We have finally\nentered the new year! This is the perfect time for investors to start\nthinking about possible investment themes for 2021. In today\u2019s Steady Investor, we\ntake look at three to consider: <\/p>\n\n\n\n
The $900 Billion\nStimulus Bill Becomes Law \u2013 <\/strong>After\nmuch political posturing and several weeks of negotiations, the next round of\nfiscal stimulus was signed into law last week. Here are a few of the key\nstimulus provisions in the bill: <\/p>\n\n\n\n ______________________________________________________________________________________________<\/sup><\/p>\n\n\n\n Retiring in 2021? Get Our Retiree Checklist!<\/a><\/strong> The new year brings a fresh start! As investors are still uncertain about the market performance within the next few months, we understand how difficult it can be to make future financial decisions \u2013 especially for those who are trying to build their retirement portfolio. Still, that doesn\u2019t mean you can\u2019t make the most of this new phase. <\/p>\n\n\n\n To help you do this, we are offering readers our free guide\nthat provides a step-by-step blueprint to potentially help you build a sound\nretirement portfolio in 2021. This guide offers you a checklist of the most\nimportant financial, tax, and investment considerations for new retirees, with\ndetailed explanations to help you prepare for this new stage in your life.<\/p>\n\n\n\n If you have $500,000 or more to invest, get our\nfree guide today!<\/p>\n\n\n\n \u00a0<\/a>Download Zacks Guide, Looking to Retire in 2021<\/a>2<\/a><\/sup><\/strong><\/p>\n\n\n\n ______________________________________________________________________________________________<\/sup><\/p>\n\n\n\n Is Optimism Building\nToo Fast? <\/strong>The stock market staged a strong rally off the spring lows, with\nfrequent stories of 100+% gains and more recent news about explosive returns in\ncryptocurrency. From an investment standpoint, the strength across many asset\nclasses has led to a surge in \u201cFOMO,\u201d or fear of missing out on returns. Many\ninvestors are rushing into the markets, pushing sentiment from pessimistic in\nthe spring to optimistic today. Investors borrowed a record $722.1 billion on\nmargin through November 2020, a signal that risk-taking may be approaching a\ncrescendo. Optimism and overt risk-taking combined have been ominous for\nmarkets, as historically they have tended to result in corrections, pullbacks,\nand bouts of volatility (see 2000 and 2008 for examples). We\u2019re also seeing\nsigns of too much optimism in the retail brokerage market, with individual\ninvestors opening more than 10 million new brokerage accounts in 2020 \u2013 a\nrecord. The Wall Street Journal <\/em>also\nreported that the online trading platform Robinhood saw 500,000 new downloads\nin December, as well as upticks in volume on brokerages like TD Ameritrade and\nE*Trade. If history serves as any indication, we might reasonably expect\nvolatility in the not-too-distant future.3<\/sup><\/p>\n\n\n\n Headwinds Against Big\nTech are Building in China Too \u2013 <\/strong>Alibaba was China’s most valuable company\nthroughout most of 2020, and planned to finish the year with a bang by rolling\nout its much-anticipated Ant Financial IPO. Then Chinese regulators stepped in.In a crushing blow to both companies,\nChina’s top commerce regulator announced an investigation into Alibaba’s business\npractices, alleging the company may be abusing its dominant market position for\nmonopolistic purposes. A few days later, the Chinese central bank (the PBOC)\nissued a statement criticizing Ant Financial’s business practices, ordering the\ncompany to focus on its less-lucrative digital-payments business. Alibaba owns\none-third of Ant, and both were founded by Jack Ma.It is unclear whether China’s actions against Alibaba and Ant were\ntied to the government’s disapproval of Jack Ma’s recent statements criticizing\nChina’s oversight of businesses. Retaliation seems a likely motive for the\npunitive measures against Alibaba, and Nomura research analysts note that China\nmay also be using Alibaba’s case to send a warning shot to other dominant\ntechnology companies acting anti-competitively. Much like in the U.S.,\nregulatory headwinds are building against Big Tech.4<\/sup><\/p>\n\n\n\n Planning Retirement in 2021<\/strong> \u2013 Whether\nyou\u2019ve been planning to retire in 2021 for a while, or the chaotic events of 2020\nhave motivated or forced that decision, now is the time to get ready. Retirement\nmarks the end of one life stage, but also the beginning of another\u2014full of new\nadventures and opportunities. To guide you through this new phase, we recommend\na thorough review of your financial and investment situation so you can make\nany adjustments necessary to keep your plans and lifestyle on track.<\/p>\n\n\n\n If you have $500,000 or more to invest and want to\nunderstand your retirement options, get our guide, Looking to Retire in 2021.<\/em>4\n<\/sup>Simply click on the link below to get your copy today!<\/p>\n","protected":false},"excerpt":{"rendered":" New stimulus provides relief, investor risk-taking may signal pullback, China regulators hit tech firms<\/p>\n","protected":false},"author":3,"featured_media":7426,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"footnotes":""},"categories":[71,73],"tags":[],"class_list":["post-9188","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-private-client-group","category-steady-investors-week"],"acf":[],"_links":{"self":[{"href":"https:\/\/zacksim.com\/blog\/wp-json\/wp\/v2\/posts\/9188","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/zacksim.com\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/zacksim.com\/blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/zacksim.com\/blog\/wp-json\/wp\/v2\/users\/3"}],"replies":[{"embeddable":true,"href":"https:\/\/zacksim.com\/blog\/wp-json\/wp\/v2\/comments?post=9188"}],"version-history":[{"count":1,"href":"https:\/\/zacksim.com\/blog\/wp-json\/wp\/v2\/posts\/9188\/revisions"}],"predecessor-version":[{"id":10483,"href":"https:\/\/zacksim.com\/blog\/wp-json\/wp\/v2\/posts\/9188\/revisions\/10483"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/zacksim.com\/blog\/wp-json\/"}],"wp:attachment":[{"href":"https:\/\/zacksim.com\/blog\/wp-json\/wp\/v2\/media?parent=9188"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/zacksim.com\/blog\/wp-json\/wp\/v2\/categories?post=9188"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/zacksim.com\/blog\/wp-json\/wp\/v2\/tags?post=9188"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}
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