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A 2001 Meltdown Would Drop Nasdaq 19,000 Points

2025-11-01 07:46:06 By Jennifer Brown

On March 10, 2000, the Nasdaq-100 traded at 5,048.62. On October 9, 2002, it had dropped to 1,114, down 78% from its peak. If a decline occurs anywhere near that level, it will be due to several factors combined. The most likely outcome is a huge disappointment in the future of artificial intelligence (AI). Another would be raging inflation caused by tariffs. (This leaves a major war out of the equation.) A drop of the same magnitude would take the Nasdaq down over 19,000 points.

24/7 Wall St. Key Points:

Overvaluation of startup tech companies appears to have come around again.
A meltdown like the one in 2001 would take the Nasdaq down over 19,000 points this time.
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Most of the drop in the market from 2000 to 2002 was due to major overvaluation of stocks, which were part of the new internet wave. Those that dragged the market down for the most part had almost no revenue. They often raised money by going public. They ran out of money. A falling market made it impossible for most to raise any more money. Investors in those stocks were wiped out.

The panic was so severe that it even dragged down stocks with excellent business prospects, which are among the most valuable tech stocks today. Amazon.com Inc. (NASDAQ: AMZN) shares fell as much as 90%. Microsoft Corp. (NASDAQ: MSFT) was a more well-established company. Its stock fell nearly 60%. Good earnings at strong tech companies did not save their investors.

Can It Happen Again?

The valuation of some of the hardest hit companies in 2000 to 2002 bears a resemblance to the valuation of AI-related companies today. OpenAI was valued at $29 billion as of May 2023. It is worth $500 billion today. Anthropic was worth $18 billion in early 2024. Its recent valuation was $183 billion. Nvidia Corp. (NASDAQ: NVDA) traded for $21 in March 2023. Today, it trades at $188 per share.

There are theories about AI valuations that are not in its favor. Among them is the fact that advances in technology will start to slow down. Another concern is that a shortage of electricity for AI data centers will hinder its growth. The most likely scenario is that AI products, which are mostly given away for free today, eventually become something that people will pay for. Revenue forecasts could be entirely wrong. Alternatively, AI could become so effective that it puts millions of Americans out of work.

Leaving aside direct stock valuation, people often overlook the fact that other factors also hurt the economy during this period. Japan went into recession, and some economists feared that it would spread. The Federal Reserve raised rates several times starting in 2002 due to concerns about inflation. Today, following President Trump’s aggressive moves, it is more likely that rates will fall, unless inflation arises.

Tariffs will be the inflation trigger. It depends on their levels, duration, the countries involved, and the goods and services they affect. It also has to do with retaliation. The largest risk today is likely from China, Canada, and Mexico, America’s three largest trading partners. U.S. negotiations with China have made no significant progress. However, the central government in China can prop up its economy during a trade war in a way the United States cannot. Canada’s retaliation could center around timber and autos. Mexico’s might center on cars and agriculture.

Most investors believe there is no chance for a market reset. What they forget is that it has happened in the past.

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Investing2025-11-01 07:46:06

Stock Market Live October 9: Delta Earnings Beat Helps Lift S&P 500 (VOO)

-->-->Key PointsThe U.S. government remains shutdown for a ninth straight day on Thursday.Delta Air Lines says the shutdown isn’t affecting its operations — yet — and Q3 earnings beat expectations.Are you ahead, or behind on retirement? SmartAsset’s free tool can match you with a financial advisor in minutes to help you answer that today. Each advisor has been carefully vetted, and must act in your best interests. Don’t waste another minute; get started by clicking here.(Sponsor)-->-->Live UpdatesLive Coverage Has EndedGet The Best Vanguard S&P 500 ETF Live Earnings Coverage Like This Every QuarterGet earnings reminders, our top analysis on Vanguard S&P 500 ETF, market updates, and brand-new stock recommendations delivered directly to your inbox.Click Here - It's Free Thank you for subscribing! Keep an eye on your email for updates. By providing your email address, you agree to receive communications from us regarding website updates and other offerings that may be of interest to you. You can unsubscribe at any time. For more information, please review our Disclaimer and Terms of Use.Thursday Wrap-upOct 9, 2025 4:05 PMLive The Vanguard S&P 500 ETF closed Thursday at 617.10, down 0.3%.Inititating on OracleOct 9, 2025 11:24 AMLivePhillip Securities initiated coverage on S&P 500 componentOracle(NYSE: ORCL) stock with a buy rating and a $350 price target this morning.Oracle is a “niche Infrastructure as a Service (IaaS) and full-stack AI provider,” notes the analyst. Its backlog of future work surged 359% in fiscal Q1 2026, and could reach $144 billion by fiscal 2030 — a 68% compound annual growth rate over four years — powered by “partnerships with major clouds providers and chipmakers [to] support AI training, inference, and database integration, driving 55% YoY infrastructure growth and positioning Oracle for long-term recurring revenue.”Oracle stock is up 3.5% on the new buy rating. The Voo is down 0.3%.United Loves to Fly to Europe (and it Shows)Oct 9, 2025 10:08 AMLiveCircling back to airlines news, Delta rival and fellow S&P 500 componentUnited Airlines(Nasdaq: UAL) announced today it’s opening up nonstop flights from its East Coast hub at Newark Liberty International Airport to a handful of smaller European cities — Bari, Italy; Split, Croatia; and Santiago de Compostela, Spain.Air industry analysts interpret United’s move as a response to Delta’s opening nonstop flights to Malta and Sardinia last month. Whatever the reason, it’s already paying off for United, whose stock is up more than 4% today.Conversely, the Voo has turned around and nosedived to a 0.1% loss. Win some, lose some…Tilray Surprisingly Loses No MoneyOct 9, 2025 9:42 AMLiveBeyond the big S&P 500 companies, Tilray(Nasdaq: TLRY) also reported earnings this morning. Analysts were expecting the marijuana company to lose $0.04 per share, but Tilray says it instead broke even with $0 earned, $0 lost in its fiscal Q1 2026.Revenue for the quarter also exceeded estimates at $209.5 million, and Tilray reaffirmed its non-GAAP guidance for “Adjusted EBITDA” of $62 million to $72 million in fiscal 2026.Tilray stock is up more than 14% on the news. The Voo is now up 0.6%.This article will be updated throughout the day, so check back often for more daily updates.TheVanguard S&P 500 ETF(NYSEMKT: VOO) set a new all-time high on Wednesday, rising 0.6% to close at 618.77. Even as the U.S. government remains stubbornly shut down for an ninth straight day, the market continues to inch higher Thursday, up 0.5% premarket.Helping the market today is a positive earnings forecast fromDelta Air Lines(NYSE: DAL), which forecast today that it will earn between $1.60 and $1.90 per share in Q4, better than the $1.65 per share that analysts were predicting.CEO Ed Bastian warned that if the government shutdown drags on too long, it’s likely to affect his company, and the airline industry in general — and the economy. For the time being, however, Delta’s boss confirms that he hasn’t seen “any impacts at all” on Delta’s business.Commenting on reports yesterday that a handful of airports are starting to see an uptick in flight delays, Transportation Secretary Sean Duffy agreed that he’s seen a “slight uptick” in air traffic controllers, who are currently working without pay, calling in sick rather than coming to work, and that this could affect flight operations, causing delays.EarningsBut getting back to earnings at Delta, which is an S&P 500 component company, Delta reported its Q3 numbers this morning, which were $0.18 better than expected at $1.71 per share. Revenue was $15.2 billion, also better than expected.Taken in conjunction with the Q4 guidance, and the full-year guidance for a better than expected $6 per share for fiscal 2025, Delta’s report was positive on all fronts, and the stock is up more than 7% premarket.A second big S&P 500 component,PepsiCo(Nasdaq: PEP), also reported good profits this morning. Q3 earnings at Pepsi “beat” by three cents at $2.29 per share, with revenue also ahead of forecasts at $23.9 billion.Pepsi stock us up less than 1% premarket.Get Ready To Retire (Sponsored)Start by taking a quick retirement quiz from SmartAsset that will match you with up to 3 financial advisors that serve your area and beyond in 5 minutes, or less. Each advisor has been vetted by SmartAsset and is held to a fiduciary standard to act in your best interests. Here’s how it works: 1. Answer SmartAsset advisor match quiz 2. Review your pre-screened matches at your leisure. Check out the advisors’ profiles. 3. Speak with advisors at no cost to you. Have an introductory call on the phone or introduction in person and choose whom to work with in the future.Get Live Earning Updates on Vanguard S&P 500 ETFNever miss important earnings news. Get real-time updates delivered directly to your inbox. We'll also deliver our top stock recommendations and weekly market udpates. Signup -- It's Free Thank you for subscribing! Keep an eye on your email for updates. By providing your email address, you agree to receive communications from us regarding website updates and other offerings that may be of interest to you. You can unsubscribe at any time. For more information, please review our Disclaimer and Terms of Use.

