Author: Money Mechanics

Key Takeaways Warren Buffett’s 90/10 strategy involves allocating 90% of assets to a low-cost S&P 500 index fund and 10% to short-term government bonds.The 90/10 rule offers simplicity, lower fees, and the potential for higher returns.The strategy is based on historical returns for the S&P 500, as well as Buffett’s skepticism about the performance of the average fund manager.Critics say such a high allocation to equities isn’t suitable for all investors, particularly those nearing retirement or already retired. The 90/10 rule comes from legendary Warren Buffett’s advice for average investors. Put 90% of your money into a low-cost S&P 500…

Accumulation of real wealth doesn’t happen by accident. And the rich usually don’t get that way by chasing hot IPOs or mastering day trading. Rather, they build bases of durable assets by following fundamental, disciplined and boring rules and habits.This may take some of the sparkle out of the magic of striking it rich in the market. But it’s actually good news. The core strategies the wealthy use aren’t some code known only to an ultra-secret club. Nor do they require you to be wealthy already to leverage them.The difference between how the wealthy invest and how most retail investors…

Question: I’m 52, make $210K a year and heard I may lose a 401(k) tax break in 2026. Should I still max out my 401(k) as I had planned?Answer: The more money you’re able to sock away in your 401(k), the more financial flexibility you might enjoy in retirement. And whether you’re on track with your savings or trying to make up for lost time, you may be eager to take advantage of your plan’s catch-up contributions, which are available to savers ages 50 and over.If you’re 52 years old and earning $210,000 a year, you may be in a…

Key Takeaways OpenAI CEO Sam Altman recently warned that “some really bad stuff” is coming with AI—especially deepfakes and other “really strange or scary moments.”OpenAI’s new video app Sora 2 quickly claimed the top spot of Apple’s App Store in the days after its launch late last month, showing how quickly deepfake-style tech is going mainstream.Altman said he hopes society learns how to build guardrails before the tech gets even more powerful. Sam Altman, CEO of the OpenAI, the company behind ChatGPT, is providing unexpectedly stark warnings about the effects of his own products and those like them. “I expect some…

Having the right home security equipment can provide peace of mind. And, with some items, like smart locks, it adds convenience to your everyday life. It’s why I like them. If I leave home and don’t remember if I locked the front door, I don’t have to drive back to check. I can open the lock’s app and do it remotely.I also like them because you can assign temporary codes for occasional visitors. This ensures that I don’t have to make duplicate keys (which could become lost, most likely by me) and end up in the hands of someone I…

Key Takeaways A large emergency fund, even if you have a low salary, can provide more financial security than having a high income and a meager amount savings, a recent JPMorgan Chase & Co. study found. The study found that many households could put away at least $1,000 in emergency savings in less than three months by cutting back on nonessential spending like dining out. Keeping your emergency fund in a high-yield savings account allows it to grow safely while also keeping it liquid. Regardless of whether you earn a lot or a little, an emergency fund can make a…

My dad was an avid fisherman. One year, he decided to take me and my sister with his friends on a fishing trip in the middle of nowhere, Quebec. Our cabin was only accessible by boat, and the nearest hospital was a mere eight hours away.What you find is that being in touch with nature is one of the most serene experiences you can have. But what happens when you need access to things like trail reports, weather updates, or help in an emergency?This is where having the right connection becomes critical to staying safe. That’s why, before I go…

Stock futures were little changed ahead of another busy earnings day Wednesday, while gold futures pulled back further after their worst session in a dozen years. Futures associated with the S&P 500 were up 0.1%, while those affiliated with the Dow Jones Industrial Average and Nasdaq were down less than 0.1%. Yesterday, the blue-chip Dow ended up 0.6%, the tech-heavy Nasdaq ticked down 0.2%, and the benchmark S&P 500 finished almost perfectly flat. Gold futures were down a further 0.5% to $4,090 after sinking nearly 5.5% yesterday—their worst day in a dozen years. Gold had set its latest record of $4,393 early Tuesday before retreating. The…

Unlock the Editor’s Digest for freeRoula Khalaf, Editor of the FT, selects her favourite stories in this weekly newsletter.This article is an on-site version of our Unhedged newsletter. Premium subscribers can sign up here to get the newsletter delivered every weekday. Standard subscribers can upgrade to Premium here, or explore all FT newslettersGood morning. Gold prices fell more than 6 per cent yesterday, the biggest sell-off since 2013. Among the proposed reasons for the decline: thawing US-China trade tensions; the dollar’s recent uptick; the lack of US economic data. None of the explanations for the rise in the gold price…

As the tech sector continues its relentless climb, investors are eyeing select companies with upcoming earnings reports that could ignite even stronger gains. Among the promising candidates are Arista Networks, Cloudflare, and Rubrik. Each has demonstrated robust momentum this year, driven by surging demand in AI, cloud security, and data protection. Looking for actionable trade ideas? Subscribe now to unlock access to InvestingPro’s AI-selected stock winners! As the Q3 earnings season kicks into high gear, investors are searching for companies that can not only weather market volatility but also deliver the kind of strong results and positive guidance that can…