Financial Decoder

After you listen: Learn more about the Schwab Teen Investor™ account. Find more educational resources at Schwab Moneywise Teens. On this episode of Financial Decoder, host Mark Riepe is joined by guest Patrick Means to discuss the ways parents play a central role in helping teens develop practical money skills that last into adulthood. Their discussion explores why open conversations and real‑world practice matter more than lectures when it comes to learning about money. It looks at how everyday experiences can make financial concepts feel relevant and meaningful for young people. The goal is to help teens build confidence and a foundation for long‑term financial independence. Financial Decoder is an original podcast from Charles Schwab. For more on the series, visit schwab.com/FinancialDecoder.  If you enjoy the show, please leave us a rating or review on Apple Podcasts. Reach out to Mark on X @MarkRiepe with your thoughts on the show. Follow Financial Decoder on Spotify to comment on episodes. Important Disclosures This material is intended for general informational and educational purposes only. This should not be considered an individualized recommendation or personalized investment advice. The investment strategies mentioned are not suitable for everyone. Each investor needs to review an investment strategy for his or her own particular situation before making any investment decisions. All expressions of opinion are subject to change without notice in reaction to shifting market, economic or political conditions. For important information on the Schwab Teen Investor™ account, including restrictions and limitations, go to schwab.com/teen-account. The "S&P 500® Index" is a product of S&P Dow Jones Indices LLC or its affiliates ("SPDJI"), and has been licensed for use by Charles Schwab & Co., Inc. ("CS&Co."). Standard & Poor’s® and S&P® are registered trademarks of Standard & Poor's Financial Services LLC ("S&P”"; Dow Jones® is a registered trademark of Dow Jones Trademark Holdings LLC ("Dow Jones"). Schwab Starter Kit™ is not sponsored, endorsed, sold or promoted by SPDJI, Dow Jones, S&P, or their respective affiliates, and none of such parties make any representation regarding the advisability of using Schwab Starter Kit, nor do they have any liability for any errors, omissions, or interruptions of the S&P 500 Index. Withdrawals from an IRA prior to age 59½ may be subject to a 10% Federal tax penalty. For a Roth IRA, tax-free withdrawals of earnings are permitted five years after first contribution creating account. Earnings withdrawn prior to that may be subject to ordinary income taxes and a 10% Federal tax penalty Investing involves risk, including loss of principal. ​Past performance is no guarantee of future results. The Schwab Center for Financial Research is a division of Charles Schwab & Co., Inc. Definitions The 50‑30‑20 rule is a general budgeting guideline that suggests allocating approximately 50% of after‑tax income to needs, 30% to wants, and 20% to savings or debt repayment. The percentages are intended as a simple framework and may not be appropriate for everyone. 0326-X2PP Hosted by Simplecast, an AdsWizz company. See pcm.adswizz.com for information about our collection and use of personal data for advertising.

After you listen: Read more of Mark's insights in his article "7 Good Ideas for New Investors." Learn more about Investing Basics In this Financial Decoder minisode, Mark Riepe shares seven good ideas for new investors. The episode focuses on foundational investing concepts designed to be relevant in nearly any market environment. While the guidance is geared toward beginners, experienced investors may also find it useful as a refresher on long-term investing fundamentals. This episode emphasizes building a solid investing foundation rather than reacting to short-term market events. More resources mentioned in the episode: "What Is a Bond? Understanding Bond Types and How They Work" "The Role of Various Asset Classes in a Portfolio" "Comparing Education Savings Accounts" Other helpful Financial Decoder episodes: "How Should Your Goals Shape Your Portfolio?" "Do You Know These 7 Bond Market Basics?" "How Can You Set the Right Financial Goals?" "What Should Your Advisor Know About You?" Financial Decoder is an original podcast from Charles Schwab. For more on the series, visit schwab.com/FinancialDecoder.  If you enjoy the show, please leave us a rating or review on Apple Podcasts. Reach out to Mark on X @MarkRiepe with your thoughts on the show. Follow Financial Decoder on Spotify to comment on episodes. Important Disclosures This material is intended for general informational and educational purposes only. This should not be considered an individualized recommendation or personalized investment advice. The investment strategies mentioned are not suitable for everyone. Each investor needs to review an investment strategy for his or her own particular situation before making any investment decisions. All expressions of opinion are subject to change without notice in reaction to shifting market, economic or political conditions. Investing involves risk, including loss of principal. ​Past performance is no guarantee of future results. Performance may be affected by risks associated with non-diversification, including investments in specific countries or sectors. Additional risks may also include, but are not limited to, investments in foreign securities, especially emerging markets, real estate investment trusts (REITs), fixed income, municipal securities including state specific municipal securities, small capitalization securities and commodities. Each individual investor should consider these risks carefully before investing in a particular security or strategy. The Schwab Center for Financial Research is a division of Charles Schwab & Co., Inc. 0326-RCM9 Hosted by Simplecast, an AdsWizz company. See pcm.adswizz.com for information about our collection and use of personal data for advertising.