Investing2025-11-01 07:46:06

Top Dividend Stocks Poised for Explosive Growth in 2026 (ABBV, GD, RGR)

-->Key PointsNew laws, policy initiatives, and geopolitical events are reshaping society, and certain companies are already on track to capitalize on these changes.Both S&P 500 and small cap companies that also pay dividends may be seeing substantial growth over the next few years as a result of these events and the strategic market demand timing for their products.Investors seeking to diversify away from the tech sector might wish to look more closely at the sectors represented by the stocks included here.It sounds nuts, but SoFi is giving new active invest users up to $1k in stock, see for yourself (Sponsor)-->-->Geopolitical events, judicial rulings, new law legislation, and policy changes are all circumstances occurring on domestic and international stages that are triggering big stock moves in various industrial sectors. The impact is being demonstrated on both large-cap and small-cap companies. While investing in companies that are exhibiting potential large growth prospects for the coming 12-months is always finding companies with the addition of a dividend is always a welcome bonus. Abbvie Inc.Abbvie is establishing workarounds to comply with President Trump’s US MFN status for drug pricing while minimizing the impact to its bottom line.In August 20224, Morgan Stanley predicted a price target of $250.00, whenAbbvie Inc. (NYSE: ABBV)was trading at $189.00 At the time of this writing, it is trading between $235 and its 52-week high of $244.81. Perhaps a few weeks off, but certainly on track. Its 2.79% yield is also a nice cherry on top of a lucrative stock. Chicago headquartered Abbvie Inc. is one of the top 5 largest biotech and pharma companies, with treatments for various forms of blood, skin, prostate, and organ cancers, as well as autoimmune diseases, skin ailments, and gastrointestinal disorders.Other Abbvie prescription drugs deal with such afflictions as:Parkinson’s diseaseOcular diseaseHepatitisEndometriosisAnemiaIBSHypothyroidismPancreatitisUterine FibroidsChronic MigrainesAdditionally, Abbvie markets Botox, facial injectables, plastic surgery adjuncts, body and skin care products, both therapeutic and cosmetic. Abbvie’s newly approved Emrelis differs uniquely in a number of ways from its competitors in the solid tumor oncology space and is causing a buzz in the cancer treatment industry. Emrelis has an approach towards targeting, strategic positioning, and methodology of action that has no similarity to any other oncology drugs, making it stand apart. Focusing on C-MET biomarkers, versus HER2 or TROP2, it can more precisely target small-cell lung cancer tumors without the potential DNA damage risk that is inherent with current treatments from some of Abbie’s rivals.As the solid tumor category has long been one in which Abbvie lagged, Emrelis could be a big boost for the company’s fortunes. Morgan Stanley cited it as one of the reasons for its $250 target price for Abbvie. Abbvie has addressed President Trump’s “Most Favorite Nation” drug pricing executive order by lowering domestic US prices for products like ovarian cancer treatment Elahere, which now matches its UK price. Other strategies to be deployed to avoid adverse revenue impact includes direct-to-consumer sales and increased domestic lab facilities, including a new, $70 million Bioresearch Center in Massachusetts. General Dynamics Corp.General Dynamics recently announced a new $641 million contract from the US Navy for additional Virginia class submarines.By renaming The Department of Defense the Department of War, the Administration has declared that the US will no longer turn a blind eye to deadly threats from abroad. Most recently, the news has carried several video clips of US naval forces intercepting and destroying US-bound Venezuelan drug smuggling vessels before they can reach our borders.  US maritime military strength is derived from its logistical and tactical ability to handle threats, which is a result of the vessels built by contractors likeGeneral Dynamics Corp. (NYSE: GD).Secretary of War Hegseth is heading an initiative to revamp the lethality of US armed forces, and command of state-of-the art weaponry and logistics from General Dynamics and its rivals are a big part of this project. General Dynamics Corp. is the 5th largest US military contractor by total sales. It designs, produces, and supplies tactical sea, land, and air transport along with corresponding weaponry. Currently paying a 1.76% dividend, the stock is already up 32.52% year-to-date, and new international threats and deployments appear to indicate that this will not only continue, but escalate. Sea:Founded in 1899 and based out of Reston, VA, General Dynamics’ predecessor was The Electric Boat Company, which developed the first modern naval submarine, which was purchased by the US Navy in 1900. The relationship with the maritime branch of the US armed services continues to this day. General Dynamics supplies the nuclear-powered, missile equipped Virginia and Columbia class submarines. It also makes the Arleigh Burke class guided missile destroyers. A new $642 million contract for additional Virginia class submarines was recently announced. Land:For surface operations, General Dynamics’ M1 Abrams tanks, Light Armored Vehicles (LAV), Howitzers, Strykers, Wolverine Assault Bridges, and Expeditionary Fighting Vehicle (EFV) amphibious assault vehicles have all contributed heavily to US defense platforms. Other land based tactical transport vehicles for weaponry and personnel, mobile launchers for missiles, etc. would also fall into this category.Air:Involvement in Aerospace is what prompted a name change from “The Electric Boat Company” to “General Dynamics”. Aviation projects initiated in Canada, when underperforming Canadair was acquired by Electric Boat. This led to a number of Cold War-era sales to the Royal Canadian Air Force transport, fighter, and patrol aircraft prior to that division being sold in the 1970s to Bombardier. During that same period, Convair, which made bombers for the US Air Force during WWII, was also acquired for US aviation projects. General Dynamics would proceed to collaborate with Grumman (before its merger with Northrop) to develop the F-111 tactical fighter, which served as the prototype for Grumman’s subsequent F-14 Tomcat success, which was showcased in the first Tom CruiseTop Gunmovie.  