WASHINGTON, DC - MARCH 14, 2018: Internal Revenue Service sign at the IRS Building in Washington, DC

The Roth IRA Limit for 2021 and the Backdoor Around It

The Roth IRA has become a popular retirement account. And why wouldn’t it be? After all, it offers tax-free growth, and tax-free withdrawals from the time the accountholder is around the age of 59.5. Unfortunately, the IRS has an income phase-out for contributions to a Roth IRA. For 2021, for example, a single filer can […]

How To Generate A Higher Return From Small Cap Stocks

How To Generate A Higher Return From Small Cap Stocks

One of the most popular ETFs to trade is the iShares Russell 2000 ETF (IWM).  The widely-used ETF tracks small cap stocks and is one of the most heavily traded index ETFs in the world.  Recently, a trader made a large covered call trade on IWM using at-the-money options.  The strategy, with options expiring next […]

Trade of the Week: HYG

Trade of the Week: HYG

Last week, we saw a substantial amount of options activity in the iShares iBoxx $ High Yield Bond ETF (HYG). HYG is a very popular ETF used for tracking junk bonds (aka high yield bonds). The ETF normally has about 220,000 options contacts that trade per day on average, but on a busy day last […]

Here’s Where to Invest in Volatile Markets

Here’s Where to Invest in Volatile Markets

Markets have become incredibly volatile lately. This is all thanks to fears around inflation, the Federal Reserve, higher energy prices, and the debt ceiling, not to mention the concerns the global economy is slowing. Even the International Monetary Fund (IMF) is concerned, cutting its global economic forecast thanks to the coronavirus pandemic. In fact, while […]