Market Wrap-Up for Feb.10 (ALL, PEP, PRU, WFMI, WMT, T, more)

I was reading more of the major Harris Poll that was released a few days back and a startling revelation that just floored me was 41% of young people between ages 18 and 33 say their personal savings is mostly in bank savings accounts and CDs. This is not a smart move, period! The media did a great job of scaring many out of the markets 18-24 months ago, and the impact on the younger generation could be quite dangerous if they continue to just “break even” with low yield investments. This ultra-conservative nature is not just going to take a toll on younger investors, but older investors as well. look at the latest annuity sales, which jumped 24% in January 2011 from the previous year. What many investors don’t realize is that now is simply a terrible time to buy annuities, because their returns are severely limited in today’s low interest rate environment. Annuities are fixed income investments offered by life insurance companies. In short, you give the insurer your money, and they make monthly payments to you over a specified period of time. There’s nothing wrong with annuities per se, but the timing for buying annuities is extremely important. In general, as …

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Market Wrap-Up for Feb.10 (ALL, PEP, PRU, WFMI, WMT, T, more)

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