I have been a Bachelorhead aka a member of Bachelornation – since The Bachelor aired in 2002. Back then, I was single and looking for love and now I am married with children, at least at the time of this article’s publication.

It has been a long and fascinating journey, to say the least. What keeps me coming back to an over-produced reality television dating game show? I could say it’s because deep down I’m a true romantic. But the truth is I love watching other people awkwardly navigate intimate relationships in exotic locations while wearing formal wear.

And as an added bonus, after watching The Bachelorette for all these years, I’ve learned a few important financial lessons. It sounds crazy, but hear me out.

An expensive date doesn’t always equal romance.

Sure. Lots of the dates on The Bachelorette involve a private helicopter ride to an ancient castle. Or the couple takes a dunk in a magically-appearing hot tub in the middle of the woods, followed by a private concert performed by some B-level country star.

Don’t get me wrong. All of this fairy-tale stuff definitely helps the couple feel like they are falling in love. But more often than not, the best connections and truest romantic moments on the show happen when the couple is simply talking over dinner, cuddling by a fire, or having an impromptu picnic. I was comforted by the realization that the success of one’s love life isn’t dependent on the size of your wallet (or private helicopter).

Diversify your portfolio.

For fifteen years, the stars of The Bachelorette were Caucasian women and the cast was 99% Caucasian men. It wasn’t until Season 13 that The Bachelorette herself was a woman of color. Rachel Lindsay is incredible and the producers did a decent job of casting more diverse potential suitors than previous seasons – although they still have a long way to go. In my opinion, this diversification was the reason Season 13 of The Bachelorette was the most interesting.

My point? Just as a more diversified portfolio may improve your investment outcomes, a more diversified cast of suitors can increase chances of better watching. No one wants the portfolio equivalent of twenty-eight white guys named Chad.

The more options the better.

The Bachelorette’s journey towards engagement is shorter than most (3 weeks) but she has a much larger pool to choose from. This is actually a great example of how you should approach your financial journey.

Sit down with the financial equivalent of Chris Harrison and take a look at all of the investment opportunities that are possible. At first, it may seem overwhelming. But if you trust your gut, you will quickly realize some investment plans are actually super sketchy. Some make big promises but have hidden fees. Others may be judgemental of your goals. Some may even ghost you when they find out that you don’t have “enough” money to invest with them. Don’t feel bad. Just send them home in a limo.

“Take down your walls.”

Over a romantic dinner or an exciting bungee jump, we often hear these words on the show. I am always amazed at how much each contestant is expected to reveal on a three-hour horseback riding date. I am not even certain that my S.O. and I have had those kinds of conversations in 8 years of marriage. But alas, there are lessons to be learned from the likes of Ben Higgins. Don’t be afraid to face your financial fears. Best to attack them head-on as it is likely to lead to a more secure future. You may not end up with Lauren B, but you should feel better about having a plan.

Be there for the right reasons.

If you’ve watched the Bachelor, you must always question whether people are there for the right reasons. The same holds true when thinking about your investment strategy. After the final rose, are you looking for long-term stability (Tanner and Jade) and someone (or some cash) to enjoy retirement with?

Or are you just looking for some quick returns and an influx of Instagram followers and a ticket to Bachelor in Paradise? Don’t be a B player who has a short character arc. It’s exciting for a brief time, but being erratic (hello – Krystal) and trying to time the market isn’t a long-term strategy and may not end well. Consistency is key. Trust the process.

Play the long game.

At the start of the season, The Bachelorette will often meet one or two guys with whom she has a very strong connection. If she’s smart, after the couple solidifies how they feel about each other, The Bachelorette will put the guy on the backburner until later in the season. Instead of spending time with the sure thing on her precious one-on-one dates she uses the rest of her very limited time to get to know the other guys.

This is a great way to look at long-term investments. Don’t waste time obsessing over the performance of a  stock or fund that you know you’re going to want to hold on to for the long haul.

Add it to your portfolio, give it a rose, toss it in a group date and call it a day.

At Stash, you can create an investment portfolio that loves you for who you are.

The post The Money Lessons I Learned From Watching ‘The Bachelorette’ appeared first on Stash Learn.

Fans of the series have been watching the growing threat of the White Walkers as the battle for the Iron Throne heats up. Will Daenerys and Jon Snow prevail with their dragon glass against the Night King and his zombie army? Can Arya and Sansa continue to collaborate without killing each other? Will Cersei consolidate power in King’s Landing?

While we ponder those very important questions, here’s something else to keep in mind: “Game of Thrones” is a huge money maker for HBO and its former parent company Time Warner, acquired by AT&T for $85 billion in 2018. Not only is GoT the most-watched show in HBO history, but the GoT franchise is also worth over $1 billion, commanding nearly 30 million viewers per episode in the U.S. alone, according to the New York Times.

And viewership for season eight is expected to be more massive than the Wall—in no small part because HBO shelled out a staggering $15 million per episode for the six-part series, each episode the length of a feature film.

How does HBO make money?

HBO doesn’t rely on advertising, the way traditional television networks do. Instead, it depends on people paying $10 to $15 a month for cable and streaming subscriptions. Does that work? It seems so. HBO produced profits of $6 billion between 2015 and 2018, according to reports.

(HBO also spends billions of dollars each year, working with top producers to create cutting edge content, which helps it to add subscribers. In fact, in 2018, HBO broke its own record for new subscribers in 2017.)

Since HBO doesn’t use the traditional advertising model, it’s less concerned about what it makes when a new episode first airs. It’s more about how much it makes all year, and the year after that, even with the hugely popular Game of Thrones.

For example, HBO has sales from DVDs for its shows and various online products, which has also become a way for HBO to market to consumers around the world, according to experts.

The ‘Game of Thrones’ effect

Just the same, “Game of Thrones” is a huge part of HBO’s most recent success.

In 2014, GoT surpassed “The Sopranos”, HBO’s hit mafia-inspired show, as the network’s most popular series. And between subscriptions, merchandising, and the international market, “Game of Thrones” makes a significant contribution to HBO’s revenue.

In fact, over the decade, it has helped HBO add an impressive 50 million subscribers, according to the Hollywood Reporter.

Although the number of viewers of a series like “Game of Thrones” can start to resemble major sporting events such as the Super Bowl, there are some important differences.

Unlike the Super Bowl, “Game of Thrones” isn’t necessarily meant to be consumed on a single night. If you miss the big game, you miss it—you know who’s won, and your family and friends have already eaten the guacamole.

GoT is a cultural phenomenon, and viewership can extend from its peak on Sunday evenings in North America, to other time zones around the world—regardless of spoilers.

