is an original podcast from Charles Schwab. For more on the series, visit Schwab.com/FinancialDecoder. If you enjoy the show, please leave us a rating or review on Apple Podcasts. IMPORTANT DISCLOSURESThe information provided here is for general informational purposes only and should not be considered an individualized recommendation or personalized investment advice. The investment strategies mentioned here may not be suitable for everyone. Each investor needs to review an investment strategy for his or her own particular situation before making any investment decision.All expressions of opinion are subject to change without notice in reaction to shifting market conditions. Data contained herein from third-party providers is obtained from what are considered reliable sources. However, its accuracy, completeness or reliability cannot be guaranteed. Supporting documentation for any claims or statistical information is available upon request.Examples provided are for illustrative purposes only and not intended to be reflective of results you can expect to achieve.Investing involves risk including loss of principal.Please note that this content was created as of the specific date indicated and reflects the author's views as of that date. It will be kept solely for historical purposes, and the author's opinions may change, without notice, in reaction to shifting economic, business, and other conditions.Diversification does not eliminate the risk of investment losses.Fixed income securities are subject to increased loss of principal during periods of rising interest rates. Fixed-income investments are subject to various other risks including changes in credit quality, market valuations, liquidity, prepayments, early redemption, corporate events, tax ramifications and other factors. Lower-rated securities are subject to greater credit risk, default risk, and liquidity risk.Tax-exempt bonds are not necessarily suitable for all investors. Information related to a security's tax-exempt status (federal and in-state) is obtained from third parties, and Schwab does not guarantee its accuracy. Tax-exempt income may be subject to the alternative minimum tax. Capital appreciation from bond funds and discounted bonds may be subject to state or local taxes. Capital gains are not exempt from federal income tax.Preferred securities are often callable, meaning the issuing company may redeem the security at a certain price after a certain date. Such call features may affect yield. Preferred securities generally have lower credit ratings and a lower claim to assets than the issuer's individual bonds. Like bonds, prices of preferred securities tend to move inversely with interest rates, so they are subject to increased loss of principal during periods of rising interest rates. Investment value will fluctuate, and preferred securities, when sold before maturity, may be worth more or less than original cost. Preferred securities are subject to various other risks including changes in interest rates and credit quality, default risks, market valuations, liquidity, prepayments, early redemption, deferral risk, corporate events, tax ramifications, and other factors.(0822-2H72)

Balancing the trade-off between risk and return is one of the most fundamental decisions an investor makes. But it can be difficult to "know thyself" and truly understand your risk tolerance. Myriad psychological factors may cause you to behave differently than your stated risk profile when confronted with market volatility. And beyond weathering the ups and downs of the market, there are other types of risk that can impact the pursuit and achievement of your financial goals.   In this episode, Mark is joined by Susan Hirshman, CFA®, CFP®, CDFA®—director of wealth management for Schwab Wealth Advisory. Susan shares her perspective on risk from her years working as an advisor to high-net-worth and ultra-high-net-worth investors. Susan and Mark discuss the difference between risk tolerance and risk capacity, how to determine your true risk tolerance, and how a wealth management plan can help you stay the course when your risk tolerance is tested.Follow Financial Decoder for free on Apple Podcasts or wherever you listen.Financial Decoder is an original podcast from Charles Schwab. For more on the series, visit Schwab.com/FinancialDecoder. If you enjoy the show, please leave us a rating or review on Apple Podcasts. Important DisclosuresThe information provided here is for general informational purposes only and should not be considered an individualized recommendation or personalized investment advice. The investment strategies mentioned here may not be suitable for everyone. Each investor needs to review an investment strategy for his or her own particular situation before making any investment decision.All expressions of opinion are subject to change without notice in reaction to shifting market conditions. Data contained herein from third-party providers is obtained from what are considered reliable sources. However, its accuracy, completeness or reliability cannot be guaranteed.  Supporting documentation for any claims or statistical information is available upon request.Examples provided are for illustrative purposes only and not intended to be reflective of results you can expect to achieve.Investing involves risk including loss of principal.Please note that this content was created as of the specific date indicated and reflects the author’s views as of that date. It will be kept solely for historical purposes, and the author's opinions may change, without notice, in reaction to shifting economic, business, and other conditions.