General Dynamics would go on to its own success with the F-16 Fighting Falcon. The F-16 has become the world’s most common fixed-wing military aircraft, with roughly 3,000 F-16s in operation around the globe at present. Missile systems and weaponry:  General Dynamics’s subsidiaries created the SM-65 Atlas, which was the first US Intercontinental Ballistic Missile (ICBM). It would be followed by Stinger Surface-to-Air Missiles (SAM), Rolling Airframe Missiles (RAM), Tomahawk, and other missiles. The Phalanx CIWS maritime ship gun, GAU-17 and GAU-19 guns, avionics for drone systems, electronics, big data analytics and communications systems would also fall into this category.IT:General Dynamic’s military Information Technology unit is highly regarded. It recently secured a $1.5 billion US Strategic Command IT modernization contract, primarily for cybersecurity protection over US nuclear weapons. Non military subsidiaries: In addition to its military projects. General Dynamics is involved with commercial shipbuilding or tankers and cargo vessels, and owns private jet manufacturer Gulfstream. The primary factors responsible for these double digit gains are global instability. General Dynamics equipment comprises a significant portion of arms deals to Israel for its war against Hamas terrorists in Gaza and to the war in Ukraine. US naval submarine deployments are increasing in the Indo-Pacific region due to new assessments of Chinese naval threats. The Pentagon also needs to replenish its missile supplies due to the Biden administration’s debacle in Afghanistan and its voluminous shipments in support of Ukraine.Sturm, Ruger & Co.The Ruger Blackhawk is still a popular revolver for handgun enthusiasts looking a .357 or .44 Magnum alternative to Smith and Wesson.Since the Supreme Court ruled to support the Second Amendment in the D.C. vs. Heller decision, personal gun ownership rights began to once again assert themselves against the anti-gun lobbies. Blue State policies favoring gun confiscation have lost support as a result of horrific murders, rapes, and assalts by repeat offenders set free through ineffective enforcement and lax local laws. This October, the Supreme Court is deliberating on another case that may extend concealed carry rights even further. 24/7 Wall Street recently published an updated article on open carry rights in each state. US firearms manufacturerSturm, Ruger, & Co. (NYSE: RGR)is currently sporting a 1.56% yield, is trading within 75 cents of its 52-week high, and currently has a “Strong Buy” rating from 57% of the analysts covering the stock. Announcements such as Florida’s confirmation on the legality of open carry in the state is expected to spread even further across the nation.Ruger’s Mini-14 is still a top selling alternative to the AR-15 due to its wood stock and less “assault rifle” looking appearance, while its .22, Blackhawk, and Redhawk revolvers are still popular sellers.Recent disclosures of the venerable 500-year old gun manufacturing legend Beretta owning a sizable minority stake in Ruger has led to speculation of some joint future projects. Ruger stock is up 28.02% year-to-date. The enthusiasm behind the current support for the stock is a welcome bounce back from the doldrums over the past five years, where crime proliferated and gun control laws suppressed legal ownership in many blue states, in direct contradiction to the Second Amendment. Thankfully, this trend has reversed, and Ruger appears to be a primary beneficiary. Want Up To $1,000? SoFi Is Giving New Active Invest Users up to $1k in StockLooking to grow your money but unsure where to begin? SoFi Active Invest is offering a limited-time promotion—open an account, fund it with $50 or more, and you could receive up to $1,000 in complimentary stock for Active Invest accounts.From $0 commission trading to fractional shares and automated investing, this app is designed to simplify investing for everyone, whether you’re just starting or already experienced. Its easy to sign up and secure your bonus.(sponsor)DISCLOSURE:INVESTMENTS ARE NOT FDIC INSURED • ARE NOT BANK GUARANTEED • MAY LOSE VALUEBrokerage and Active investing products offered through SoFi Securities LLC, member FINRA(www.finra.org)/SIPC(www.sipc.org).Advisory services are offered by SoFi Wealth LLC, an SEC-registered investment adviser. Information about SoFi Wealth’s advisory operations, services, and fees is set forth in SoFi Wealth’s current Form ADV Part 2 (Brochure), a copy of which is available upon request and at www.adviserinfo.sec.gov.Probability of Member receiving $1,000 is a probability of 0.026%; If you don’t make a selection in 30 days, you’ll no longer qualify for the promo. Customer must fund their account with a minimum of $50.00 to qualify.Other fees, such as exchange fees, may apply. Please view our fee disclosure to view a full listing of fees.Investing in alternative investments and/or strategies may not be suitable for all investors and involves unique risks, including the risk of loss. An investor should consider their individual circumstances and any investment information, such as a prospectus, prior to investing. Interval Funds are illiquid instruments, the ability to trade on your timeline may be restricted. Brokerage and Active investing products offered through SoFi Securities LLC, Member FINRA(www.finra.org) /SIPC(www.sipc.org).There are limitations with fractional shares to consider before investing. During market hours fractional share orders are transmitted immediately in the order received. There may be system delays from receipt of your order until execution and market conditions may adversely impact execution prices. Outside of market hours orders are received on a not held basis and will be aggregated for each security then executed in the morning trade window of the next business day at market open. Share will be delivered at an average price received for executing the securities through a single batched order. Fractional shares may not be transferred to another firm. Fractional shares will be sold when a transfer or closure request is initiated. Please consider that selling securities is a taxable event.Options involve risks, including substantial risk of loss and the possibility an investor may lose the entire investment Before trading options please review the Characteristics and Risks of Standardized Options [HYPERLINK: https://www.theocc.com/getmedia/a151a9ae-d784-4a15-bdeb-23a029f50b70/riskstoc.pdfInvesting in an Initial Public Offering (IPO) involves substantial risk, including the risk of loss. Further, there are a variety of risk factors to consider when investing in an IPO, including but not limited to, unproven management, significant debt, and lack of operating history. For a comprehensive discussion of these risks please refer to SoFi Securities’ IPO Risk Disclosure Statement [HYPERLINK https://www.sofi.com/iporisk/]. This should not be considered a recommendation to participate in IPOs and investors should carefully read the offering prospectus to determine whether an offering is consistent with their investment objectives, risk tolerance, and financial situation. New offerings generally have high demand and there are a limited number of shares available for distribution to participants. Many customers may not be allocated shares and share allocations may be significantly smaller than the shares requested in the customer’s initial offer (Indication of Interest). For more information on the allocation process please visit IPO Allocation [HYPERLINK https://support.sofi.com/hc/en-us/articles/360058602892-How-does-SoFi-allocate-IPO-shares].

