Unlock Your Full Potential: Master the Art of Becoming a 100 Percenter!

Posted on September 14, 2023August 24, 2023 by Shield Insurance Agency

Daily Good | BY DANNY ALMAGOR | Aug 21, 2023 | 100 Percenter | Shield Insurance Blog

At Small Giants, the parent company of Dumbo Feather, we’re all about investing our passion and money into projects we believe can make the world better. We’re 100 percenters—or at least that’s our aim!

The term “100 percenter” is inspired by Charly and Lisa Kleissner, tech entrepreneurs who wanted to invest their money in a meaningful way—and inspire others to do the same. That’s why they started the 100 percent impact network, which brings together like-minded people who invest all of their assets into social and environmental causes.

“being 100 percent isn’t just about money”

Now, these are some serious investors, but being 100 percent isn’t just about money; it’s about making a 100 percent commitment to ensuring your life reflects your values. As Kleissner says, “social transformation begins with personal transformation.”

Just think of all the decisions you make every day, from the big to the mundane—where you invest your super, what you eat for dinner, where you buy your coffee, what you do for work, the relationships you have. Imagine if you could align these choices with your core beliefs. We’re on the road to doing that, and while we’re still working a lot of it out ourselves, this two-step guide will help you get the wheels in motion.

1. Work out what your values are

When I’m asked what key things I want to see changed in the world, I say: protecting the environment, encouraging hope and good leadership, building businesses that do social good, and working for peace. Your values might be different. You might be more of an animal person. Or someone who thinks we can’t go further as a society without learning how to be more vulnerable. The point is: if you can’t articulate the things that are most important to you, how can you ensure you’re focussing your energies in the best way?

A good way to discover what you care about is by doing volunteer work. If you know which area you want to volunteer in—children, homelessness, environment, education, health, etc.—then you’re sorted. If you don’t, try a few new projects until you’re hooked on something. From this, a list of values should emerge.

2. Align your values with your actions

If protecting children is a high priority, consider whether what you do at work, or what you buy, affects kids in some way. Maybe through child labor abuses? Or on a positive note: employing single mothers.

The best way to uphold these values is to surround yourself with like-minded people. It can be difficult to change the people you hang out with, but think about it: if all your work colleagues are mad cyclists, you’ll probably end up riding too, or if all your friends smoke, it’ll be hard to be the only non-smoker. On top of a great social group, find a mentor or coach whose values you respect.

Now, although I’ve made this sound fairly easy, the reality is, change is hard. And even when we do work at it, dilemmas arise. If you’re an environmentalist, for example, how do you justify international travel? If you care about health, should you still eat that sugary dessert? I care about animals but I eat meat, one of my many inconsistencies. The key is to be conscious about your choices and do the best you can. As my kids remind me, “If you reach for the stars, you might just touch the moon.”

What if you were able to align your values with how you live? We have 3 steps to help you become a 100 percenter. A Dumbo Feather production by Dennis YC Liu.

For more inspiration, join an Awakin Call this weekend with Danny Almagor and Berry Liberman! More details and RSVP info here,

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How Does Investing Work?

Posted on March 30, 2023March 27, 2023 by Shield Insurance Agency

IN A NUTSHELL

Investing is when you purchase assets you expect to earn a profit from in the future.

Compounding (aka when the returns on your money generate their own returns) the longer your money is in the market, the longer it has to grow.

Investing small amounts regularly over time is a habit that will help you build wealth throughout your life called dollar-cost averaging.

You may have heard that investing is the best way to grow your money and reach your biggest financial goals. But what is investing, exactly? How does investing work? And how can you get started? Find the answers to those and other investing questions below.

What is investing?

At its simplest, investing is when you purchase assets you expect to earn a profit from in the future. That could refer to buying a home (or other property) you believe will rise in value, though it commonly refers to buying stocks and bonds.

How is it different from saving?

Saving and investing both involve setting aside money for future use, but there are a lot of differences, too. Check out this chart:

Investing	Saving
Always involves risk. Even the safest investments involve some risk that could cause you to lose money.	Rarely involves risk. If your cash sits in an FDIC-insured savings account (which protects up to $250,000), you typically don’t need to worry about losing any.
Higher potential for growth. Depending on how much risk you’ll accept, it’s possible to earn a large return on your investments. With stocks, for example, the long-term average is nearly 10 percent per year.	Lower potential for growth. Virtually all savings accounts will pay you interest for keeping money in your account. But it probably won’t be much and often fails to keep up with inflation (the rate at which prices are rising).
Usually best for mid or long-term goals. Generally, it’s best to only invest money you won’t need for a little while, as the stock market fluctuates and you don’t want to be forced to sell stocks that are down because you need the money.	Good for short-term goals. A savings account, being essentially risk-free, is ideal for immediate purchases as well as any money that you can’t afford to lose in the short term (such as an emergency fund).
May be difficult to access quickly. Before you can spend any of the money you’ve built up through investments, you’ll have to sell them. With stocks, it could take days before the proceeds are settled in your bank account, and selling property can take months (or longer).	Readily accessible. Generally speaking, you can access money in your savings account anytime.