And for HBO, it’s not about when you watch #GOT, it’s just about watching—now, or years from now. So, while Sunday night’s ‘Game of Thrones’ might not be raking in the dollars based on viewership alone in the way that traditional network TV events do, it contributes to HBO’s bottom line.

The post How Much Will HBO Make from ‘Game of Thrones’ Season 8? appeared first on Stash Learn.

Award shows are supposed to be fun, funny, and above all, entertaining. But behind all the glitz and glitter is a year’s worth of planning and effort to pull the whole thing off. In fact, award shows are an industry in and of themselves.

Award shows: all business

Aside from honoring artists’ performances and serving as a highlight reel for different areas of the entertainment industry, award shows act as an important promotional tool.

For example, millions of people flock to theaters to see the nominees for Best Picture, and millions more tune in to watch the television shows with the most Emmy nominations. The same goes for other areas of the entertainment industry, including music and Broadway Theatre.

So, in short, entertainment execs hope that recognition at award shows (and winning, of course) spurs sales, increases viewership, and puts butts in seats at theaters. This is sometimes referred to as an award show “bump”.

The award show “bump”

Movies, musicians, and TV shows sometimes get an “award bump” after their work has been featured on an award show. For example, between 1990 and 2009, films nominated for Best Picture during the Oscars generated an additional $14 million at the box office, though that trend has slowed in recent years. For example, “Moonlight,” which won Best Picture in 2017, saw a bump of $2.5 million following a post-Oscars release in theaters.

Streaming companies can see another kind of “bump”: In 2018, Netflix saw its stock price increase nearly 5% after its original TV shows won a record 23 Emmy awards.

How it all stacks up

There are dozens of annual award shows in the entertainment industry these days, including the Tonys, Teen Choice Awards, Country Music Awards, VMAs, ESPYs, and more. But some are considered more prestigious than others, such as the Oscars (movies), Emmys (television), Grammys (music). Here are how those shows stack up, and how much money they tend to generate for their respective industries.

The Oscars

The Oscars, or the Academy Awards, are held by every February by the Academy of Motion Picture Arts and Sciences, and focus on the film industry.

Viewership: 26.5 million (2018).

Advertising revenue: $128 million (2017).

Cost to produce the ceremony: $44 million (2018).

Fun fact: Oscar statuettes are made of gold-plated bronze. But during World War II, winners received plaster trophies that were painted gold.

The Emmys

The Emmys celebrate achievement in television, and are presented by three organizations: The Television Academy (primetime), the National Academy of Television Arts & Sciences (daytime, sports, news and documentary), and the International Academy of Television Arts & Sciences (international).

Viewership: 10.2 million (2019)

Advertising revenue: $35 million, estimated (2017).

Cost to promote a show: Some networks spend $60-$80 million on Emmy campaigns.

Fun fact: An Emmy statue costs $400.

The Grammys

The Grammys are all about music, and is held every year by The Recording Academy.

Viewership: 19.9 million (2019).

Advertising revenue: $90 million (2019).

Cost to produce the ceremony: Exact figures are unknown, but the 2018 show reportedly went over budget by as much as $8 million.

Fun fact: Each Grammy is made of “Grammium” (a zinc alloy) and requires 15 hours to make.

Award yourself

You can invest in entertainment companies producing TV, movies, music, and more on Stash.

The post The Business of Award Shows: The Oscars, Grammys, and More appeared first on Stash Learn.

Think of Belle from Disney’s Beauty and the Beast.

She’s a heroine because of her independent mind, her great work ethic, her intellectual curiosity, and her strong personality.

But she only really ends up rich and happy in a magical castle because she developed a codependent relationship with her weirdo kidnapper. Great lesson, right?

Women get dumb lessons about money

Countless popular books, films, and TV shows still carry the same basic message for women: Work hard, get an education, look flawlessly beautiful at all times, and a rich husband will find you and take care of the electric bill (or provide a dancing, talking candlestick to light your gigantic home).

But how realistic is that? Um, not very.

There were 110 million unmarried people in America age 18 and older in 2016, according to the most recent data from the U.S. Census Bureau. That accounted for 45.2% of all U.S. residents over the age of 18. And of that number, 53.2% were women.

So if you’re a single lady, you’re in good company. And chances are you’ve got to pay your own damn bills.

Women have to fight harder

It’s commonly accepted that boys should fend for themselves financially. It’s a sign of conventional contemporary masculinity to be “financially independent” as a man. We don’t always teach girls the same lesson. They may not know how hard they’ll have to fight for equal pay when they enter the workplace.

This is a big deal when many businesses certainly don’t value women’s work on par with men’s work. According to U.S. Census Bureau data, on average, an American woman earns 80.5 cents for every dollar a man earns. Women’s median annual earnings are $10,086 less than men’s.

The gulf grows much wider when we look at salaries for women of color versus white men. And while many women (and a few good male allies) advocate for change, we’ve also got to be extra invested in our own financial future.

Be your own Princess Charming

Now, I’m not saying you won’t marry a rich man (or extremely, fabulously wealthy person of any gender!) I’m just saying you shouldn’t depend on it.

Having your own income and savings will hopefully help you feel stronger, more confident, and less dependent when you do get into a serious relationship.

Maybe you aren’t making enchanted Disney prince (or princess) money, but you can start dealing with your actual financial reality right here and now, regardless of your dreams for the future or your regrets about the past.

All the single ladies (can achieve financial independence)

Here are a few easy tips that can help you get going on your badass single lady financial plan.

Open a retirement account and make regular contributions

The positive effect of compound interest is real and it’s powerful. You can set up a Roth or traditional IRA on your own—I did when I was a full-time freelancer.

But some companies provide a 401(k) and will match your contribution up to a certain dollar amount (usually 4%). Let’s say you get a regular paycheck, and you choose to contribute 10% of each paycheck to your 401(k), pre-tax. The company will match 4% of your contribution. They’re giving you free money! That’s great!

You won’t be able to tap into that fund until you hit a certain age, at least not unless you want to incur very high penalties, taxes, and fees. But it’s your superpowered future-cool-old-lady savings account. Have somebody in HR walk you through the different options, or use the online tools they’ll probably give you

And make sure that, in the unlikely event that you shuffle off this mortal coil early, your 401(k) is earmarked for a loved one.

Envision your ideal financial future

Here’s a set of questions to get your imagination going. We’re going to work backwards, which may feel a little odd, but will hopefully jog your brain in a good way.

