PharmD Money

Investing can be an exciting and challenging endeavor. So far in 2022, it's been more of a challenge than anything else. Especially for those who find they have a large portion of their net worth inside investment accounts.

So what can you do to ease the pain of a stock market sell off? After seeing your investment accounts drop week after week, you may find yourself looking for a solution.

I get this type of question often. So, in this episode, I give you 4 easy steps anyone can take during turbulent market times. 

Enjoy the show!

It's been hard to find investment products that people can participate in that limit their downside risk of loss while also paying a decent interest rate. For this reason, I-savings bonds have exploded in popularity.

I-savings bonds (I = inflation) are government savings bonds that pay an interest rate that is tired to the CPI - U inflation rate in America. Lately, as inflation has skyrocketed, so has the interest rate on these savings bonds.

In this episode, Derek explains how they work and what investors should be aware of if they decide to take advantage of these savings bonds.

Interest rates are a complex topic. But they directly impact normal people on both ends of the spectrum. The cost to borrow money and the amount you earn on many investments are directly correlated with interest rates.

So with all the media talk about the Federal Reserve raising interest rates, mortgage loan interest rising, and Bond investment funds falling, it can be difficult connecting all of these dots.

In this episode, Derek does his best to explain how all these factors are interconnected and why you probably won't get a raise on the interest you're earning in your bank account any time soon.

Enjoy the show!

2022 has been a negative experience for anyone who is associated with investment markets. From 401(k)s to bank savings accounts and everything in-between. Inflation and dropping investment markets have caused a lot of stress and anxiety.

So what can a person do when they find themselves in this type of financial situation. Stay the course and ride it out is usually the best answer. There are also a few tactical strategies available that could make a recession a bit more bearable. 

In this episode, Derek talks about 4 strategies that investors can implement during a recession to make the most of a declining investment market environment. 

Enjoy the show.

Figuring out how to pay for college is a big undertaking. From filling out a FASFA form, too trying to determine how much financial aid you will qualify for, to understand the student loan consequences can get very confusing.

Keeping it simple and taking it one step at a time can be helpful. In this episode, Derek breaks down the 5 steps families can take to better prepare themselves to answer the questions that arise during the college planning process.

Enjoy the show!

It wasn't to long ago when Elon Musk made a few observations about a popular medication to his millions of twitter followers. This information was biased and unsubstantiated. It created backlash from many real medical professionals on that social media platform.

This happens all of the time. Someone with influence has the ability to say stuff that leads many others into make poor decisions for themselves based on that influential "advice".

When it comes to personal finance, this is a common theme. It's also one of the biggest reasons why people end up doing stupid stuff with their money. They crowdsource information from unreliable sources that have influence. 

So, in this episode, Derek talks about what this can mean for individuals who find themselves in this situation and what they should do when they encounter information like this online.

Enjoy the show!

You've just been offered an opportunity to buy an annuity contract? You've heard that these are not good investments to put your money into. However, the broker you're working with insists it's the best option available. What do you do?

This situation plays out often in the real world. If you try to do your own research, you'll find biased opinions of this kind of investment product all over the internet. So who should you believe?

In this podcast episode, Derek explains what you're actually getting when you buy an annuity. He also explains how you can better evaluate an annuity to make sure it is or is not what fits your investment needs best.

Enjoy the show!

Tax season has come and gone for many people. The annual task of accumulating tax documents and dropping them off to your accountant, while awaiting to see the outcome is done. 

This is probably as into the weeds a person gets when it comes to their tax return. This is especially the case when you get a refund. "I'm getting money back from the IRS, so everything must be good!"

However, getting a large tax refund could be problematic. Especially in this economic environment. So in this podcast episode we are going to break down why you might be getting a refund and if it's something you should look at changing.

Enjoy the show!

I think it's a bit of an understatement to say that pharmacists are busy people. They don't get the same type of work life balance opportunities that are provided in many other professions. Because of this, it means that pharmacists have to be very strategic and efficient with their time.

This is where implementing a personal CFO into your life can be critical. As the CEO of your own life and as the CEO of your family (or co-CEO in many cases), your time and attention is spread pretty thin. Kids, work, hobbies, etc. are all areas of your life that you need to focus on.

Your personal finances need to be included in that but often times it's the part of life that ends up being neglected. If this is done long enough, it can lead to future outcomes that are less than desirable. 

Incorporating a personal CFO into your life to manage that side of things can create a return on investment in a big way. So in this podcast episode, Derek is going to explain the value of a CFO and how a pharmacist family should judge that CFO to make sure they are extracting as much value from that relationship as possible.

Enjoy the show!

It's very common for individuals to use the mantra "passive investor" as their guide to investment management. Yes, passive investing is a great way to keeps investment costs low and take full advantage of the long-term success investment markets tend to provide.

However, most people believe they are passive investors only to learn that they are using active management action. This becomes one of the biggest reasons why investment returns are far bigger than investor returns.

In this episode, Derek talks about why being a passive investor is not just about owning passive investments. Your behavior needs to be passive as well, and when it's not, it leads to underperformance across the board.

Enjoy the show!