Investing2025-11-01 07:46:06

3 Low-Risk ETFs That Smoke the S&P 500’s Long-Term Gains

-->-->Key PointsTheS&P 500‘s 2.7% drop on Friday expose its tech-heavy tilt. Top 10 stocks represent 37% of the index’s weight, while the Magnificent 7 account for about 35% of YTD gains. The overrepresentation amplifies losses, eroding the index’s broad-market status.Are you ahead, or behind on retirement? SmartAsset’s free tool can match you with a financial advisor in minutes to help you answer that today. Each advisor has been carefully vetted, and must act in your best interests. Don’t waste another minute; learn more here.(Sponsor)-->-->Friday’s market meltdown laid bare the vulnerabilities of theS&P 500. The index plunged 2.7%, erasing weekly gains amid President Trump’s threat of massive new tariffs on Chinese imports. This sharp drop — its worst single-day loss since April — stemmed directly from the index’s heavy reliance on a handful of tech giants. The top 10 stocks now command nearly 37% of the S&P 500’s market capitalization, up from 27% during the 2000 dot-com peak. Among them, the Magnificent 7 hold an outsized sway, accounting for about 35% of the index’s weight.This concentration has fueled impressive returns, but also amplified risks. Year-to-date, the S&P 500 gained 12.5%, yet the Mag 7 contributed 42% of those gains. Their influence was even starker last year when the group drove nearly 70% of the index’s 23% advance. This highlights how the S&P has morphed from the broad-based benchmark it was decades ago into a proxy for a few high-flying names.This shift makes the classic set-and-forget strategy of buying the S&P far riskier than before. Volatility spikes, like Friday’s, can wipe out months of progress if those top holdings falter. Yet investors seeking steady, long-term compounding need not abandon passive approaches. By layering in quality controls — filters for profitability, low debt, and earnings stability — the three exchange-traded funds (ETFs) below deliver superior risk-adjusted returns. They outperform the S&P 500 over a decade while dialing down volatility, offering a smarter path to durable gains.iShares MSCI USA Quality Factor ETF (QUAL)TheiShares MSCI USA Quality Factor ETF(CBOE:QUAL) targets U.S. large- and mid-cap stocks exhibiting strong fundamentals. It tracks theMSCI USA Sector Neutral Quality Index, which scores companies on return on equity, stable year-over-year earnings growth, and low financial leverage. These metrics weed out speculative plays, favoring resilient firms like those in healthcare and industrials alongside select tech leaders. The result: a portfolio of about 125 holdings, sector-neutral to avoid overexposure to any one area, and weighted by quality score multiplied by market cap.Loading stock data...This approach has delivered robust long-term performance with tempered risk. QUAL’s 10-year annualized total return stands at 14.2%, topping the S&P 500’s 12.1% over the same stretch. Its edge comes from consistent outperformance during downturns while allowing for quicker recoveries. On the risk front, the ETF’s three-year standard deviation clocks in at 13.2%, below the S&P 500’s 17.8%. This lower volatility stems from avoiding debt-laden or erratic earners, yielding a superior Sharpe ratio of 1.30 compared to the benchmark’s 1.27. For buy-and-hold investors, QUAL proves quality screens enhance returns without the wild swings of cap-weighted indexes.JPMorgan U.S. Quality Factor ETF (JQUA)TheJPMorgan U.S. Quality Factor ETF(NYSEARCA:JQUA) emphasizes profitability and earnings consistency across roughly 250 U.S. stocks. Drawing from the Russell 1000, it selects holdings via a composite score blending return on assets, gross margins, and earnings variability — prioritizing companies that generate cash efficiently without excessive debt. To promote diversification, JQUA caps sector weights at 30% and integrates a stability buffer, ensuring no single stock exceeds 5% of assets. This setup balances blue-chip stability with growth potential, including names likeEli Lilly(NYSE:LLY) in pharma andVisa(NYSE:V) in financials.Loading stock data...Over the long haul, JQUA has beaten the benchmark index while keeping drawdowns in check. Since its November 2017 inception, annualized return hits 14.2%, surpassing the index by 150 basis points annually. This stems from its focus on high-margin leaders that weathered 2022’s bear market with a mere 13.5% decline, versus the S&P’s deeper 19.4% hit. Risk metrics underscore the appeal: the three-year standard deviation measures 12.4%, a good notch below the benchmark’s 15.9%, reflecting smoother paths through volatility spikes like Friday’s tariff-fueled rout. With a Sharpe ratio of 1.30 — higher than the S&P’s — JQUA suits those chasing compounded growth minus the gut-wrenching dips.Invesco S&P 500 Quality ETF (SPHQ)TheInvesco S&P 500 Quality ETF(NYSEARCA:SPHQ) hones in on the S&P 500’s top tier, selecting the 100 highest-quality constituents based on return on equity, accrual ratios (to spot earnings manipulation), and leverage. Weighted by a blend of quality score and market cap, it amplifies proven performers while muting laggards — thinkMastercard(NYSE:MA) for steady financials orAccenture(NYSE:ACN) for consulting prowess. This intra-index filter keeps broad S&P exposure but elevates it, with semi-annual rebalances to refresh the roster.Loading stock data...SPHQ’s track record highlights quality’s compounding power at reduced risk. The ETF boasts a 10-year annualized return of 14.6%, outpacing the S&P 500’s 12.1% by more than two percentage points. It shone in choppy periods, limiting 2022 losses to 15.8% against the index’s 19.4%, thanks to its aversion to overleveraged firms. Volatility remains contained, with a three-year standard deviation of 15% — under the S&P’s 15.9% — delivering a Sharpe ratio of 1.39. For S&P loyalists wary of concentration, SPHQ refines the formula, capturing upside while buffering against the mega-cap maelstrom.If You have $500,000 Saved, Retirement Could Be Closer Than You Think (sponsor)Retirement can be daunting, but it doesn’t need to be. Imagine having an expert in your corner to help you with your financial goals. Someone to help you determine if you’re ahead, behind, or right on track. With SmartAsset, that’s not just a dream—it’s reality. This free tool connects you with pre-screened financial advisors who work in your best interests. It’s quick, it’s easy, so take the leap today and start planning smarter!Don’t waste another minute; get started right here and help your retirement dreams become a retirement reality.(sponsor)

Investing2025-11-01 07:46:06

2 Amazing Dividend Stocks Hiking Payouts By More Than 15%

-->-->Key PointsDividend stocks deliver compounding income and have beaten non-payers historically.Hartford FundsshowsS&P 500dividend payers generating positive returns every decade since the 1930s.Recent hikes of 15% and 33%, respectively, from two dividend growth stocks signal buy-and-hold opportunities.Are you ahead, or behind on retirement? SmartAsset’s free tool can match you with a financial advisor in minutes to help you answer that today. Each advisor has been carefully vetted, and must act in your best interests. Don’t waste another minute; learn more here.(Sponsor)-->-->Investors seeking to grow wealth over the long term should prioritize dividend stocks for their reliable income stream and compounding potential. These stocks provide regular cash payments that can be reinvested to buy more shares, accelerating portfolio growth without relying solely on price appreciation.Historically, dividend payers have outperformed non-payers. According toHartford Fundsdata from 1930 through 2024, dividend-paying stocks in theS&P 500have delivered positive returns in every decade since the 1930s, even during turbulent periods like the 2000s when the broader index posted negative total returns. This track record underscores their resilience and ability to cushion downturns while contributing significantly to total returns — dividends alone accounted for 34% of the S&P 500’s average annual return from 1940 to 2024. In today’s uncertain markets, this stability makes dividend stocks a cornerstone for buy-and-hold strategies. Two standout examples just announced hikes of 15% and 33%, respectively, signaling strong confidence in future cash flows and deserve a closer look for potential addition to your portfolio.Intuit (INTU)Intuit(NASDAQ:INTU) stands out as a dividend powerhouse in the financial software space, offering essential tools for small businesses and individuals through products like TurboTax, QuickBooks, and Mailchimp. For long-term buy-and-hold investors, INTU provides a blend of steady income, robust growth, and a competitive moat built on recurring revenue from subscriptions and cloud-based services. With the shift to digital finance accelerating, INTU benefits from high customer retention — over 90% for QuickBooks — and expanding markets like payroll and Credit Karma integration. This positions it to generate consistent free cash flow, supporting ongoing dividend increases while funding innovation in AI-driven accounting.Loading stock data...INTU’s dividend history reflects disciplined capital allocation. The company initiated payouts in 2011 and has now raised them annually for 14 straight years. Over the past decade, its dividend CAGR clocks in at 15%, turning a modest starting yield into a meaningful income source today. The five-year CAGR of 14% further highlights recent acceleration amid post-pandemic recovery and product expansions. At a current yield around 0.6%, the free cash flow payout ratio sits comfortably at 22%, leaving ample room for growth without straining earnings. For dividend investors, INTU offers low volatility compared to tech peers. Adding it to a portfolio diversifies into fintech, where demand for automated tax and bookkeeping solutions shows no signs of slowing, ensuring reliable hikes ahead.Royal Caribbean (RCL)Royal Caribbean Group(NYSE:RCL) has transformed from pandemic survivor to dividend dynamo, making it a compelling pick for patient buy-and-hold investors chasing leisure sector exposure. As a leader in experiential travel, RCL operates a fleet of innovative ships across brands like Royal Caribbean and Celebrity, tapping into pent-up wanderlust with record bookings and onboard spending. The cruise ship’s operator long-term appeal lies in its pricing power — yields are up 10% year-over-year — and operational efficiencies like LNG-powered vessels that cut costs and appeal to eco-conscious consumers. With global cruise penetration still under 3%, RCL has runway for fleet growth and market share gains, driving earnings recovery toward pre-COVID peaks.Loading stock data...RCL’s dividend journey is one of bold restarts. After suspending payouts in 2020 to preserve liquidity, it resumed in July 2024 at $0.40 per share quarterly and has rapidly been increasing it ever since. It raised it to $0.55 per share last December, to $0.75 in February, and just hiked it again this month to $1.00 per share — a 33% increase. This aggressive trajectory yields an 11.5% 10-year CAGR, factoring in the hiatus, while the five-year CAGR explodes to 38.7%, underscoring rapid rebuilding. The current yield hovers near 1%, backed by a FCF payout ratio of 5% on surging profits — earnings per share jumped 74% in 2024. For dividend portfolios, RCL adds cyclical upside with a safety net from $735 million in cash reserves. though the company maintains a high debt leverage. As travel rebounds, its commitment to shareholders positions it for sustained growth.Get Ready To Retire (Sponsored)Start by taking a quick retirement quiz from SmartAsset that will match you with up to 3 financial advisors that serve your area and beyond in 5 minutes, or less.Each advisor has been vetted by SmartAsset and is held to a fiduciary standard to act in your best interests.Here’s how it works:1. Answer SmartAsset advisor match quiz2. Review your pre-screened matches at your leisure. Check out the advisors’ profiles.3. Speak with advisors at no cost to you. Have an introductory call on the phone or introduction in person and choose whom to work with in the future.