1. Where do you hope to be at the very end of your days? Let’s imagine you are fortunate enough to have a long and healthy life. When you’re elderly, do you expect to want to live in the fanciest of eldercare facilities? Do you want to spend your final days in a home that you own? (In that case, you’ll likely need full-time in-home health aides at some point—keep contributing to that 401(k)!) I know this is a wild thing to consider, and it may seem unnecessary at your young age, but there’s no harm in imagining it for a moment.
2. Let’s look at your life when you’re retirement age—say, 65. You may very well live into your nineties or beyond, so retiring at 65 means you may have a few decades left to enjoy! Are you the type of person who loves to travel? You’ll probably still enjoy it at your advanced age, and have more time to do it. There’s no way of knowing if you’ll have kids or grandkids, but we can be fairly certain you won’t want to be a financial burden on them. The choices you make now can help ensure your independence in later age.
3. And now let’s envision your life ten years from now. Where do you hope to live then? Do you want to own a home? What would that home look like? Where might it be? Every time you start to think, “Well, I’m sure my husband can help share expenses,” stop yourself. You may very well be right! But since we’re thinking about single lady finances, reframe the question. “How can I put myself in the best position to be able to afford my happiest, healthiest lifestyle in ten years?”
4. Now let’s look at the next year. What are some things you might realistically be able to accomplish in the next year? Making a move to a town you truly love? Finding a better apartment in the city where you live? Adopting a dog and providing for its care? Maybe your goals are simply: “Paying every bill in full on time, and paying more than the minimum on my credit cards each month.” That’s great!

Check out your answers to the above questions. Walk away from them for a week and return to them. Edit and revise as necessary. Then maybe purchase a helpful book, or even seek out a certified financial planner (CFP), a person trained in the fine art of helping adults get their money right. Many CFPs deal with estate planning, investing, and more. They usually don’t get into the nitty-gritty of day-to-day budgeting.

Read a good book on personal finance

Or more than one good book! Try one of these: Suze Orman’s “Young, Fabulous and Broke;” Allen Carr’s “Get Out Of Debt Now”; Anna Newell Jones’s “The Spender’s Guide to Debt-Free Living”; or something that just happens to appeal to you in the bookstore. Set aside, donate, or sell the books that don’t jibe with your sensibility. Read and re-read the ones that do!

It took me until my mid-thirties to start getting on top of this, but whether you’re younger or older, it’s the right time to begin!

So don’t avoid looking at reality like I did for many years—start taking small, sensible steps now to save and provide for your own health and happiness.

The post How to Be a (Financially Independent) Single Woman appeared first on Stash Learn.

Here’s what you may not have known: Many of the strategies you use to create your dream fantasy football team are useful for first-time investors.

The best thing about creating a portfolio is that you don’t have to bite your nails through a draft or hurry home to make your picks. And unlike fantasy football, you can invest any time and make decisions when you’re ready.

Here are a few ways that fantasy football can teach you about investing:

Diversify your roster

Your roster is sort of like your portfolio. A roster is the list of all your players. A portfolio holds all your investments.

Just like you wouldn’t want to put all your hopes on a superstar quarterback and fill the rest of your team with bench warmers, you wouldn’t want just one trendy, overly-touted stock in your portfolio. If that stock gets hit, your portfolio will feel the pain. Same thing for your roster if your quarterback tears his ACL.

This is where diversification comes in.

You want a variety of players from different teams with different skills that can pick up the slack if one of your best players is a bust. The same is true for your investment portfolio. 

In short: A diversified roster will make sure your team keeps moving in the case of a setback. A diversified portfolio will balance out your risk in case one sector or company fumbles.

Don’t have a home bias

Do you pledge allegiance to the NFC South? If so, you may be likely to fill your roster with Falcons, Panthers, and Buccaneers.

Pats, Giants, and Bills? No way.

Does this sound like you? Then you have, in investment terms, home bias. And that can limit the potential of your roster. Your bias toward Southern teams keeps you from harnessing the talent of players from other teams. Especially if your players are used to playing in the heat but choke when faced with frigid weather.

In the investment world, home bias means that you have a propensity to invest most or all of your money in equities (that’s stocks) from American companies. Home bias can keep you from realizing gains from international equities, which can balance out your portfolio.

If the U.S. stock market hits a stumbling block due to political strife or sudden sell-off, your international holdings may hold steady. After all, the Japanese market may not be reacting to the same things our markets do.

Don’t overreact to Fantasy Football chatter

The rumor mill is always swirling. ESPN says your breakout running back looked like he was limping after last night’s game. Bleacher Report says that a coach is thinking about keeping your best wide receiver on the bench. TMZ says your quarterback is now dating an Instagram star. Sports commentators and columnists are paid to make hay out of speculation to keep you on the edge of your couch. But that doesn’t mean you should trade your best players because of rumors.

The same is true for investing.

Tech sites and market analysts are quick to point out each company’s misstep. But listening to every bit of news and chatter can keep you from looking at the big picture or the overall health of the company. Just like your RB may have just had a pebble in his shoe, a crummy quarter may not indicate that you’ve made a bad investment.

Don’t be guided by emotion

Sometimes, a bad day at the office can coincide with a player’s bad night on the field. It happens. Your frustrations at work can spill over onto your roster. When your best quarterback throws two interceptions in a row, you may decide he’s more trouble than he’s worth.

So you trade him.

Then he proceeds to have the best season of his career. And you kick yourself because you let emotions guide your decisions.

Emotions can also lead you to make rash investment decisions. A sudden feeling of panic about your job can make you feel uneasy about your finances. So you sell your investments because you want to see more cash in your checking account. But then the market goes up and you’ve locked in your losses. You would have been better off holding on to your investments and not let your fleeting feelings of worry get in the way of your financial strategy.

Looking for investments to lead you to the Super Bowl?

Check out the ETFs and stocks available on Stash.

The post How Fantasy Football Can Teach You About Investing appeared first on Stash Learn.

The great news is that many of the biggest and most popular acts are out in full-force during the summer months. The bad news? You’ll likely be paying for your tickets.

For many Americans, a trip to Coachella, Burning Man, or Summerfest are simply too expensive. And the ticket prices are just the start. If you don’t live nearby, the costs multiply when you add in expenses for travel, lodging, and food.

You’re not crazy, ticket prices are through the roof

But back to ticket prices—if you haven’t been to a big concert in a while, you’re likely in for a case of sticker shock. While ticket prices vary from event to event and from market to market, the general trend is that prices have been increasing.

Why ticket prices have increased

There are a lot of reasons that ticket prices have increased. Artists are making less and less from record sales in the digital age, for one, which is likely one reason it costs more to see them play live.

