It’s only July but the back-to-school sales will be starting soon. One of the best deals for college-bound teenagers is College of the Ozarks in Missouri. Students there are required to work 15 hours per week in exchange for their tuition. They graduate college with no student or parental loans…and they have work experience. The college can only take about 10% of applicants and is consistently rated one of the top colleges in the Midwest.

If you had sold in May this year (see May 2014 below) you would have missed out on a 2.3% return for the month, nearly half the returns for 2014. The market has continued to reach new highs and many experts think we will see a correction this year. A correction is a downturn of 10-20% and often occurs when markets move up more quickly or dramatically than the economy would suggest. A correction is often considered healthy, flushing out some stocks that rose with the market trend but don’t have the fundamentals to support the higher prices.

“Sell in May, then go away” is a long-time saying for the stock market that suggests moving to bonds or cash from May to October.  Many years have seen the market swoon in the summer months…but then again other years have seen market rallies in the summer.  Trying to time the market generally causes more losses than gains.

In Illinois, the 529 Bright Start college savings plan can be a good way to save for college for your child or grandchild. If you live in Illinois you may qualify for a state tax deduction and the savings generally grow tax-free if used for qualified expenses such as tuition and room & board. Email mary@nestbuilderfinancial.com if you would like an informative paper on this topic.

Warren Buffet, the “Oracle of Omaha”, released his annual letter to shareholders and the iconic investor is bullish on the U.S. economy saying our best days are ahead and anyone betting against the U.S. over the past 237 years made losing bets.  Mr. Buffet warns investors not to be swayed by the media pushing buy-or sell arguments.  He promotes a buy-and-hold / rebalance approach to investing.