What’s the difference between investing and trading?

Click here for the full story !

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10 Smartest Money Moves for 2023

Posted on January 27, 2023January 24, 2023 by Shield Insurance Agency

Ring in the new year right with smart money moves

AARP | By Bruce Horovitz | December 19, 2022 | Money Moves | Shield Insurance Agency

With 2023 just days away, could there be a more confusing time for investors? On one hand, the discussion is all about the upcoming recession — but is there actually going to be one? On the other hand, the discussion is also about the inflation monster, which has seriously impacted all of our wallets.

But are there signs that the monster is finally getting tamed, or is that just an illusion? In either case, what is the best way to prepare for spending and investing in the year ahead? AARP reached out to certified financial planners for tips on what older investors need to consider for the coming year. Here are their 10 best tips for 2023.

Smart Money Moves

1. Supersize your retirement plan contribution

If you are still working and have the cash flow, 2023 could be a terrific time to max out your tax deferrals, says Rachel Elson, a certified financial planner in San Francisco, California. Federal limits have jumped sharply, so with catch-up contributions, workers age 50 and up will be able to put $30,000 into workplace retirement plans like a 401(k) or 403(b).

You’ll need to have sufficient income to allow this kind of saving because you could be tying up those dollars for several years, she says. But if you’re in your peak earning stage — and especially if you’re living in a high-tax state — the tax break from maximizing your deferrals can be meaningful.

2. Double-check charitable contributions

The one place that’s most obvious for tax deductions — charitable contributions — is also the place where many folks fail to get their full deductions, says Mitchell Kraus, a certified financial planner in Santa Monica, California. In reviewing his clients’ tax returns, Kraus discovered that most of them weren’t getting the full deduction from their charitable contributions because they either took the standard deduction or they were giving from the wrong pool of money.

More than 80 percent of Americans take the standard deduction, he says. There are other options. People over age 70½ can donate up to $100,000 from their IRA. (The contribution will not count as income.) Also, donating appreciated assets, such as stocks, might not create an extra deduction, but can avoid the capital gains taxes you would have to pay if you simply sold the asset, he notes.

3. Create a business owner retirement plan

More than 54 percent of America’s small business owners are age 50 and over, according to the Service Corps of Retired Executives. Those who are self-employed can still have access to a retirement plan although many don’t realize it, says Marguerita M. Cheng, a certified financial planner in Gaithersburg, Maryland. The benefit to them is additional savings for retirement and tax savings either today or in the future. For those who have employees, the options include Simple IRA, SEP IRA or 401(k).

4. Invest in U.S. Treasury bills

Few investments offer the safety and security of U.S. Treasury bills, says Jordan Benold, a certified financial planner in Frisco, Texas. These are U.S. securities that mature in one year or less. Currently, a two- to six-month treasury bill will pay more than 4 percent, Jordan says.

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A Bond is a safe investment when you compare them with stocks

What is a Bond?

Posted on October 24, 2022October 18, 2022 by Shield Insurance Agency

Acorns.com | Stacy Rapacon | Aug 18, 2022 | Bond

An investing novice might know just one thing about bonds: They’re boring. Which is precisely why you need them in your portfolio, and should get to know them better.

“Bonds are safe investments when you compare them with stocks,” says Tim Kim, a Certified Financial Planner and analyst with Francis Financial in New York City. “The main role [they play] is to further diversify your investments and act as a safety net for your portfolio when the market isn’t doing too well.”

They can also provide a steady stream of cash payments. But don’t confuse safety with simplicity; bonds can actually be pretty complicated. “They are a different breed [of investment],” says Certified Financial Planner Vid Ponnapalli, founder of Holmdel, N.J.-based Unique Financial Advisors. “Bonds are a little more loaded when compared with stocks.”

So we’ve pulled together a primer of all you need to know about bonds—starting with the most basic question of all.

What is a bond?

Basically, a bond is an IOU, or a loan that you give to the issuer. When you buy bonds, you do so with the expectation of getting paid back—with interest—in a certain amount of time.

They are also securities that can be traded, similarly to stocks, on exchanges or over-the-counter (directly with dealers, such as investment banks).

Who issues bonds?

Companies issue corporate bonds. The U.S. government issues Treasuries. States and municipalities (cities or towns with a local government) issue municipal bonds, adorably nicknamed “munis.”

These three main types of bonds each come with different levels of risk and expected returns, based on the general stability of the issuer. Overall, we think of Uncle Sam as pretty reliable (since he can print his own money), so the risks of Treasuries are minimal—as are the returns. On the other hand, companies can come and there’s a risk they can go, so corporate bonds typically offer greater returns with greater risk. Munis fall in the middle.

How do you buy bonds?

You can buy Treasuries at www.treasurydirect.gov.

For other types of individual bonds, you can make your purchase through a brokerage firm, but understand that you’re buying secondhand. The investment banks that deal bonds get them new, then pass them on to you on what’s called the secondary market.

The difference between how much the dealer pays for the bond and how much you pay is called the “spread.” You typically won’t know what that is because dealers don’t have to disclose it. What you can and should know when buying a bond is its coupon rate (how much interest it pays) and when it matures.