Other reasons include an influx of bots which quickly buy up tickets only to sell them later at inflated prices, and, interestingly enough, prospective concert-goers are simply willing to pay more and more to see a show.

So, how can you go to a show without going bankrupt? Here are some tips:

See if you can get fan club discounts

If you really like an artist, you can try getting into their fan club for presale codes and discounted tickets. Not every artist has a fan club, but many larger acts do—including Nickelback, Justin Timberlake, and Carrie Underwood.

Again, not all artists have fan clubs, and not all fan clubs have presale offers. But if you’re looking to save some money, it’s worth checking out.

Credit card specials and presales

Like an artist’s fan club, some offers are only for members. In this case, though, carrying a credit card may be enough to get you in the door.

Some credit cards offer presale tickets and other fan packages. Certain cards from Citi, for example, have concert offers, and American Express has a partnership with Ticketmaster.

Wait for the right venue—or city

Ticket prices vary from city to city, and region to region. For that reason, it may be worth it to wait until a tour or artist schedules a show in a smaller market, or at least in a smaller venue.

If your favorite band is on tour in another city, check out the location and venue that’s friendliest to your wallet. Because who the act is and where they perform makes a big difference.

The more popular the artist or tour, and the bigger the city? The more you should expect to pay, according to industry analysts.

If you purchase a ticket to a big-name concert in New York City for $100, for example, you can expect that same show to cost more than $127 in Los Angeles, or $73 in Grand Rapids, Michigan.

Tickets at arenas or big amphitheaters typically come with hefty price tags. But tickets to shows at smaller venues, like clubs, can often be found for cheaper.

Buy bootleg merch

Don’t be the guy (or girl) that buys and then wears the t-shirt at the show.

Here’s an example: Metallica sells t-shirts for $42. But you can probably find Metallica shirts for much less than that if you’re willing to shop around—away from the show. You’ll find bootleg merchandise at many concerts, often sold a block or two away.

If buying unauthorized merch feels crummy to you (after all, the band isn’t likely to see any of that money), check out the band’s own website or record label to see if they’re selling merch at a discount.

No matter what you decide, if you feel that $42 is a bit steep for a t-shirt, holding off and picking up a shirt online may be the way to go.

Look for last-minute tickets

The concert you’re going to may not sell out. In that case, it can pay to wait. Set up price alerts on sites like SeatGeek and StubHub, and get notified when prices are dropping. You can also scour Craigslist for tickets, but be wary of getting scammed.

Holding off on buying tickets is always a gamble, but if you don’t anticipate a show being sold out, it can save you some money.

Ask about hotel discounts

Hotels and motels may offer discounts to people coming to town to see a band or festival. Find out if there’s a promo code or package for concert and festival-goers. You and your friends may save some bucks and score a free continental breakfast.

Read the rules

Is there anything more annoying than packing a cooler full of snacks and beverages only to have them taken away by security?

Get smart about what you can and cannot bring into a venue ahead of time so you know what you’ll have to spend money on (water) and what you may be able to bring in (granola bars).

Last resort? See a cover band

Ticket prices to see certain artists can be downright outrageous. This summer, for example, it’ll cost you nearly $240 to see The Eagles. And nearly $230 to see Ed Sheeran. People are apparently willing to pay more than $200 to see U2, too, according to industry data.

If it’s too much, you can always see a cover band. And some of them are pretty good!

Tickets to see Dead & Company (the latest incarnation of The Grateful Dead), can start at $119. Tickets to see Dark Star Orchestra, the well-regarded Dead cover band, start as low as $28.

Expand your horizons and check out tribute bands that honor your favorite bands with a unique take. Cover bands like Skapeche Mode, Brit Floyd, or the all-female Iron Maidens all have their own fan followings.

The post How to Save Money at Concerts and Music Festivals appeared first on Stash Learn.

It’s advice that could be applied to proper tipping etiquette. Or, another one of George Bluth Sr.’s lessons, doled out by none other than the one-armed man, J. Walter Weatherman.

The TV show “Arrested Development”, which is now in its fifth season (premiering on Memorial Day weekend), was and continues to be full of important lessons. Over the years, the Bluths have taught us that it’s never a bad idea to bring Pop-Pop a treat (especially if he’s been hiding in an attic for weeks) and that Never Nudes exist. Dozens of them.

It can also offer viewers valuable money lessons—it is, after all, a show about a family that lost everything. Take a cue from the Bluths, and save yourself from a Skip’s Scramble-sized financial disaster.

There isn’t always money in the banana stand

The lesson: Build an emergency fund.

Whenever a Bluth is worried about money, the retort is that “there’s always money in the banana stand.” While that may have been true until the banana stand was torched, the idea that there’s always a stash of money somewhere, just waiting to be dipped into, kept the Bluths fears at bay.

But few, if any of us have money in a banana stand.

Industry data shows that less than 40% of Americans have enough saved up to cover a $1,000 emergency. 66 million people in the U.S., or about 28% of the population, have no savings at all.

Get a good f**king attorney—or financial advisor

The lesson: If you hire a professional, do your homework.

George Sr. landed himself in jail because he had the “worst f**king attorneys.” Likewise, you don’t want to end up broke and alone because you had a terrible financial advisor. Avoid the equivalent of Barry Zuckerkorn, and you should avoid Bernie Madoff-like disasters.

Financial advisors can be valuable resources, but sometimes, they offer up bad or misleading advice. Typically, advisors earn money through commissions and fees and thus have an incentive to sell—even if it’s not necessarily in the customer’s best interest.

If you hire an advisor, make sure they’re working for you, not against you.

“No touching” when it comes to your retirement savings

The lesson: Don’t touch your savings.

George Sr. was constantly berated in prison for violating the “no touching” rule when hosting visitors. You should take the same approach with your savings—and retirement savings, in particular.

Millions of Americans dig into their retirement savings early, typically as a way to handle emergency expenses. And it comes at a big cost. If you withdraw before the age of 59½, you’ll be dinged with significant tax penalties.

So, just like a family member during a prison visit, consider any touching of your retirement savings off limits.

Learn from the Cornballer

The lesson: Invest wisely.

The thing about bad investments is that they can leave you feeling burned. Just like the Cornballer.

The Cornballer, an ill-fated device used to make cornballs—marketed by both George Sr. and Richard Simmons on the show—was outlawed because it could cause serious burns. Anyone who bought one, or who had invested in its development and production, would also feel burned financially.