After you listen: Find more resources about 401(k) accounts and how they fit into your retirement plan. Read the article "Tracking Down a Lost 401(k)." On this episode, Mark is joined by Lee McAdoo, head of Retirement Plan Services, to cover the fundamentals of a how 401(k) supports long-term retirement saving and investing. They explain why 401(k)s can be so effective, including the role of tax benefits, employer contributions, and automated saving habits. The conversation also highlights how smart choices around contribution rates, investment approach, and staying disciplined during market swings can shape outcomes over time. Finally, they discuss common decision points that come up as life changes, so listeners can feel confident using a 401(k) as a core part of a retirement plan. Articles mentioned in the episode: "Why a 401(k) Is a Smart Move – Not a Scam" "How the 401(k) Student Loan Match Works" "What to Know About Catch-Up Contributions" Financial Decoder is an original podcast from Charles Schwab. For more on the series, visit schwab.com/FinancialDecoder.  If you enjoy the show, please leave us a rating or review on Apple Podcasts. Reach out to Mark on X @MarkRiepe with your thoughts on the show. Follow Financial Decoder on Spotify to comment on episodes. Important Disclosures Investors in mutual funds and/or ETFs should consider carefully information contained in the prospectus, or if available, the summary prospectus, including investment objectives, risks, charges, and expenses. You can request a prospectus via Schwab. Please read the prospectus carefully before investing. This material is intended for general informational and educational purposes only. This should not be considered an individualized recommendation or personalized investment advice. The investment strategies mentioned are not suitable for everyone. Each investor needs to review an investment strategy for his or her own particular situation before making any investment decisions. All expressions of opinion are subject to change without notice in reaction to shifting market, economic or political conditions. Earnings on Roth 401(k) contributions are eligible for tax-free treatment as long as the distribution occurs at least five years after the year you made your first Roth 401(k) contribution and you have reached age 59½, have become disabled, or have died. A rollover of retirement plan assets to an IRA is not your only option. Carefully consider all of your available options, which may include but not be limited to keeping your assets in your former employer's plan; rolling over assets to a new employer's plan; or taking a cash distribution (taxes and possible withdrawal penalties may apply). Prior to a decision, be sure to understand the benefits and limitations of your available options and consider factors such as differences in investment-related expenses, plan or account fees, available investment options, distribution options, legal and creditor protections, the availability of loan provisions, tax treatment, and other concerns specific to your individual circumstances. Target date funds and target date trusts (collectively “target date funds”) are built for investors who expect to start gradual withdrawals of  assets on the target date to begin covering expenses in retirement. The values of the target date fund will fluctuate up to and after the target date. There is no guarantee the funds will provide adequate income at or through retirement. Asset allocation strategies do not ensure a profit and cannot protect against losses in a declining market Schwab Retirement Plan Services, Inc. provides recordkeeping and related services with respect to retirement plans[. and has provided this communication to you as part of the recordkeeping services it provides to the <401(k) Plan.>] Investing involves risk, including loss of principal. ​Past performance is no guarantee of future results. The Schwab Center for Financial Research is a division of Charles Schwab & Co., Inc. 0326-J7AH Hosted by Simplecast, an AdsWizz company. See pcm.adswizz.com for information about our collection and use of personal data for advertising.

