Waching daily Jul 30 2017

hello everyone and thanks for tuning into the financial investor channel my

name is Brent today we're going to be doing a comparison between the EE bonds

and the AI bonds what is best for you why you should invest in either an EE

bond or an AI bond I do have a breakdown in a chart of why you should do either

of the two now this is mainly up to you guys so I'm going to just be putting out

the information I think this is an important video to understand and listen

to because you know there are differences between the bonds and

depending on the the the timeframe that you're wanting your money invested both

of them are good investments you just have to decide on which one it is so as

we know the yvonne's and I bonds are both lending type of investments meaning

that whoever you lend your money to they're essentially borrowing your money

in exchange for a savings bond that is either issued by corporation or a

government the most common types of savings bonds are government issued

savings bonds and you can buy savings bonds by going to Treasury Directgov and

the link will be in the description below now today we're going to be doing

a comparison between AE bonds and I bonds so if you do watch the videos on a

yvonne's or AI bonds I cover both of them pretty undeath going over their

pages today we're going to be doing a comparison and then what a couple of

what the e bonds and I bonds don't really compare with each other with so

they are both they can be both people they are both electronic let's start off

by saying that paper EE bonds are no longer available but I bonds now are

still electronic through the website all website purchase bonds are electronic

but you can still purchase I bonds paper through your irs refund at the end of

the year so that's the main thing learn how they're different they also have

different interest rates issued the EE bonds currently have a fixed rate of 0.1

zero so the differences between the EE bond and the AI bond as far as interest

rate is they do have differ interest rates the AE bond has a fixed

interest rate no matter what time of the year recession or growth period you know

they always have a fixed rate for those 30 years the AI bonds they have a fixed

rate but then they also get an inflation rate so the current fixed rate of the EE

bond is point one zero the current fixed rate of the AI bond is zero percent

but the inflation makes it 1.96 percent because the inflation rate how are these

bonds the same both of them can be purchased for face value but EE bonds

can be purchased at half the face value available the both form all electronic

bonds they can be bought for $25 or more to the penny so you as example you can

buy an EE bond or an eye bond for 50 dollars and 23 cents the most you can

buy per calendar year for each secure social security number is $10,000

meaning that if your husband and you know your spouse husband and spouse

where to purchase a savings bond for a child they would have to have a social

security number to have that bond underneath their name but that specific

social security number could only have a $10,000 per year so I think this is a

really good idea savings bonds are really good for a long term

EE bonds especially so especially if you have a child who is currently one you

have a social security number you buy a $10,000 Cee savings bond you're

guaranteed to double in 20 years so you buy that when they're won by the age of

21 they that night they now have a $20,000 EE bond that they can use for

their first two year of higher education you buy second $10,000 EE bond when

they're two and now when they're the age of 22 now they have another $22,000 EE

bond that you know doubled now they have a total of $40,000 that they can use

towards their higher education which is the equivalent of what a bachelor's

degree this though in this generation you can use it for that sort of things

aye-aye bonds on the other hand they don't double after 20 years and we're

gonna showcase that in the graph coming up both of them can be redeemed after

twenty twelve months and no less than that both of them have an interest that

is earned monthly and compound semi-annually so the interest is earned

monthly but it doesn't compound and tell us semi-annually and it does earn

interest up to 30 years you can hear if you cash it before five years you do

lose the last three months of interest and they are both taxed at the federal

level but none of the state and of course we've talked about the tax

benefits and how the money can be used for higher education you you can get

excluded from having to pay taxes on your interest off the bond so if you

bought it for $10,000 you cash it out as soon as you hit a 20 year mark when it's