In other words, the Cornballer was a bad investment. The world is full of bad investments, which is why it’s important to do your research and invest your money wisely. That goes beyond stocks and bonds, too. Real estate can be a risky investment, as can assets like artwork and collectibles.

You don’t want to get cornballed by a phony Monet.

“You’re gonna get some hop-ons.”

The lesson: Anticipate familial needs

While the infamous stair car provides the Bluth family with a last-ditch transportation option, it isn’t without its drawbacks. Specifically, it attracts “hop-ons”, or, people who jump on the back in order to hitch a ride.

You may have experience with something similar—like dependent family members or friends.

When planning for the future, you may want to anticipate these “hop-ons”. They can include clingy children, elderly parents, or friends who are down on their luck. It’s not always a bad thing, necessarily—who doesn’t want Nana around?—but it can throw a wrench into your financial plans.

“Baby, you got a stew going!”

The lesson: Live frugally.

Carl Weathers, who plays himself throughout the series, has one undeniable quality: He’s cheap. He’s constantly looking to save a buck by eating at Burger King (for the free refills), intentionally getting bumped from flights to earn airline vouchers, and using leftover food to make stew.

Weathers is a thrifty man, and there’s something to be learned from his character.

Weathers, despite being a TV and movie star, evidently is able to get by on very little (in the show, at least). There are millions of Americans who do exactly the same. Even if you earn a decent salary, that doesn’t mean you need to indulge in every luxury or succumb to lifestyle inflation.

Channel your inner Carl Weathers, and see the untapped “stew” in the simplest things.

Beware of “loose seals”

The lesson: Get insured.

Sometimes, life throws you cornballs. Or, in Buster’s case, hand-hungry seals with a taste for human flesh. It’s during those times that you’ll want to make sure you have your bases covered.

The lesson here is simple: Get insurance. If you have a family, consider checking out life insurance. Make sure you have health insurance and protect yourself in the event that you get hurt and don’t end up with medical debts that will take decades to pay off.

And consider checking out renters insurance if you’re not a homeowner.

And if you’re already covered? Give yourself a hand.

The post Money Lessons I Learned from Watching “Arrested Development” appeared first on Stash Learn.

In casual conversation,  TV personality Gayle King earlier this week told Ellen DeGeneres on her talk show that Winfrey likes to smoke pot sometimes.

“Oprah has also smoked a little marijuana, too, I don’t mind saying,” King, a friend of Winfrey’s, reportedly told DeGeneres. This is, of course, second-hand information and Winfrey has not weighed in on King’s comments or confirmed them. (She did admit to smoking some marijuana in the 1980s, according to reports.)

Still, Winfrey has had a profound effect on numerous industries, and even this second-hand information could cause a shift in thought about the growing pot industry.

In fact, the timing of King’s comments comes not long after Senate Minority Leader Chuck Schumer’s announcement in April that he plans to introduce legislation that would make marijuana legal in all 50 states. Taken together, the comments could portend that pot is moving into the mainstream.

“The time has come to decriminalize marijuana,” Schumer said in a statement. “My thinking—as well as the general population’s views—on the issue has evolved, and so I believe there’s no better time than the present to get this done.”

The Oprah Effect

Whatever Winfrey does, she tends to do in a big way. And her Midas touch has had a huge impact on numerous industries.

Winfrey, whose rousing Golden Globes speech earlier in the year prompted speculation that she may soon be running for president, is worth close to $3 billion. In addition to making frequent appearances in films, such as the recent movie adaptation of Wrinkle in Time, Winfrey is the owner of multi-media production company Harpo Productions, which includes television network Oprah Winfrey Network (OWN).

In 2017, Winfrey sold a $70 million stake in OWN to Discovery. She also reportedly invests in real estate, according to reports.

When she announced a partnership with diet company Weight Watchers in 2015, it sent the company’s stock soaring. At the time, she bought a 10% stake in the company worth $42 million, and shares of Weightwatchers doubled soon after, according to reports.

Winfrey’s Midas touch has had a big impact on numerous industries.

The pot industry is growing

The marijuana industry is expected to add 200,000 new jobs in the U.S. by 2020, according to New Frontier Data, which provides research on the cannabis market.

Total legal sales of cannabis were about $10 billion in 2017, and are expected to grow to $24.5 billion by 2021, according to reports.

There are now also 29 states that allow doctors to prescribe cannabis for medical purposes, which can include helping to alleviate nausea related to chemotherapy, stimulating appetite for people who are chronically ill and curing insomnia.

Check out our podcast about the marijuana industry.

Changing attitudes

Meanwhile, more and more Americans are becoming pot-friendly. Nearly two-thirds of Americans say marijuana should be legal, according to a 2017 Gallup poll. That’s up from 60% in 2016, and just 34% in 2002.

Growth is expected for a long list of businesses, such as the cultivators and packagers of the plants, dispensaries for medical and recreational weed, not to mention companies creating products that use cannabis byproducts called CBDs. CBDs are non-pyscho-active derivatives of cannabis, which can be used for a variety of purposes, including helping with inflammation, chronic pain, and depression.

Companies are also capitalizing on industrial uses for cannabis, including the production of hemp, which can be used to make fabrics and textiles, as well as being used as additives to health food and body care products.

“There are millions of customers who are excited about legal cannabis,” David Rheins, the chief executive, and co-founder of the Marijuana Business Association, a trade group devoted to the cannabis industry, told Stash recently. “[The industry] is getting bigger and bigger and it’s not going to stop.”

The post Could the ‘Oprah Effect’ Change America’s Attitude Toward Marijuana Legalization? appeared first on Stash Learn.

Though today’s games like “Candy Crush” and “Call of Duty” captivate us through our phones and TVs, the industry’s origins are fairly humble—and don’t even involve video, strange as it may seem.

The business has come a long way, too.

Modern gaming, as we know it, really didn’t get kick off until the late 1980s. But before even that, the business was widely experimental, though a few commercial breakthroughs ultimately brought gaming to the masses.

Today, the industry makes more money than other stalwarts of the entertainment sector, including music and movies. And its appetite has yet to be satiated.

As of 2018, the industry is expected to drive as much as $170 billion in revenue, according to industry analysts. By 2022, revenues could balloon to as much as $235 billion.

With some help from comedian and podcaster Brian McGuinness of the Playable Characters podcast, here are some of the defining moments in video game history.

The early years

1940 – The first “video game”

The first video game debuts at the World’s Fair in New York. Edward U. Condon invents a computer that plays a game, “Nim”, against human competitors. The computer won 90% of the time.

1967 – Video games meet television

Ralph Baer conceives and builds the “Brown Box”, a prototype video game console that allowed users to play on TV screens.