Investing2025-11-01 07:46:06

The Government Shut Down. Here’s What History Says Will Happen in the Stock Market Next

-->-->Key PointsThe government shutdown stems from a spending impasse, leading to the furloughing of 750,000 workers.Past shutdowns averaged 8 days, with the longest being 35 days in 2018-2019.TheS&P 500is up for five straight days, ignoring the government closure so far.It sounds nuts, but SoFi is giving new active invest users up to $1k in stock, see for yourself (Sponsor)-->-->The U.S. government shutdown, now in its third day since starting on October 1, stems from a partisan standoff over federal spending priorities. Republicans pushed for deeper cuts to non-defense programs, while Democrats demanded protections for social services and immigration reforms. With no resolution in sight, essential services continue, but about 750,000 federal workers face furloughs, delaying economic data releases like jobs reports. History shows these events average around 8 days, though the record-breaking 2018-2019 shutdown dragged on for 35 days, costing the economy billions. So far, markets have brushed it off: theS&P 500has risen each trading day since, including five straight gains. But history offers clear signals on what comes next. Shutdowns Aren’t New: A 50-Year RundownOver the past 50 years, the U.S. has seen 21 federal government shutdowns since the first in 1976 under President Gerald Ford. These lapses occur when Congress fails to pass funding bills by the fiscal year’s start on October 1. Early ones were brief, like the 11-day halt in 1976 over vetoed spending. Tensions peaked in the 1990s under divided government, with two multi-week shutdowns in late 1995 and early 1996 totaling 28 days combined.The 21st century brought more frequency amid polarization. From 2013 to 2019, shutdowns hit three times, including the 16-day one in 2013 over the Affordable Care Act and the marathon 35-day impasse in 2018-2019 tied to border wall funding. No major closures happened between 1996 and 2013, but recent years show rising risks. Each episode disrupts operations but rarely derails the economy long-term, as back pay and delayed work resume quickly.Loading stock data...History’s Bullish Hint for Stocks Post-ShutdownMarkets often rebound stronger after these disruptions. Data from the 21 shutdowns reveals the S&P 500 averaged nearly 13% returns in the 12 months following each end. Since 1980, the returns are even better, on average the S&P 500 gained 16.95%.During the events themselves, the index gained 0.3% on average, with gains in most cases. The 2018-2019 shutdown, despite its length, saw the S&P rise 10.3% while active, followed by a 24% surge over the next year.This pattern holds because shutdowns prove temporary, not structural shocks. Investors focus on earnings and growth, tuning out D.C. drama. With the current shutdown barely started, the S&P’s five-day winning streak — up 0.34% on day one, 0.06% on day two, and more since — mirrors that resilience. It suggests history could repeat, potentially fueling another leg higher if resolved soon.Why Stocks Keep Climbing Amid the NoiseEven with the shutdown, equities press on, driven by robust corporate momentum. Valuations look stretched — the S&P’s forward P/E ratio hovers near 22, above the long-term average of 17 — but gains persist. Key factors include cooling inflation, expected Federal Reserve rate cuts, and unrelenting artificial demand (AI) hype.Tech leaders dominate.Nvidia(NASDAQ:NVDA), the AI chip powerhouse, has surged 40% in 2025, pushing its market cap past $4.5 trillion. It’s locked in major deals, like a $100 billion investment inOpenAIannounced in September to build 10 gigawatts of AI data centers packed with millions of its GPUs. Nvidia also partnered withIntel(NASDAQ:INTC) on custom AI infrastructure, investing $5 billion in Intel stock to integrate NVLink tech. These moves solidify its grip on AI hardware, drawing billions in orders from cloud giants.Broader tailwinds also help: strong consumer spending, despite soft September job adds, and corporate buybacks. Energy and financials join the rally, betting on steady growth. TheDow Jones Industrial AverageandNasdaqindexes hit records too, showing broad participation.The Hidden Risks Lurking in the RallyBullish vibes aside, potential pitfalls are multiplying. Overextended valuations leave little margin for error; a prolonged shutdown could spike uncertainty, delaying hiring and capital expenditures. If it stretches past two weeks — and prediction markets say the adds of its happening are 40% — it might withhold key data, making Fed decisions hazier and rattling sentiment.AI’s promise also remains unproven. Hyped investments — hundreds of billions of dollars have poured into data centers and chips — have yielded scant returns so far. Although Nvidia’s deals dazzle, monetizing superintelligence is years off, with regulatory scrutiny rising on energy use and market dominance. Broader worries include tariff threats from recent policy shifts and softening private payrolls, hinting at economic wobbles. A debt ceiling fight could follow, amplifying volatility.Key TakeawayIrrational exuberance can endure far longer than expected, and forces like AI innovation and rate relief propel stocks upward. The market could climb much higher in the near term, shrugging off the shutdown as just another blip. Yet in this frothy setup, safeguarding against downside risk makes sense — history favors the bulls, but surprises happen.Want Up To $1,000? SoFi Is Giving New Active Invest Users up to $1k in StockLooking to grow your money but unsure where to begin? SoFi Active Invest is offering a limited-time promotion—open an account, fund it with $50 or more, and you could receive up to $1,000 in complimentary stock for Active Invest accounts.From $0 commission trading to fractional shares and automated investing, this app is designed to simplify investing for everyone, whether you’re just starting or already experienced. Its easy to sign up and secure your bonus.(sponsor)DISCLOSURE:INVESTMENTS ARE NOT FDIC INSURED • ARE NOT BANK GUARANTEED • MAY LOSE VALUEBrokerage and Active investing products offered through SoFi Securities LLC, member FINRA(www.finra.org)/SIPC(www.sipc.org).Advisory services are offered by SoFi Wealth LLC, an SEC-registered investment adviser. Information about SoFi Wealth’s advisory operations, services, and fees is set forth in SoFi Wealth’s current Form ADV Part 2 (Brochure), a copy of which is available upon request and at www.adviserinfo.sec.gov.Probability of Member receiving $1,000 is a probability of 0.026%; If you don’t make a selection in 30 days, you’ll no longer qualify for the promo. Customer must fund their account with a minimum of $50.00 to qualify.Other fees, such as exchange fees, may apply. Please view our fee disclosure to view a full listing of fees.Investing in alternative investments and/or strategies may not be suitable for all investors and involves unique risks, including the risk of loss. An investor should consider their individual circumstances and any investment information, such as a prospectus, prior to investing. Interval Funds are illiquid instruments, the ability to trade on your timeline may be restricted. Brokerage and Active investing products offered through SoFi Securities LLC, Member FINRA(www.finra.org) /SIPC(www.sipc.org).There are limitations with fractional shares to consider before investing. During market hours fractional share orders are transmitted immediately in the order received. There may be system delays from receipt of your order until execution and market conditions may adversely impact execution prices. Outside of market hours orders are received on a not held basis and will be aggregated for each security then executed in the morning trade window of the next business day at market open. Share will be delivered at an average price received for executing the securities through a single batched order. Fractional shares may not be transferred to another firm. Fractional shares will be sold when a transfer or closure request is initiated. Please consider that selling securities is a taxable event.Options involve risks, including substantial risk of loss and the possibility an investor may lose the entire investment Before trading options please review the Characteristics and Risks of Standardized Options [HYPERLINK: https://www.theocc.com/getmedia/a151a9ae-d784-4a15-bdeb-23a029f50b70/riskstoc.pdfInvesting in an Initial Public Offering (IPO) involves substantial risk, including the risk of loss. Further, there are a variety of risk factors to consider when investing in an IPO, including but not limited to, unproven management, significant debt, and lack of operating history. For a comprehensive discussion of these risks please refer to SoFi Securities’ IPO Risk Disclosure Statement [HYPERLINK https://www.sofi.com/iporisk/]. This should not be considered a recommendation to participate in IPOs and investors should carefully read the offering prospectus to determine whether an offering is consistent with their investment objectives, risk tolerance, and financial situation. New offerings generally have high demand and there are a limited number of shares available for distribution to participants. Many customers may not be allocated shares and share allocations may be significantly smaller than the shares requested in the customer’s initial offer (Indication of Interest). For more information on the allocation process please visit IPO Allocation [HYPERLINK https://support.sofi.com/hc/en-us/articles/360058602892-How-does-SoFi-allocate-IPO-shares].