twenty thousand dollars you would only pay taxes on the ten thousand dollars

that you made but if you use that ten thousand dollars on higher education

then you could get it tax-free and you can just keep the ten

thousand dollars that you initially invest it into it so that's a good

breakdown of comparing EE bonds to AI bonds now we're gonna go ahead and I

have an example here if some of the bonds that I currently have and you can

see that the majority of them ee bonds we're gonna see that throughout

time this is 2014 here you can see the block here this shows that the next

external is in 2014 this is 2015 so the I the EE bonds here during the period of

19 the 90s they had interest rates of 4% and you can see that throughout the 2015

there's still 4% 2016 there's still 4% 2017 there's still four percent so no

matter what you purchased the EE bonds app they are still four percent now

these ones the EE bonds that I purchased for $1000 face value I only paid five

hundred dollars up front they're currently getting interest of one to

three percent meaning that some of these may not hit their face value in the next

ten years so some of them I bought in 2008 we're in the year 2017 now so

they're about 10 years they're not halfway there so if I wait ten more

years on these EE bonds they're guaranteed to be a face value of 1000

now I do have about two four six eight ten twelve fourteen sixteen one thousand

dollar bonds so that'll be 18 thousand dollars half of that is eight thousand

so I only paid $8,000 I'm going to be getting eight thousand dollars for my

initial investment of eight thousand dollars within a twenty year mark now

that ain't may or may not be good these were all purchased at a time when I

didn't really need the funds so I just sort of purchase them I did switched i

bonds these do have a little bit of a higher return you can see but they

aren't guaranteed to double in 20 years and you can see that there's

you know the thing with I bonds you can see right here this was bought for

$1,000 in the year 2008 it did not earn any interest I bought it for $1,000 it

had previously made an interest of a hundred and fifty five dollars previous

to that so this was the year 2014 so it took six years to earn a hundred and

fifty five dollars but in the year 2008 when the recession happened it didn't

earn any interest that is because if we go back to here we can see that the

interest rates for May 2008 was 0% for the fixed rate and the inflation rate

that year was also 0% so I earn 0% fixed rate and zero percent inflation rate so

that that's some reasons you may not always want to go for the i bonds oh you

know the e bonds are guaranteed to double in 20 years so you want to make

sure you're picking the right ones some other things to take a look at that in

the year the AI bonds are the other ones that we're going to be looking at here

and the AI bonds they do change per year so this is calendar year 14 there are

two point five nine calendar year 15 they're three point and two point

calendar year 16 they went down a little bit you can see they're now they're in

the one two percent range and now 2017 calendar year inflation is high this

year it's like two point six five percent someone run there you can see

that the interest rate on some of these is over four percent meaning that

they're trying to battle the current inflation night these ones are really

good at battle the inflation I mean I'm getting a four point one percent back on

a thousand dollars which you know right now it's about four hundred three

hundred dollars back in ten years which isn't great but it's

something right these are not guaranteed to double after ten years so a good

example there now let's go ahead and get into our graph now this is the main

important part that I want to show you guys is the difference between EE

blondes and I bombs now I created this little chart what $10,000 is your start

amount and this is just your interest and this is actually a very on point

scale so I can take the ski bond here as an

example and it was issue price 500 with 1.4 so 1.4% issued a $500 and we can see

here that this one okay this is the year 2017 so we're looking for 2017 that was

purchased in 2010 so seven years we can go here to the seventh year and it

should be worth five hundred and fifty nine dollars and four cents by the end

of the year the semi-annual amount so 555 and 559 so it should be right now

555 to 559 so I go over here whoops where is it 559 right here 555 and 559

so I go back to my chart here 555 whereas the was in Avon or era here 555

and 559 so right at 5:52 so this one doesn't actually hit its it just hit its

what 500 in 2007-2008 have been at seventh year so it would have actually

just started at seventh year in 2017 in may may 2017 so right here the beginning

of 2000 seventh here it would be 551 which is what it's that basically 552 so