After you listen:Explore ways to invest in cryptocurrency with Schwab.Learn more about the ins and outs of the crypto market.In this episode, Mark Riepe is joined by Jim Ferraioli, Director of Digital Currencies Research and Strategy, for a realistic assessment of cryptocurrency as a long-term asset class. The discussion details the fundamental drivers of digital asset valuations and the strategic role low-correlation assets can play in a diversified portfolio. By examining the impact of high volatility and the "herding" bias, the conversation provides a disciplined framework for potentially determining the suitability of crypto exposure. This overview moves beyond the hype to help investors understand the essential risks and realities of the current digital asset landscape.Investing in cryptocurrencies involves risk, including the risk of total loss of principal invested. Cryptocurrencies [such as bitcoin and ethereum] are highly volatile, are not backed or guaranteed by any central bank or government; are not deposits; are not FDIC insured; are not SIPC protected; and lack many of the regulations and consumer protections that legal-tender currencies and regulated securities have. Due to the high level of risk, investors should view digital currencies as a purely speculative instrument. Additional risks apply.Financial Decoder is an original podcast from Charles Schwab. For more on the series, visit schwab.com/FinancialDecoder. If you enjoy the show, please leave us a rating or review on Apple Podcasts.Reach out to Mark on X @MarkRiepe with your thoughts on the show.Follow Financial Decoder on Spotify to comment on episodes.Important DisclosuresThis material is intended for general informational and educational purposes only. This should not be considered an individualized recommendation or personalized investment advice. The investment strategies mentioned are not suitable for everyone. Each investor needs to review an investment strategy for his or her own particular situation before making any investment decisions.Investing in cryptocurrencies involves risk, including the risk of total loss of principal invested.Cryptocurrencies [such as bitcoin and ethereum] are highly volatile, are not backed or guaranteed by any central bank or government; are not deposits; are not FDIC insured; are not SIPC protected; and lack many of the regulations and consumer protections that legal-tender currencies and regulated securities have. Due to the high level of risk, investors should view digital currencies as a purely speculative instrument. Additional risks apply.Cryptocurrency-related products carry a substantial level of risk and are not suitable for all investors. Investments in cryptocurrencies are relatively new, highly speculative, and may be subject to extreme price volatility, illiquidity, and increased risk of loss, including your entire investment in the fund. Spot markets on which cryptocurrencies trade are relatively new and largely unregulated, and therefore, may be more exposed to fraud and security breaches than established, regulated exchanges for other financial assets or instruments. Some cryptocurrency-related products use futures contracts to attempt to duplicate the performance of an investment in cryptocurrency, which may result in unpredictable pricing, higher transaction costs, and performance that fails to track the price of the reference cryptocurrency as intended.Investing involves risk, including loss of principal.Past performance is no guarantee of future results.All expressions of opinion are subject to change without notice in reaction to shifting market, economic or political conditions.The policy analysis provided by the Charles Schwab & Co., Inc., does not constitute and should not be interpreted as an endorsement of any political party.​The technology relating to digital assets, including blockchain, is new and developing and the risks associated with digital assets may not fully emerge until the technology is widely used. In addition, the values of the companies included in the fund may not be a reflection of their connection to digital assets but may be based on other business operations or lines of business which means that such companies’ operating results may not be significantly tied to their respective activities related to digital assets.Diversification, asset allocation, and rebalancing strategies do not ensure a profit and do not protect against losses in declining markets.Rebalancing does not protect against losses or guarantee that an investor’s goal will be met. Rebalancing may cause investors to incur transaction costs and, when a non-retirement account is rebalanced, taxable events may be created that may affect your tax liability.Schwab does not recommend the use of technical analysis as a sole means of investment research.All names and market data shown above are for illustrative purposes only and are not a recommendation, offer to sell, or a solicitation of an offer to buy any security.Indexes are unmanaged, do not incur management fees, costs, and expenses and cannot be invested in directly.S&P 500® Index-Measures the performance of 500 leading publicly traded U.S. companies from a broad range of industries. It is a float-adjusted market-capitalization weighted index.The Schwab Center for Financial Research is a division of Charles Schwab & Co., Inc.0226-BZ4E Hosted by Simplecast, an AdsWizz company. See pcm.adswizz.com for information about our collection and use of personal data for advertising.