Investing2025-11-01 07:46:06

This ETF (SPXL) Can Triple Your Returns in a Bull Market

-->-->Key PointsThe SPXL ETF does a good job of achieving 3x daily returns of the S&P 500 index.However, investors shouldn’t count on SPXL to triple the gains of the S&P 500 over the long term.Are you ahead, or behind on retirement? SmartAsset’s free tool can match you with a financial advisor in minutes to help you answer that today. Each advisor has been carefully vetted, and must act in your best interests. Don’t waste another minute; learn more here.(Sponsor)-->-->Trading theDirexion Daily S&P 500 Bull 3X Shares (NYSEARCA:SPXL) can be thrilling or chilling, and it’s definitely not for the faint of heart. Depending on your tolerance for swift price moves, SPXL is an exchange traded fund (ETF) that might be completely right or wrong for you.Along with a willingness to accept the risks, you should have a bullish outlook on the S&P 500 if you intend to hold the SPXL ETF. With the right mind-set and certain safeguards in place, you might profit handsomely from the Direxion Daily S&P 500 Bull 3X Shares ETF.Potential to Grow Your Account QuicklyTo break it down into simple terms, the Direxion Daily S&P 500 Bull 3X Shares ETF seeks to achieve “daily investment results, before fees and expenses, of 300%… of the performance of” the S&P 500 stock index. Thus, SPXL would be considered a bullish, triple/3x leveraged ETF.Momentum-focused traders could look at the Direxion Daily S&P 500 Bull 3X Shares ETF and envision growing their accounts rapidly. The S&P 500 is up 14.5% year to date, and the SPXL ETF is up 28%.Loading stock data...You might wonder why the Direxion Daily S&P 500 Bull 3X Shares ETF is only up twice as much as the S&P 500 instead of three times as much. After all, SPXL is supposed to be triple-leveraged, right?We’ll explain the fine print and the fund’s associated risks in a moment. For now, however, it’s worth noting that many stock-market bulls will find the Direxion Daily S&P 500 Bull 3X Shares ETF to be strongly appealing. Unless some event (recession, war, etc.) derails this year’s stock-market rally, the SPXL ETF could produce huge gains in the coming months.Paying for ConvenienceTo potentially magnify the gains of the S&P 500 index, you could trade S&P 500 futures contracts. However, not everyone wants to learn the ins and outs of leveraged futures trading, and it may require a large amount of capital.For many investors, it will probably be more convenient and feasible to simply buy the Direxion Daily S&P 500 Bull 3X Shares ETF. This ETF is tradable within many investment accounts and doesn’t require knowledge of futures contracts or other sophisticated asset types.Be aware, though, that you’ll pay for the convenience that the Direxion Daily S&P 500 Bull 3X Shares ETF offers. Specifically, the SPXL ETF automatically deducts 0.87% worth of operating expenses per year from the share price.An annual expense ratio of 0.87% might not sound like much if you’re imagining vast profits from the Direxion Daily S&P 500 Bull 3X Shares ETF. Nevertheless, the expenses can take a toll on your portfolio’s bottom line if you plan to hold SPXL for the long term.The Impact of Volatility DecayAn even bigger risk than the fund’s expenses, though, is a phenomenon known as volatility decay. It explains why the Direxion Daily S&P 500 Bull 3X Shares ETF has only doubled the year-to-date gains of the S&P 500 instead of tripling those gains.Sure, the Direxion Daily S&P 500 Bull 3X Shares ETF seeks to achieve the “daily investment results” of 3x the S&P 500’s price moves. And in that respect, the SPXL ETF does a good job.Due to volatility decay, however, the Direxion Daily S&P 500 Bull 3X Shares ETF won’t necessarily achieve 3x the S&P 500’s price gains over weeks, months, or years. For example, if the S&P 500 falls 1% and then rises 1% — or rises 1% and then falls 1% — SPXL will end up lower than where it started.That type of up-and-down or down-and-up price action is bound to occur again and again with the S&P 500. Consequently, the Direxion Daily S&P 500 Bull 3X Shares ETF won’t produce the long-term results you might expect with a triple-leveraged S&P 500 fund.Treat SPXL With Due CautionAt the end of the day, the Direxion Daily S&P 500 Bull 3X Shares ETF could benefit short-term traders. The fund does a respectable job of achieving triple-leveraged returns on the single-day price moves of the S&P 500 stock index.Yet, the Direxion Daily S&P 500 Bull 3X Shares ETF isn’t ideal for a long-term buy-and-hold strategy. Due to the annual expenses and the volatility decay, SPXL is likely to produce disappointing results if you’re expecting triple-leveraged long-term gains on the S&P 500.Furthermore, if the S&P 500 declines for a while, the Direxion Daily S&P 500 Bull 3X Shares ETF could lose value rapidly. Hence, it’s wise to only take a small share position if you plan to own the SPXL ETF, and be prepared to exit your position in a matter of days rather than weeks or months.If You have $500,000 Saved, Retirement Could Be Closer Than You Think (sponsor)Retirement can be daunting, but it doesn’t need to be. Imagine having an expert in your corner to help you with your financial goals. Someone to help you determine if you’re ahead, behind, or right on track. With SmartAsset, that’s not just a dream—it’s reality. This free tool connects you with pre-screened financial advisors who work in your best interests. It’s quick, it’s easy, so take the leap today and start planning smarter!Don’t waste another minute; get started right here and help your retirement dreams become a retirement reality.(sponsor)

