Core Insights - The Small Business Administration (SBA) is implementing a policy that prohibits lending to any business with non-citizen ownership starting March 1, 2025, which will exclude over 5 million business owners from federal loans [2][3][9] Policy Changes - The new policy reduces the previous allowance of 5% foreign ownership to zero, affecting lawful permanent residents who were previously eligible if they owned at least 51% of the business [3][9] - This change aligns with an executive order from President Trump aimed at restricting government funding and services to legal immigrants [6] Economic Impact - The SBA's decision could hinder funding access for many small businesses, potentially damaging the economy according to critics [5][9] - In 2023, non-citizens represented 15.9% of all non-employer businesses in the U.S., indicating a significant impact on the small business landscape [4] Criticism and Response - Critics argue that the policy unfairly targets law-abiding immigrants and businesses with partial immigrant ownership, suggesting it is detrimental to economic growth [7][9] - A group of Democratic lawmakers has expressed concerns that the administration's approach is based on discrimination rather than the financial viability of small businesses [8]

Core Insights - The Department of Education will eliminate the Saving on a Valuable Education (SAVE) repayment plan, affecting approximately 7.4 million borrowers, although the official end date has not been announced [2][4] Repayment Plan Options - Borrowers can utilize the Federal Student Aid Loan Simulator to compare various repayment plans based on their income, family situation, and loan balance [3] - Current repayment plans include Standard, Graduated, Extended, and Income-Driven options, each with different structures and eligibility criteria [5][6][7][8] Standard Plans - **Standard Repayment Plan**: Fixed payments over 10 years, with consolidation options extending the period to 30 years based on debt amount [5] - **Graduated Repayment Plan**: Payments increase every two years over a period of up to 10 years, with consolidation options extending to 30 years [6] - **Extended Repayment Plan**: Payments can be fixed or graduated over a period of up to 25 years [7] Income-Driven Repayment Plans - Existing plans (IBR, ICR, PAYE) are based on discretionary income, requiring annual recertification [10][11] - The ICR and PAYE plans will be eliminated after July 1, 2028, necessitating a transition to other repayment plans [12] - A new Repayment Assistance Plan (RAP) will be available starting July 1, 2026, offering payments based on adjusted gross income [13][22] Specific Income-Driven Plans - **Income-Based Repayment (IBR)**: Payments are 15% of discretionary income, with forgiveness after 20 or 25 years depending on the loan origination date [14][15] - **Income-Contingent Repayment (ICR)**: Payments are either 20% of income or the fixed 12-year standard plan amount, with forgiveness after 25 years [17][18] - **Pay As You Earn (PAYE)**: Payments are 10% of discretionary income, with forgiveness after 20 years [20][21] Repayment Assistance Plan (RAP) - Monthly payments under RAP are determined as a percentage of adjusted gross income, with specific thresholds for different income levels [22][24] - Borrowers with a loan balance after 30 years will have the remaining balance forgiven [23]

Core Insights - Traditional retirement advice may be overly conservative, often recommending a balanced portfolio that includes conservative assets like bonds, while James Choi suggests maintaining a 100% stock portfolio during most of one's working life [1][8] Group 1: Asset Allocation Perspectives - Choi argues that conventional financial advice fails to consider human capital, which includes future wage income and Social Security benefits, as a significant economic asset for working individuals [3][8] - The correlation between labor income shocks and stock market returns is minimal, allowing individuals to take on more risk in their investment portfolios [3][4] - Choi's academic models propose that individuals should ideally hold 100% stocks or even leverage positions of 200% to 300% stocks, depending on their financial objectives [9] Group 2: Behavioral Considerations - Financial advisors caution that a 100% equity portfolio may not be suitable for everyone, as many investors do not behave rationally during market downturns, potentially leading to poor decision-making [5][7] - Individuals in cyclical or high-volatility industries may find their job prospects closely tied to economic cycles, which could affect their investment strategies [6][8] - Choi acknowledges that for those with lower risk tolerance, a higher stock allocation may not be appropriate, emphasizing the need for personalized investment strategies [7][9] Group 3: Practical Tools - Choi has developed a spreadsheet tool that allows individuals to input personal financial factors to receive tailored portfolio allocation recommendations, though it is intended as a thought exercise rather than direct investment advice [9]

