RESOURCES

This article serves as a warning to investors who seek to profit from the most recent target of speculative capital. It presents three reasons why the number of investors capable of generating above market returns by leveraging AI software is likely to be small. First, it explains why AI software is highly unlikely to outperform market averages. Second, it explains why, even if some AI software applications are capable of outperforming markets, the opportunity set is likely to be extremely small. Finally, it concludes by explaining why investing in AI companies, rather than a broadly diversified index fund, is unlikely to pay off for most investors. It should be noted, however, that this article does not deny that AI will likely create substantial changes in business practices and labor markets in the coming years. It simply argues that the opportunity to use AI software or invest in AI companies to generate above market returns is much more limited than is often assumed.

The SECURE Act 2.0 made many mostly small changes to the tax code. The biggest thing for IRA owners to consider now is whether they want to convert balances to Roth before tax rates rise.

We are blessed with (too) many options for income that we receive, but these choices can be categorized into four broad categories: taxes, giving, living and saving. Taxes are a natural consequence of living in a civilized society and having income or assets.

SECURE_2.0 SECURE Roth 401(K)

While both QCDs and donating appreciated assets are helpful, there are numerous considerations in determining which technique to use.