Investing2025-11-01 07:46:06

Wall Street Insiders Are Loading Up on These 3 Stocks

-->-->Key PointsInsiders have been buying these three stocks recently.The volume and the number of buys are unusually high.The management of these companies likely see more upside ahead.Are you ahead, or behind on retirement? SmartAsset’s free tool can match you with a financial advisor in minutes to help you answer that today. Each advisor has been carefully vetted, and must act in your best interests. Don’t waste another minute; learn more here.(Sponsor)-->-->People don’t like to throw money into a sinking ship, and by that logic, insider buys in Wall Street can be an easy way to gauge how well a company might do in the coming quarters. An “insider buy” is the legal purchase of a company’s stock by its own executives, directors, or major shareholders.These buys are considered legal if they areproperly disclosed to the Securities and Exchange Commission. The public can freely view these insider trades. Research shows that insider purchase patterns are often good signals for buying and selling, with stocks that have insider buying outperforming the overall market by 6% to 10.2% per year.As such, it pays to look into stocks with a high number of insider buys. Here are three such stocks:Scholar Rock Holding (SRRK)Loading stock data...Scholar Rock (NASDAQ:SRRK)is a clinical-stage biopharmaceutical company for diseases where protein growth factors play a central role. It does not yet have commercial products. It generates revenue primarily through collaboration and licensing agreements with larger pharmaceutical partners.The company’s Director Srinivas Akkaraju made three buys of the stock in early October, all filed this Tuesday. His first buy was worth $14.44 million, followed by two more worth $697.71k and $3.67 million, respectively. He is a non-employee director but has deep biotech credentials.This is a very strong vote of confidence, as previous insider trades have been planned and pre-announced sales from other officers and directors.The likely rationale comes from Phase 3 SAPPHIRE data showing apitegromab improved motor milestones in a statistically significant way. Approval is possible in both Europe and the U.S. next year.This could push the stock up even higher.CarMax (KMX)Loading stock data...CarMax (NYSE:KMX)is America’s largest used-car retailer.It operates CarMax Sales Operations and CarMax Auto Finance (CAF). The company also wholesales trade-ins via on-site auctions, sells extended-service plans, and performs reconditioning and repair work.KMX stock has been in a rather sorry state since 2021. It went through a significant decline from late 2021 to late 2022 that more than halved KMX’s value. It was on a sustained recovery from then to early 2025.This year, it has again entered into a second phase of selloffs, with the stock down 45% year-to-date.Insiders are betting against the trend. Director Oneil Mark F bought $499.81k worth of shares on the 2nd of October. The same day, Director Steenrod Mitchell D bought $91.14k worth of shares.Earlier this year, CarMax withdrew its long-term unit-growth algorithm, “citing a lack of clarity,” which the Street read as “we don’t know how low this cycle goes.”But these insider buys show that management sees light at the end of the tunnelInventories have come down from $3.94 billion at the start of the year to $3.15 billion in the most recent quarter. Plus, the Federal Reserve’s rate cut in September and two more planned rate cuts this year can give the company a surprisingly fast snap-back in 2026-27.If you can tolerate 6 to 12 months of choppy numbers, the risk is worth the eventual payoff.Sportsman’s Warehouse (SPWH)Loading stock data...Sportsman’s Warehouse Holdings (NASDAQ:SPWH)is a specialty retailer focused on outdoor recreation gear. The company operates a chain of stores across the United States offering a one-stop shopping experience for hunting, fishing, camping, and shooting enthusiasts.There has been a flurry of insider buying activity in the past week. Director Mcbee Richard D bought $61.75k of the stock on October 2, along with CEO Stone Paul buying $20.42k of the stock. The next day, Paul bought $167.94k more, with Director Tucci Michael D joining in by buying $140.5k worth of SPWH.The insiders seem to be betting that the worst of the margin squeeze and liquidity scare is behind SPWH, the new merchandising strategy is taking hold, and the shares discount an outcome far worse than they now expect.The stock seems to have bottomed and is up 219% from its trough. It is a penny stock, so multibagger returns are possible if management can keep executing.If You’ve Been Thinking About Retirement, Pay Attention (sponsor)Retirement planning doesn’t have to feel overwhelming. The key is finding expert guidance, and SmartAsset’s simple quiz makes it easier than ever for you to connect with a vetted financial advisor. Here’s how:Answer a Few Simple Questions. Get Matched with Vetted Advisors Choose Your  Fit Why wait? Start building the retirement you’ve always dreamed of.Get started today! (sponsor)

Investing2025-11-01 07:46:06

1 No-Brainer Stock-Split Stock to Buy With $2000

-->Key PointsThis stock-split stock is up 52% in 2025 and 81% in 12 months.The stock has the potential to hit new highs and it has a dividend yield of 0.46%.Are you ahead, or behind on retirement? SmartAsset’s free tool can match you with a financial advisor in minutes to help you answer that today. Each advisor has been carefully vetted, and must act in your best interests. Don’t waste another minute; learn more here.(Sponsor)-->-->We are less than three months from 2026, and it can be safe to say that if you haven’t met your investment goals this year, there’s no need to panic. There are still plenty of stocks worth buying now that could take you closer to your annual investment goals. The market is rife with tariff fears and their impact on the economy. 2025 has been different; there’s been a lot of uncertainty in the market, and enough companies didn’t announce a stock split this year.While stock splits do not change anything about the company, it becomes easier and more affordable for investors to own stocks. Whenever the demand is high, stock splits can become a way to build wealth. This is how stocks make you a millionaire.Here’s one no-brainer stock-split stock to buy with $2,000 this month.Interactive Brokers GroupInteractive Brokers Group, Inc.(NASDAQ: IBKR)is based in Connecticut and has offices across the world. It has been around for five decades and offers trading services for stocks, bonds, options, futures, crypto, currencies, gold, and more. The company has a strong global presence and is well positioned for international expansion.It has a reach across 36 countries and operates in 28 currencies. About 80% of its customers reside outside of the U.S., giving it a solid position in the global market. Interactive Brokers completed a 4-for-1 stock split this June, after a massive multiyear run. It was the first split since going public in 2007.Since it operates electronically, it manages to keep the costs down and generate a solid profit margin. It is a pure-play brokerage business that runs on automation. As a result of the business structure, IBKR enjoys the best in-class profit margins. Strong fundamentals have boosted the stock’s valuation, and it could continue soaring in the near term.Impressive fundamentals Exchanging hands for $69, the stock is up 52% year-to-date and 87% in a year. If you missed out on the stock during the split, now is the time to load up on the top performer.Loading stock data...It reported an impressive second quarter, with a commission revenue of $516 million, a 27% year-over-year jump, and the net interest income hit a quarterly record of $860 million.The brokerage added 250,000 net new accounts in the quarter. The daily active revenue trades jumped 49%, and the customer accounts in the quarter jumped 32%. It has incredible momentum in customer account growth. Notably, the company saw a 170% year-over-year jump in overnight trading volumes. The increased customer activity is also helping the business.Its total daily average revenue trades saw a 47% jump in September to 3.86 million while the total number of client accounts reached 4.12 million in September. As the stock market continues to soar higher, IBKR is set to keep growing. Besides the impressive rally, Interactive Brokers is a dividend stock with a yield of 0.46%.Growth stock with tremendous upside potentialThe growth stock has an explosive upside potential and has reported an impressive 22.7% annual revenue growth in the last five years. It is set to continue winning market share in the near term.Analysts are bullish on the stock. BMO Capital has an outperform rating with a price target of $82. The company has no long-term debt and is sitting on plenty of cash on hand.While there is a risk of competition, Interactive Brokers has nailed the recipe for success through automation. It will be tough for any other brokerage to hit the same level of automation. IBKR is a profitable stock to own for the long term. If You’ve Been Thinking About Retirement, Pay Attention (sponsor)Retirement planning doesn’t have to feel overwhelming. The key is finding expert guidance, and SmartAsset’s simple quiz makes it easier than ever for you to connect with a vetted financial advisor. Here’s how:Answer a Few Simple Questions. Get Matched with Vetted Advisors Choose Your  Fit Why wait? Start building the retirement you’ve always dreamed of.Get started today! (sponsor)

