Researchers at the St. Louis Federal Reserve were tired of trying to decipher contradictory evidence on Millennial finances, so they decided to run their own study. The researchers compared Millennials' 2016 finances to (same age) Gen-Xer finances in 2001 to get an idea of their relative financial well-being. Here are the key takeaways from the study: Millennials and Generation X were the youngest working generations in 2016 and 2001, respectively. How do their balance sheets compare? Because of fewer assets and more debt, millennial households had an average net worth of about $90,000 … [Read more...]
Archives for June 2018
The Most Important Thing in Investing
Back in 2006 I was celebrating 20 years of writing Intelligence Report. Debbie and I were in Vermont, and had just visited Vermont’s Authentic Designs to purchase lighting fixtures. The shop uses 150 year-old machines to manufacture colonial and early American lighting fixtures. There, on one of the machines for all the craftsmen to see was taped a sign that read “Simple is Sophisticated.” After reading that taped up sign in Vermont all those years ago, I adopted “Simple is Sophisticated,” as a personal mantra to keep me focused on the essential elements of my investment strategy. The most … [Read more...]
Amazon Makes Move in Pharmacy
Amazon announced yesterday that it is buying Pillpack. Pillpack is an innovative little company that pre-packages medicines for consumers who take multiple drugs regularly. The big pharmacy stocks predictably sold-off on the news that big-bad Amazon is entering their business, but there is much less to be concerned about than meets the eye. Selling prescription drugs is much different than selling Amazon Kindles. A quick review of the Pillpack website shows that. It takes 10-15 minutes to even signup. There is insurance that needs to be dealt with, regulation, pharmacy benefits managers, … [Read more...]
Glamping is Big Business
As summer kicks into high gear, consider hitting the road for your next vacation. I wrote this piece about "glamping," back on December 4, 2017, but it can still inspire you today. Glamping is a big business as pointed out here by Spencer Jakab of the WSJ: For anyone who has gotten stuck on a mountain road behind a massive recreational vehicle, get used to it, there are a lot more on the highway. Recreational vehicles, ranging from bus-sized motor homes to retro trailers, have been a boom-and-bust industry since they first became popular in the early 1970s. Now a wave of retiring baby … [Read more...]
Conagra to Buy Pinnacle Foods: Is this the Beginning of a Mega-Consolidation?
News broke yesterday that Conagra Brands will buy Pinnacle Foods, tying together two midsize American food brands. The big companies selling food in America have been having trouble, and it's worth considering if this may be the first step in what may be a necessary consolidation of the industry. The WSJ Logistics Report explains: Big Food is getting even bigger. Conagra Brands Inc. will pay $8.2 billion to buy Pinnacle Foods Inc., doubling down on frozen foods and taking a new step toward resetting food supply chains in a fast-changing market. The deal would create a conglomerate with about … [Read more...]
Amazon Outsources Last-Mile Delivery
Amazon is encouraging individuals to launch delivery businesses that will lease van fleets from Amazon to give the company additional options for last-mile delivery. Last-mile delivery has been a tough nut to crack for Amazon. Outsourcing delivery to startups seems like an odd way to save money. That is, until you recognize the real game that Amazon is playing. The U.S. postal service is used for much of Amazon’s last-mile delivery. With President Trump calling for higher shipping prices for Amazon, the e-commerce giant is in a weak negotiating position. Creating a network of delivery … [Read more...]
State Tax Update: Are Yours Going Up?
On this site, I regularly highlight the good and bad of states' tax structure (read here, here, here, here, and here for starters). I want business owners, investors and retirees to have the best information possible in order to make their decisions about where to operate, live, and retire. Now, The Tax Foundation has released an update on state tax changes set to take effect on July 1. Some of these changes could be consequential to your income, purchasing power, or business operation. Take a look and see if any of these changes will affect you. From Morgan Scarboro and David Raymond at … [Read more...]
Airport Access is Key to the E-Commerce Revolution
Demand for fast shipping and nimble logistics have made property near airports a valuable commodity. Tim Boreham, in the Sydney Morning Herald, explains how demand for property near airports is affecting the real estate markets in Sydney and Melbourne. He writes: As industrial occupancy rates take off, city airports are playing host to leasing deals involving e-commerce tenants or those linked to the transport and logistics industries. At Westmeadows, near Tullamarine Airport, international freight company Raw Global has landed at the Cargo Park business estate at 1 International Drive, … [Read more...]
RAGE Gauge June: The Trump Economy
We can thank President Trump for unleashing the animal spirits that have been key to this economic resurgence: Business Owners of America Unite! And we may be seeing just the beginning of the economic growth to come. But, from an investment standpoint, especially for those in or near retirement, it continues to be a sticky situation. Do you put more money into a bull market that is long in the tooth only to have it ripped in two with a nasty correction? Or, do you take the high road and suffer along with two percent rates, gritting your teeth, as your nephew talks about cryptos? Continue … [Read more...]
Is This Really the End for Toys R Us?
This week could be the end for the Toys R Us brand, with all stores scheduled to close forever by Friday. But there are some who believe that the toy store chain will rise like a phoenix after new investors get hold of the company's brand. USA Today reports: Even as stores enter their final days of the liquidation sale, toy expert Jim Silver, the founder and editor in chief of popular toy review website TTPM.com, isn't convinced that the Toys R Us story is over. There are many bidders interested in the Toys R Us brand names, including buyers who understand the potential for a reborn Toys R … [Read more...]
- Next Page »