1972 – The Magnavox Odyssey launches

The Magnavox Odyssey hits shelves, allowing gamers to take a console home for the first time. It’s based on Baer’s “Brown Box”.

Pong

The same year the Odyssey goes on sale, video game maker Atari launches “Pong”, and video game mania takes hold.

1977 – Atari’s Video Computer System

Atari releases its Video Computer System, or the Atari 2600. It’s the precursor to modern consoles, and features classic games like “Space Invaders”, “Donkey Kong”, and “Frogger”.

1983 – Saturation of the market, and the tragedy of E.T.

The dam finally breaks when “E.T.”—a game based on the movie—is released for the Atari 2600. Widely considered the worst game ever made, the company ended up burying thousands of the game cartridges in the New Mexico desert.

“It was so bad,” said McGuinness. “The market was so saturated at that point that when this game came out, people were like ‘we’re done with video games.’”

Fun fact: In 2015, curious diggers found the trove of buried Atari 2600 games, including “Pac-Man,” “Ms. Pac-Man,” “Breakout,” “Star Raiders,” “Pele’s Soccer,” and “Centipede.” The games were auctioned off on eBay for over $100K.

The industry gets a foothold

1985 – The Nintendo Entertainment System (NES) launches

The NES launches, reigniting consumer passion and hooking millions of children on the adrenaline rush that accompanies the sad realization that the princess is in another castle.

Nintendo, a company originally founded in Japan as a playing card company during the late 1880s, got into the video game business in the 1970s and revolutionized the industry with NES. NES games were graphically superior to their predecessors, and the extra memory allowed for multiple levels and storytelling.

Legends are born

Numerous iconic games are produced for the NES, including “Super Mario Bros.”, “The Legend of Zelda”, “Final Fantasy”, and more. Sequels and spin-offs of these games are still produced today.

1988 – Gaming meets the real world

While games, in the 1980s, mostly starred fictitious characters and fantasy settings, developers started looking to the real world for new series.

One example, the “Madden” football series—named after legendary NFL coach and broadcaster John Madden—has gone on to become one of the best-selling and longest-running franchises in America.

But Madden wasn’t convinced at first. In fact, he demanded that the game’s quality be top-notch, or he wouldn’t sign on.

“F*ck that and f*ck you people. Either we do it f*ckin’ right or we don’t f*ckin’ do it at all,” he reportedly told the developer at the time.

It turned out to be a warning shot across the bow for the industry: It’s time to grow up.

1989 – Sega Genesis launches

The next generation of consoles launched in 1989, when Japan-based game company Sega released the Genesis. This introduced us to another classic character: “Sonic the Hedgehog”. Sonic was seen as a more mature counterpart to Mario, helping win over older gamers.

“The Genesis was like, “we’re the cool kids”. Nintendo was just for babies and kids,” McGuinness says of the early rivalry between Sega and Nintendo.

In 1991, the competing Super Nintendo (SNES) was released.

And gaming, at this time, did take a turn toward a more adult audience.

Going mobile

Nintendo releases the Game Boy during the summer of 1989, allowing early players to take their gaming on the road.

1992/1993 – Blood

A staple of modern gaming, violence took the spotlight in the early 1990s. Fighting games and shooters like “Mortal Kombat” and “Doom” hit the market, and with their gore and violent imagery, ushered in the creation of the Entertainment Software Rating Board, an industry group that rates video games for age appropriateness and content.

PC games

Though many tend to associate gaming with consoles, PC gaming also took off during this time as processing power became cheaper and more accessible. This bred the self-appointed “master race” of PC gamers, as they commonly refer to themselves today.

The tech grows up

1992 – Nintendo and Sony break up

The late 80s and early 90s  also saw a courtship between Nintendo and Sony, which were working together on an upgrade to the SNES that would allow it to play CD-based games rather than cartridges.

Sony, wanting to get into the gaming market, teamed up with Nintendo in an effort to gain a foothold in the industry.

That relationship, however, would falter when Sony decided to pursue its own console, believing that Nintendo was stalling in an attempt to keep the company out of the market. As a result, Nintendo would go on to release the Nintendo 64 in 1996, while Sony would release their own industry-altering console in 1994.

1994 – The PlayStation is born

The release of the Sony PlayStation was another generation-defining shift in gaming. The platform brought gaming into a new technological era.

CD-based games could store massive amounts of data compared to cartridges, allowing developers to create longer, more sophisticated games. Classics like “Final Fantasy VII”, “Resident Evil”, and “Metal Gear Solid” exemplified the console’s then-newborn abilities.

“[The PlayStation] changed everything,” says McGuinness. “It had CDs, and 3D textures, and polygons and all that cool stuff.”

The console would sell more than 100 million units and eventually be phased out by Sony for the PlayStation 2 in 2000, then the PlayStation 3 in 2006, and the PlayStation 4 in 2013.

1999 – The dawn of online gaming

Sega, after a series of failed products (Sega CD, Sega Saturn), released another console — the Dreamcast. While it wouldn’t go on to be a hit, the Dreamcast featured another first: It allowed for online gameplay.

Going mainstream

2001 – Microsoft jumps in

In 2001, Microsoft decided to get into the gaming industry, launching its own console, the Xbox. The original Xbox (predecessor to the Xbox 360 and Xbox One) upped the ante in the console wars, pushing out companies like Sega and pitting Microsoft against stalwarts Nintendo and Sony.

The Xbox also brought us one of the most popular game franchises of all time: “Halo: Combat Evolved”.

Halo helped reinvent the shooter genre and popularize online and multiplayer gameplay. It also helped solidify the gaming industry as a commercial juggernaut.

2003 – PC players get Steamy

Steam, a distribution platform, launched for PC gamers in 2003, modernizing gaming outside of the big consoles.

The era of big-budget gaming

As games like “Halo” gained massive followings—and huge production budgets—revenues started to grow and the industry hit its stride. Today, the cost to create an AAA game (similar to a blockbuster movie title) can be in the hundreds of millions of dollars.

“Grand Theft Auto V”, for example, reportedly cost more than $250 million to make. “Destiny”, a first-person shooter originally released in 2014, had a  budget rumored to be $500 million.

And other big-name, big-budget games started hitting the market. “Call of Duty 4: Modern Warfare” came out in 2007, becoming “Halo’s” main competitor in the shooter space.

Other high-end titles from this era include “Assassin’s Creed”, “God of War”, the “Grand Theft Auto” series, and “Half-Life”.