Investing2025-11-01 07:46:06

BSTZ vs QQQX For Income Seeking Retirees

-->Key PointsRetirees are the biggest income focused individual investor demographic, with Baby Boomer aged retirees cumulatively totalling over 73 million.CEFs and ETFs focused on cutting edge sectors of technology, medicine, and others are often structured to appeal to younger investors more familiar with those sectors’ latest breakthroughs.Provided that an investment product can satisfy concerns about risk and provides the income a retiree is seeking, there’s no reason for them not to add it to their portfolio.Are you ahead or behind on retirement? SmartAsset’s free tool can match you with a financial advisor in minutes to help you answer that today. Each advisor has been carefully vetted, and must act in your best interests. Don’t waste another minute – learn more here.(Sponsor)-->-->The Baby Boomer generation has an unusual relationship with technology. Due to the huge strides made with digital technology, computers, smart phones, A.I., and all other associated telecommunications and information processing they entail, there is a somewhat unfair stereotype that a majority of seniors are Luddites and still living exclusively in the analog realm. Besides the fact that most of the people who built the current architecture, i.e., Bill Gates, Steve Jobs, Larry Ellison, et al. are all Boomers themselves, a silent but sizable percentage of seniors are actually quite comfortable with digital technology. For example, according such sources asTech TimesandHerosmyth:68% of Boomers owned smart phones, with nearly the same number also owning laptop or desktop computers.90% of Boomers have shopped online, with 79% of them in their 60s and 72% of them in their 70s. 68% of Boomers use social media,30% of Boomers are comfortable using A.I.Comfort Levels are All SubjectiveRisk tolerance and intellectual comfort levels with different investment vehicles are totally subjective criteria and defy easy categorization by age, race, or occupation.As much as marketers love to use statistics and demographics to categorize different targeted groups with select marketing criteria, these are only gross generalizations. The attraction of big data marketing has been to get granular with each user’s individual preferences, lies, and dislikes – and investment products are no exception.Conventional wisdom usually holds that younger people are much more prone to invest in riskier products – perhaps due to the folly of youth – yet, when April’s market plunge in the wake of President Trump’s reciprocal tariff policies gave Gen-Z a taste of the bear market, a surprising percentage of them have become more conservative investors. As a result, although it may hold for a plurality, it’s not fair to assume that a tech fund would not appeal to a majority of retirees due to their complexity and unfamiliar company portfolio, vs. a more conventional index fund.  TheBlackRock Science and Technology Term Trust (NYSE: BSTZ)and theNuveen NASDAQ 100 Dynamic Overwrite Fund (QQQX)are two such examples.As a Closed End Fund (CEF) from multi trillion asset management behemoth BlackRock, BSTZ is a one of a kind fund: Unlike most closed end funds that invest in other public companies, BSTZ carries a roughly 60/40 ratio mix of private companies to public ones. All the stocks are in the technology sector, and some of the portfolio’s largest positions are in privately held companies, such as AI firm Databricks, China’s Bytedance (owner of TikTok), and fintech Klarna, which is expecting its IPO in 2026. In addition, BSTZ deploys a covered call strategy that delivers over $12 per year in dividends.Perhaps due to its experimental structure and design, BSZT has an expiration date scheduled in 2031, albeit subject to extension with an option towards perpetuity. QQQX was one of the first covered call CEFs. Designed to track the Nasdaq 100 Index, QQQX has an 18-year track record of consistent growth and dividend yields. Its conservative call option strategy helps to mitigate inherent volatility in the technology overweighted Nasdaq 100 Index without over reduction of upside gains from the index’s bullish trajectory. A side-by-side comparison of the two appears as thus, based on market price at the time of this writing:CategoryBSTZQQQXYield11.61%8.18%Average Option Coverage30-40%56%Mkt. Price/NAV$22.19/$24.19$27.37/$29.77Premium NAV discount-8.27%-8.18%Average Daily Volume245,630 shares115,371 sharesNumber of Securities82206Net Assets$1.663 billion$1.423 billionExpense Ratio1.48%0.89%1-Year Return29.45%19.66%3-Year Return14.85%18.44%5-Year Return6.15%11.03%A CEF For Retirees Depends On The Profile Of the Retiree In QuestionAn individual retiree’s investment criteria and comfort levels are a much greater determinant of his or her investment choices than demographic categories.When viewed objectively, income seeking retirees may find either or both CEFs attractive for their portfolios. The primary criteria in individual comfort level and risk tolerance, a totally subjective criteria that can’t be easily quantified by age, race, background, or other categories. With that in mind, here are some potential choice scenarios:Investors solely looking for the higher yield, regardless of risk, will prefer BSTZ, which still offers a roughly 3 points higher yield after factoring in expense ratio differentials.If the investor in question wants consistent growth along with solid yields, QQQX will be preferable, since BSTZ’s returns have a 23 point differential between 1 and 5 years, vs. an 8 point differential for QQQX in the same period. Investors who like the idea of pre-IPO exposure to companies with high growth potential will prefer BSTZ, which offers private equity fund type exposure with public stock market liquidity and a chunky dividend. Some investors may wish to take a small amount of both BSTZ and QQQX for diversification purposes, given that they are so different from one another.If You have $500,000 Saved, Retirement Could Be Closer Than You Think (sponsor)Retirement can be daunting, but it doesn’t need to be. 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Investing2025-11-01 07:46:06

Coinbase CEO Sees Bitcoin at $1 Million by 2030—Is This a Realistic Target?

We’ve heard some pretty outrageous longer-term price targets onBitcoin(CRYPTO:BTC) and other cryptocurrencies (think Ethereum) in recent years. And while it seems absurd to envision a single Bitcoin going for $1 million one day, let’s just say anything is possible in the wild world of crypto. In any case, Bitcoin goes for just north of $114,000 today, so a run to the million-dollar mark would entail just shy of a 900% rise from current levels. That’s quite obscene, but then again, I was wrong about Bitcoin passing the $100,000 mark when they were going for closer to $20,000.In any case,Coinbase(NASDAQ:COIN) CEO Brian Armstrong is nothing short of upbeat about Bitcoin and its potential over the next five years. While I wouldn’t rule out Bitcoin at $1 million in 30 years from now, I do think that the five-year target is a tad aggressive, to say the least. Indeed, I’d imagine that such bullish comments might inspire some to bet the farm on the cryptocurrency, especially on the latest dip.-->-->Key PointsCoinbase CEO Brian Armstrong has a lofty price target for Bitcoin in the next five years.I’m not nearly as bullish on Bitcoin and would encourage investors to buy steep dips and manage downside risks.Are you ahead, or behind on retirement? SmartAsset’s free tool can match you with a financial advisor in minutes to help you answer that today. Each advisor has been carefully vetted, and must act in your best interests. Don’t waste another minute; learn more here.(Sponsor)-->-->Coinbase CEO is incredibly bullish on Bitcoin’s trajectory from hereAs a part of Armstrong’s prediction, he thinks that macro tailwinds and increased adoption of Bitcoin as some sort of “digital gold” could help power further gains from here. In any case, Bitcoin would need to really gain momentum if it’s to have a chance of reaching the $1 million mark by 2030. And while the target could pan out in a bull-case scenario (it’s certainly not outside the realm of possibility, especially if the stock market boom continues without a bear market moment over the next five years), I’d be more inclined to view Bitcoin as correlated to tech stocks (think the Nasdaq 100) than a risk-off asset like gold.Though there are plenty of other crypto bulls with lofty price targets and expectations for the coming years (notably, Cathie Wood and Jack Dorsey are major bulls on Bitcoin), I do think that there’s as much downside risk as upside risk, especially given the potential for Bitcoin to plunge if a so-called “AI bubble” were to burst at some point. In any case, I don’t think overvaluation concentrated in AI stocks has to end in a spectacular bursting of a bubble.Indeed, not all paths lead to a repeat of the 2000-01 dot-com bust, at least in my humble opinion. In any case, as a prospective crypto investor, I’d look more into a base-case scenario while being mindful of a potential bear-case to pan out (think a tech-focused sell-off that spreads through the crypto markets).Bitcoin could continue to be a choppy ride. Buying up the dips incrementally could be a way to counter volatilityEven if Bitcoin is destined for another meteoric rise, there are sure to be bumps in the road. And I’d much rather be a net buyer on such dips than when most others are upbeat and pound-the-table bullish. So, is Bitcoin at $1 million by 2030 realistic? I don’t think it is. Such a move would entail a lot of things going right, and while, in theory, such a scenario could play out, I’d be more focused on riding out the bumps and bear markets along the way and buying incrementally than backing up the truck with a specific target in mind.Even if Bitcoin were to blast off in the coming years, shares of Coinbase might be a better way to play the move. The shares are up more than 104% in the past year, beating the price of Bitcoin, which has gained just north of 87%. Additionally, I’d also be inclined to give some of the other cryptocurrencies out there some more love. Ethereum, XRP, and others might have more runway over the next five years, and increased interest in the entire crypto asset class, I believe, could be a boon for shares of the major crypto exchange platform.So, Bitcoin at $1 million by 2030? I wouldn’t count on it. But that doesn’t mean crypto and crypto-related stocks can’t continue to do well from here.If You’ve Been Thinking About Retirement, Pay Attention (sponsor)Retirement planning doesn’t have to feel overwhelming. The key is finding expert guidance, and SmartAsset’s simple quiz makes it easier than ever for you to connect with a vetted financial advisor. Here’s how:Answer a Few Simple Questions. Get Matched with Vetted Advisors Choose Your  Fit Why wait? Start building the retirement you’ve always dreamed of.Get started today! (sponsor)