After you listenFollow Kathy and Liz Ann on social media:Kathy Jones on X and LinkedIn.Liz Ann Sonders on X and LinkedIn.What should investors expect from the U.S. economy next year? What will happen in the equities markets and fixed income markets? On this 2026 Market Outlook episode,  Liz Ann Sonders, Schwab's chief investment strategist, speaks with Kevin Gordon, head of macro research. Liz Ann and Kevin discuss their perspective on the direction of the U.S. economy and stock market. She and Kevin cover the K-shaped recovery, inflation trends, the impact of AI on capital expenditure, and the implications of fiscal stimulus on federal debt.Then, Liz Ann Sonders discusses the equities outlook for 2026, focusing on consumer confidence, the impact of the presidential election cycle, and the potential for volatility. Finally, Kathy Jones is joined by Cooper Howard and Collin Martin for the outlook on municipal bonds, corporate bonds, U.S. Treasuries, and the overall fixed income markets.You can read all of Schwab's 2026 Market Outlook reports on our website:Read Cooper Howard's 2026 Municipal Bond Outlook.Read Collin Martin's 2026 Corporate Credit Outlook.Read Kathy Jones's 2026 Treasury Bonds and Fixed Income Outlook.Read Liz Ann Sonders and Kevin Gordon's 2026 Stocks & Economic Outlook.Read Michelle Gibley's 2026 International Stocks & Economy Outlook.On Investing is an original podcast from Charles Schwab.If you enjoy the show, please leave a rating or review on Apple Podcasts.Important DisclosuresThis material is intended for general informational and educational purposes only. This should not be considered an individualized recommendation or personalized investment advice. The investment strategies mentioned are not suitable for everyone. Each investor needs to review an investment strategy for his or her own particular situation before making any investment decisions.All expressions of opinion are subject to change without notice in reaction to shifting market, economic or political conditions. Data contained herein from third party providers is obtained from what are considered reliable sources. However, its accuracy, completeness or reliability cannot be guaranteed.Past performance is no guarantee of future results.Investing involves risk, including loss of principal. Performance may be affected by risks associated with non-diversification, including investments in specific countries or sectors. Additional risks may also include, but are not limited to, investments in foreign securities, especially emerging markets, real estate investment trusts (REITs), fixed income, municipal securities including state specific municipal securities, small capitalization securities and commodities. Each individual investor should consider these risks carefully before investing in a particular security or strategy.Fixed income securities are subject to increased loss of principal during periods of rising interest rates. Fixed income investments are subject to various other risks including changes in credit quality, market valuations, liquidity, prepayments, early redemption, corporate events, tax ramifications, and other factors. Lower rated securities are subject to greater credit risk, default risk, and liquidity risk.All names and market data shown above are for illustrative purposes only and are not a recommendation, offer to sell, or a solicitation of an offer to buy any security.The policy analysis provided by Charles Schwab & Co., Inc., does not constitute and should not be interpreted as an endorsement of any political party.Preferred securities are a type of hybrid investment that share characteristics of both stock and bonds. They are often callable, meaning the issuing company may redeem the security at a certain price after a certain date. Such call features, and the timing of a call, may affect the security's yield. Preferred securities generally have lower credit ratings and a lower claim to assets than the issuer's individual bonds. Like bonds, prices of preferred securities tend to move inversely with interest rates, so their prices may fall during periods of rising interest rates. Investment value will fluctuate, and preferred securities, when sold before maturity, may be worth more or less than original cost. Preferred securities are subject to various other risks including changes in interest rates and credit quality, default risks, market valuations, liquidity, prepayments, early redemption, deferral risk, corporate events, tax ramifications, and other factors.Tax-exempt bonds are not necessarily a suitable investment for all persons. Information related to a security's tax-exempt status (federal and in-state) is obtained from third parties, and Schwab Center for Financial Research does not guarantee its accuracy. Tax-exempt income may be subject to the Alternative Minimum Tax (AMT). Capital appreciation from bond funds and discounted bonds may be subject to state or local taxes. Capital gains are not exempt from federal income tax.Treasury Inflation Protected Securities (TIPS) are inflation-linked securities issued by the US Government whose principal value is adjusted periodically in accordance with the rise and fall in the inflation rate. Thus, the dividend amount payable is also impacted by variations in the inflation rate, as it is based upon the principal value of the bond. It may fluctuate up or down. Repayment at maturity is guaranteed by the US Government and may be adjusted for inflation to become the greater of the original face amount at issuance or that face amount plus an adjustment for inflation. Treasury Inflation-Protected Securities are guaranteed by the US Government, but inflation-protected bond funds do not provide such a guaranteeThere are risks associated with investing in dividend paying stocks, including but not limited to the risk that stocks may reduce or stop paying dividends.Bank loans typically have below investment-grade credit ratings and may be subject to more credit risk, including the risk of nonpayment of principal or interest. Most bank loans have floating coupon rates that are tied to short-term reference rates like the Secured Overnight Financing Rate (SOFR), so substantial increases in interest rates may make it more difficult for issuers to service their debt and cause an increase in loan defaults. A rise in short-term references rates typically result in higher income payments for investors, however. Bank loans are typically secured by collateral posted by the issuer, or guarantees of its affiliates, the value of which may decline and be insufficient to cover repayment of the loan. Many loans are relatively illiquid or are subject to restrictions on resales, have delayed settlement periods, and may be difficult to value. Bank loans are also subject to maturity extension risk and prepayment risk.Indexes are unmanaged, do not incur management fees, costs, and expenses and cannot be invested in directly. For more information on indexes, please see schwab.com/indexdefinitions.Forecasts contained herein are for illustrative purposes only, may be based upon proprietary research and are developed through analysis of historical public data.BLOOMBERG® is a trademark and service mark of Bloomberg Finance L.P. and its affiliates (collectively "Bloomberg"). Bloomberg or Bloomberg's licensors own all proprietary rights in the Bloomberg Indices. Neither Bloomberg nor Bloomberg's licensors approves or endorses this material or guarantees the accuracy or completeness of any information herein, or makes any warranty, express or implied, as to the results to be obtained therefrom and, to the maximum extent allowed by law, neither shall have any liability or responsibility for injury or damages arising in connection therewith.Diversification strategies do not ensure a profit and do not protect against losses in declining markets.1225-LJD8 Hosted by Simplecast, an AdsWizz company. See pcm.adswizz.com for information about our collection and use of personal data for advertising.