2006 – Get active

Nintendo took things in a different direction than Sony and Microsoft, launching the Wii console in 2006. The Wii innovated by incorporating movement into gameplay, getting people off of the couch with its new control scheme.

The Wii was popular, and opened the industry even further to people who wouldn’t traditionally consider themselves “gamers”. And Sony and Microsoft followed suit, releasing their own movement-based devices, the Move, and the Kinect.

2004-2009 – Gaming spreads

Outside of consoles, PC gaming fostered growth for massively multiplayer role-playing games (MMORPGs), including “World of Warcraft”. These games allow thousands of players to play at once, interacting with each other and even cultivate their own insulated economies.

2009 – present – Mobile games

Mobile gaming also started taking hold with the release and popularization of social and phone-based games like “Farmville” and “Angry Birds”. Later mobile games would start driving massive revenues, like “Clash of Clans”, “Mobile Strike” and “Candy Crush”.

2010 – present – eSports

Started in the early 1990s, eSports has exploded in popularity. In eSports, professional players compete against each other in popular games like “DOTA 2”, “League of Legends”, and “Counter-Strike: Global Offensive”. Like other sports leagues, eSport athletes earn big salaries from sponsors and spectators who pay to watch.

It’s a growing element of the industry that’s expected to earn as much as $1.5 billion by 2020, according to industry reports.

The current state of the industry

Realism and soaring revenues

Over the last decade, the gaming industry has continued to gain momentum. Games became bigger, more detailed, and vastly more expensive to produce. Studios are continuing to spend hundreds of millions to produce games like “Grand Theft Auto V” and “Destiny”, and the profits for successful games tally in the billions.

“These games now, like ‘Uncharted’ or ‘God of War’, their stories are ridiculous. They have scripts that are longer than movies,” McGuinness says, adding that many last between 15 and 20 hours.

“They’re stories, they’re emotional and exciting”, McGuinness says.

Games have become bigger than ever. In fact, “Grand Theft Auto V” has made more than $6 billion, according to reports, making it the most valuable entertainment title in history.

The slate of upcoming releases over the next few years could produce games that eclipse that number. An eventual “Grand Theft Auto VI”, for example, could top it predecessor, and future titles in the “Halo” and “Call of Duty” franchises will also continue to have gamers reaching for their wallets.

The future

What’s next for the gaming industry? It appears that the next big innovation appears to be virtual reality, or VR gaming, which has been attempted before by companies like Nintendo. The company released the Virtual Boy console in 1995, which was considered by most to be a flop.

Consoles also continue to improve, and now incorporate far more than just game-playing abilities. They’ve evolved into entertainment hubs, allowing you to watch live TV, access applications to watch movies, and even access your social media accounts.

Gaming has clearly grown far beyond turtle-stomping plumbers and Dig Dug. The industry’s ever-expanding reach continues to draw in new fans and converts.

Ready to press “start” and invest in the gaming industry? Click here now.

The post Defining Moments in Video Game History: A Timeline appeared first on Stash Learn.

After all, the show’s real hook is that it shows viewers one of the processes that successful investors go through before deciding whether or not a company is worth their hard-earned money.

While a lot goes into making these decisions, you need to at least know the following three terms if you’re ever going to learn to think like a shark.

What is ‘stake?’

Perhaps the most common term you’ll hear on Shark Tank is “stake.”

You may hear one of the contestants say that they’ll offer “5% stake” in their company for a certain amount of money from the sharks.

Valuation is arguably the most important factor on the show. It’s almost always the biggest point of contention, too

For example, in this popular clip, you’ll hear the entrepreneurs ask for $500,000 in exchange for a 4% stake in their company.

In response, Robert Herjavec counters, agreeing to the $500,000 investment but asking for an 8% stake in the company instead.

The stake that someone has in a company refers to what percentage of it they own.

If you own a 10% stake in a company worth $100,000, your stake is worth $10,000. If that company doubles in value, your stake stays the same (10%), but it is now worth twice as much, as well, $20,000.

What’s ‘equity?’

Equity and stake, in certain contexts, can mean the same thing, which is why you’ll hear the two words used interchangeably on the show.

Unlike the other term, “equity” is used in several other contexts.

You’ve probably heard of people having equity in homes or cars. This refers to how much of it they’ve already paid off relative to how much is still left on the loan.

For the sake of understanding Shark Tank, though the two mean similar things.

What’s ‘valuation?’

Valuation is arguably the most important factor on the show. It’s almost always the biggest point of contention, too.

In this episode, two entrepreneurs undergo a lot of scrutiny for claiming that their idea for a new suitcase is worth $28 million.

The sharks seem to think its true value is closer to about $5 million.

Why is this number so important?

First, it determines the price of the stake or equity being offered. In that last clip, the entrepreneurs are offering 5% equity in exchange for $1.4 million. That’s how they get to the $28 million overall valuation.

As you’ll see, by lowering the valuation to $5 million, the corresponding equity becomes much cheaper, too. That’s great for the sharks but not such welcomed news for the entrepreneurs hoping to leave with as much money as possible.

The second reason is a direct extension of the first: the valuation justifies the amount of money the entrepreneurs can ask for. The more the entrepreneurs can convince the sharks what their company is going to be worth, the more likely the sharks will be to show interest and pay up.

How do the Sharks come up with valuations?

On every episode of Shark Tank, the sharks ask questions about what kinds of sales the entrepreneurs have already seen. Obviously, this goes a long way towards helping the sharks decide how much a company is going to be worth.

However, what they’re really trying to figure out is how many sales the company will be able to do after they exchange their money for equity.

They’ll also carry out a market-based valuation. This means they look at similar companies to the one being presented.

On the show, you regularly see that some of the sharks are less likely to pay for equity in a company from a market they aren’t already familiar with (e.g. Kevin O’Leary has a background in mortgages, wine, and books). That’s because they are less comfortable carrying out market-based valuations.

Start investing

Stash is offering new users $5 to get you started investing by signing up here. Remember, anyone can be a saver or an investor. All you have to do is start.

The post Shark Tank Lingo Explained: Equity, Valuation, and Stake appeared first on Stash Learn.

The Federal Communications Commission (FCC) voted on Thursday to overturn a critical set of regulations known as net neutrality.

The debate over net neutrality–regulations that say all content that flows over broadband networks must be treated fairly and equally–has been one of the most complicated discussions happening in the public sphere and in the business world in recent months.

What happened?

The FCC is the government agency that regulates radio, telephone, TV and cable communications.

The commission’s five-person board voted 3-to-2 to overturn the regulations, which were put in place in 2015 under the Obama Administration. The commissioners voted along party lines, with a Republican majority prevailing.