Core Insights - Farmers Insurance Federal Credit Union has launched a new 1-year certificate of deposit (CD) offering a 4.25% annual percentage yield (APY), surpassing the previous high of 4.16% [2][9] - The new CD also provides flexible term options of 3, 6, or 9 months at the same 4.25% APY, catering to different savings needs [3][9] Market Comparison - The 4.25% rate positions this CD as the highest available nationwide for 3-month, 9-month, and 1-year terms, providing savers with competitive options [5] - However, for a 6-month term, Connexus Credit Union offers a higher rate of 4.50% on a 7-month CD, while Climate First Bank provides a 4.27% rate for a 6-month term with a lower minimum deposit requirement [6] Importance of CD Rates - Locking in a competitive CD rate is crucial for savers, especially with inflation at approximately 2.7%, as it helps maintain the purchasing power of savings [4] - Longer-term CDs (18 months to 5 years) currently offer rates between 4.00% and 4.20%, which may be beneficial if interest rates decrease in the future [8] Safety Considerations - Deposits in both larger banks and smaller institutions are federally insured up to $250,000 per depositor, ensuring safety regardless of the institution's size [7] Strategic Savings Approach - CDs are best suited for funds that can be set aside for a specific period, allowing savers to secure a fixed return without worrying about rate fluctuations [10] - For more flexible cash needs, high-yield savings accounts, which currently offer rates between 4% and 5%, may be more appropriate, suggesting a mixed strategy could be beneficial for savers [11]

Core Viewpoint - Homebuilder stocks experienced an increase following reports that the Trump administration is considering a program aimed at constructing more new homes [1] Group 1: Homebuilder Stocks - Several homebuilder stocks received a boost on Tuesday due to the potential new housing program [1]

Key Takeaways Markets were on edge as this year's software stock slump picked up steam. The tech-heavy Nasdaq dropped 1.4% Tuesday, weighed down by sinking tech stocks. The benchmark S&P 500 pared losses to close down about 0.8%, and the blue-chip Dow Jones Industrial Average, which this morning hit a record high, slid 0.3%. (Read Investopedia's live markets coverage here.) Rather, the slump appeared to be an acceleration of the moves that have characterized markets so far this year. Software stocks have be ...

-- Here's How Much Amazon Stock Is Expected to Move After Earnings Thursday [Major Indexes Slide as Tech Stocks Tumble][Palantir Stock Soars on Strong Earnings, Outlook][Data Blackout Returns As Shutdown Delays Jobs Report][Where Are Gold and Silver Prices Headed Next?]- Top StoriesAmazon is seen reporting record revenue on the back of a strong holiday shopping season and solid cloud growth.Ying Tang / NurPhoto / Getty ImagesClose### Key Takeaways- Options pricing suggests traders expect Amazon's stock coul ...

Core Insights - Elon Musk's SpaceX has acquired xAI, aiming to leverage solar power for AI applications and accelerate humanity's future, with a combined valuation of $1.25 trillion [2][7] - The anticipated IPO from Musk could rival the largest tech companies in the U.S., potentially boosting Tesla's valuation as it holds stakes in xAI [3][6] Group 1 - The merger of SpaceX and xAI is positioned to create a mega company focused on space-based resources for AI development [2] - The deal has sparked speculation about a possible merger between Tesla and SpaceX/xAI, with analysts suggesting a growing likelihood of such an event [5][6] - Prediction markets indicate a 24% probability of a Tesla-SpaceX merger announcement before June 30, up from previous lower estimates [7] Group 2 - The financial implications of the SpaceX-xAI deal include expectations for the largest IPO by market cap this year, with traders placing an 88% probability on this outcome [7] - The news has revitalized interest in space-based data centers and the potential integration of Tesla into Musk's broader vision [2][4]

-- Palantir Earnings Are 'A Warning to Peers' as Software Stocks Slump [Major Indexes Slide as Tech Stocks Tumble][Palantir Stock Soars on Strong Earnings, Outlook][Data Blackout Returns As Shutdown Delays Jobs Report][Where Are Gold and Silver Prices Headed Next?]- Top StoriesPalantir easily topped earnings estimates, sending shares sharply higher on Tuesday.Laurent Hou / Hans Lucas / AFP via Getty ImagesClose### Key Takeaways- Software stocks have slumped this year amid concerns that AI will enable compan ...

-- Here's How Much Traders Expect AMD Stock To Move After Earnings [Major Indexes Slide as Tech Stocks Tumble][Palantir Stock Soars on Strong Earnings, Outlook][Data Blackout Returns As Shutdown Delays Jobs Report][Where Are Gold and Silver Prices Headed Next?]- Top StoriesAMD is expected to report record fourth-quarter revenue, driven by data center sales growth. Here, CEO Lisa Su is seen speaking last month at the CES consumer electronics trade show in Las Vegas.Bridget Bennett / Bloomberg / Getty ImagesC ...