In this engaging discussion, Julie Sun Wu, the President of DAFgiving360 at Schwab and a philanthropic veteran, shares her extensive expertise on donor-advised funds (DAFs). She demystifies how DAFs operate and highlights their integration into estate planning. Julie dispels common myths, emphasizes the benefits of donating appreciated assets, and reveals how recent tax changes impact charitable contributions. Plus, she discusses the growing trend of impact investing and offers practical tips for researching and selecting charities aligned with personal values.

In this insightful discussion, guest Steph Shadel, a seasoned wealth advisor at Schwab with extensive credentials, shares wisdom on aligning your financial portfolio with personal goals. She redefines risk as volatility, explains the importance of diversification and disciplined rebalancing, and debunks myths about portfolio management. Steph emphasizes managing emotions, using tax strategies to optimize investments, and reviewing financial plans during life changes, ensuring your strategy fits your unique circumstances.

In this discussion with Stephanie Shadel, a senior wealth advisor at Schwab with over 15 years in guiding investors, the conversation dives into the essentials of crafting a meaningful financial plan. They explore the importance of setting personal goals and the common psychological barriers people face in initiating financial planning. Stephanie shares insights on the need for flexibility in financial plans to adapt to life changes. She highlights the emotional challenges in assessing current finances and emphasizes prioritizing goals as a pathway to success.

Rob Williams, managing director and head of wealth management research at the Schwab Center for Financial Research, brings expertise in financial and income planning. He walks through the home-buying steps and key players. He explains mortgage pre-approval, down payment trade-offs, closing costs, and protecting emergency savings. He covers timing, behavioral traps, and a final checklist for practical decision-making.

Chris Kawashima, a director of financial planning at the Schwab Center, breaks down the often confusing world of health insurance. He explains key terms like deductibles, copays, and coinsurance, helping listeners understand their impact on finances. Chris compares high-deductible and traditional plans, offers tips for choosing between family and individual coverage, and discusses HSAs and FSAs for saving on healthcare. He also highlights the importance of reviewing open enrollment options annually and managing costs for chronic conditions.