“We are helping consumers and promoting competition,” Ajit Pai, the FCC’s chairman appointed by President Trump, said prior to the vote, according to the New York Times. “Broadband providers will have more incentive to build networks, especially to underserved areas.”

Those in favor of the federal guidelines say they keep down costs for consumer broadband access, while ensuring a level playing field for content providers, which range from tiny tech startups to dynamos such as Netflix.

Those opposed to the rules generally say they have throttled innovation and hamper the ability of internet service providers to invest in and grow their networks.

Next steps

Numerous consumer groups, tech companies, and Internet activists have threatened to sue the FCC to maintain existing net neutrality regulations. There has also been a push among some members of Congress to introduce legislation that would make net neutrality the official law of the land.

Nevertheless, broadband providers will have immediate discretion to begin offering new packages with new pricing schemes that could potentially favor some content over others, according to the Wall Street Journal.

Bitter divide

In a sign of how contentious the vote was, Mignon Clyborn, one of the FCC’s Democratic commissioners, had this to say, in a statement following the decision:

“I dissent from this fiercely-spun, legally-lightweight, consumer-harming, corporate-enabling Destroying Internet Freedom Order. I dissent, because I am among the millions who is outraged. Outraged, because the FCC pulls its own teeth, abdicating responsibility to protect the nation’s broadband consumers.”

Net neutrality explained

Net neutrality is a phrase coined by Columbia Law School professor Timothy Wu in 2003.

It’s the principle that says all data that flows over the internet–composed of computer networks that operate invisibly in the background every time you look at Facebook from your smartphone or watch Netflix shows from your desktop computer, for example–must be treated the same way.

The networks are operated by broadband companies often referred to as internet service providers, or ISPs, and they include companies such as AT&T, Comcast, Verizon, and Time Warner.

Net neutrality regulations said these ISPs couldn’t play favorites, for example by prioritizing their own programming by delivering it more quickly to consumers. They also couldn’t block or slow down downloads of legitimate content, even if it competed with a similar product they may have or own.

Without net neutrality, some experts have postulated the Internet could be carved into “fast lanes” and “slow lanes”, enabling network providers to simply prioritize their own programming over content from competing companies. They’d do that by potentially delivering it at faster speeds, or demanding payment for faster access to networks.

The post The FCC Just Voted to End Net Neutrality: Now What? appeared first on Stash Learn.

Like what you’re hearing? Leave us a review on Apple Podcasts (or wherever you listen to your favorite podcasts).

You work like crazy. You finally get your big break. Your film goes to big festival, gets written up by entertainment writers all over the world and gets nominated for big awards.

So you’re automatically rich now, right? Not exactly.

In this episode of “Teach Me How to Money,” Mike O’Shea, director of the critically-acclaimed breakout horror movie “The Transfiguration,” talks all about being an artist without a trust fund, being successful-ish, and the real financial life of an artist–before, during and after “making it.”

Getting smart about your money doesn’t have to be a horror story.

We’ll be scaring up a different topic every week but we really, really want to hear from you!

Drop us a line at teachmehowtomoney@stash.com. We’ll do our best to answer all of your questions.

Thanks for listening and tuning in. And remember, anyone can be a saver or an investor. All you have to do is start.

Subscribe to “Teach Me How To Money” on iTunes, Stitcher, Google Play, PlayerFM,  and Acast.

Got a question you’d like us to answer on the show? Drop us a line at teachmehowtomoney@stash.com. We’ll do our best to get to all of them.

Ready to start investing? Sign up for Stash and then enter the promo code PODCAST and you’ll get $5 to get started on your financial journey.

Stash, it’s your money simplified.

The post Podcast: How to Pay Bills While Following Your Dreams with Mike O’Shea appeared first on Stash Learn.

With the uncertainty around the Trump administration and fiduciary rule, this is a good time to understand what the term means.

Primary Components of a Fiduciary Relationship

• Provide good service
• Act in the best interest of the client.
• Avoid conflicts of interest

Brooke Harrington, the author of the book “Capital Without Borders,” describes fiduciaries’ obligation to behave with “loyalty, honesty, integrity, good faith, and transparency, and to put the interests of principals above their own, avoiding self dealing.”

Fiduciaries (like Stash) are required to act in their clients’ best interests.

These components are each important in their own right, and overlap in how they influence the nuances of fiduciary responsibility. The idea of good service is based on what a reasonable (or prudent) human would do.

This doesn’t mean that fiduciaries are held to the standard of perfection, but instead that their services and advice must aim at being reasonably good.

Fiduciaries need to be able to show that they did their due diligence; translation: They need to show that they’re satisfying what is required of them legally.

Fiduciary in celebrity news

Even if you’ve never heard the word before, the concept is all around us. Recently, hip-hop juggernaut Kendrick Lamar referenced the fiduciary relationship on his latest album.

On his most recent album, the rapper calls out singer Rihanna’s former accountant, whom she famously sued for mismanaging her finances.

A lot of people with money don’t understand the obligation of those who are handling their money.

Rihanna isn’t the only celebrity to found out about fiduciary responsibility the hard way. 

The actor Johnny Depp’s reported financial struggles sparked the New York Times to ask “Who Should Keep Tabs on the Money?” in a January 2017 article.

According to an April 2017 survey conducted by Financial Engines, only 21% of respondents understood the difference between a financial advisor who was or wasn’t a fiduciary.

That means that a lot of people with money don’t understand the obligation of those who are handling their money.

So what does fiduciary responsibility look like?

The Investment Advisers Act of 1940 was a piece of legislation that was created to regulate investment advisors (go figure!), and is still the guiding piece of legislation on this topic.

Sparked by the stock market crash and following depression, the SEC (Securities and Exchange Commission) prepared a report that eventually led to the act, in the hopes of preventing future mismanagement.

There’s also ERISA (the Employee Retirement Income Security Act), which is a federal law that “sets minimum standards for most voluntarily established pension and health plans in private industry to provide protection for individuals in these plans.”

This was a response to public concern about mismanagement and abuse of private pension plans, and applies to fiduciaries that provide services to retirement and pension plans.

Stash and fiduciary responsibility

Stash is an SEC registered investment adviser, which means we are subject to the Investment Advisers Act. We believe in a transparent relationship with our customers. We take our fiduciary responsibility seriously.

We also believe that as financially literate, empowered investors, fiduciary responsibility should be on your radar as well.

Knowledge is power. And now you know.

The post Fiduciary 101: Why It’s Our Job to Be Your Advocate appeared first on Stash Learn.