you can see that this chart is pretty spot-on it is correct so let's go ahead

and continue with our demonstration here so let's go ahead and bump this up back

to ten thousand dollars with our interest of point one zero that we're

currently getting point zero zero one and of course is the percentage there we

go so after thirty years your initial investment of $10,000 in an EE bond will

be ten thousand three hundred and fourteen dollars but wait after twenty

years it's guaranteed to double to the face value so we paid we paid $10,000

but the face value of the bond is twenty thousand dollars so now at the twenty

thousand dollar mark it is now worth twenty thousand dollars at the 20-year

mark and by the end of the thirty years it is now worth twenty thousand dollars

two hundred and twenty one so that's very good

now over here the current interest rate is 1.96 for ten thousand dollars by the

10-year mark you will have made more than your 10-year mark for the EE bond

you have made about two thousand dollars more so if you are going for short-term

investments I bonds would be the way for you but if you're going for long-term

investments EE bonds would be the best for you

if you're looking at something over 20 years ie bonds are the way to go if

you're looking for something between 1 to 15 years I bonds would be the one way

to go but if you hit 15 years with an eye bond you should have went with an e

bond a Yvonne EE bond and just went 20 years because you would have doubled

your investment so again you start with $10,000 after 30 years your $10,000

investment at 1.96 the 14 thousand seven hundred and seventy one dollars so the

difference here is five thousand four hundred and fifty dollars that's a big

difference but this interest changes remember we had the inflation in our in

our savings bonds so I actually have you know 2014 2015 2016 2017 I have interest

rates that have fluctuated it's what we can do is we take the average of these

years and we'll just start with this first one right here let's go ahead and

actually grab the third one I'm going to use the third one as an example so two

point five nine plus third one is three point two five three point two five plus

two point nine five two point nine five plus four point one eight four point one

eight divided by four gives me an average of 3.2 inflation so 3.2 percent

is our new interest rate that is the average and average interest rate with

inflation so now after 30 years $10,000 with the

average of inflation added in gets as $18,000 eight hundred and sixty eighteen

thousand eight hundred and sixty eight dollars in ninety eight cents that has a

difference of one thousand three hundred and fifty-two dollars now the difference

isn't two you know it's a thousand dollars it's about a thousand dollars

off but you could have easily cashed out your AE bond at the 20 year mark where

it was worth twenty thousand dollars whereas your I bond is worth about

$16,000 that would have been a four thousand dollar difference right there

now the inflation it's not always guaranteed to move with this average but

you're a Yvonne is guaranteed to double to its face value after 20-year mark so

it's really up to you what you think is the best investment to be made for you

in your long term investments I think that's a good question for you guys to

kind of figure out if this is something you guys are interested in I think it

was a good video to kind of put out I think savings bonds are kind of

overlooked sometimes and they're not really invested and you can see that I

am invested in AE bonds and Islands and I plan to go long-term and hold these

out because you can see that the interest rate in 2014 was 45 2015 49

2016 57 2017 62 so I'm gaining a pretty nice

floo there you know between 15 and 16 I had nearly $1000 I'm trying to probably

had the same thing by the end of 17 and it's just gonna continue to increase and

compound in the years to come so that is it for this video I hope you liked it

remember to hit the subscribe button for additional videos and future videos

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will see you next time bye

For more infomation >> Comparing Series EE & I - Which is Best For You & Detailed Graph 3/3 - Duration: 17:17.

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Who is 17-year-old Reiss Nelson, the midfielder making a name for himself at Arsenal? - Duration: 4:52.

Who is 17-year-old Reiss Nelson, the midfielder making a name for himself at Arsenal?

Although Arsenal's comfortable 5-2 victory over Benfica in the Emirates Cup this weekend was partially expected, the emergence of teenage midfielder Reiss Nelson has come out of nowhere.

The 17-year-old has been given first-team exposure by manager Arsene Wenger during the Gunners' pre-season preparations and it is fair to say that there's a bit of a buzz around him, but who is he?. Who is the highly-rated Reiss Nelson?.

Born in Elephant and Castle in December 1999, Nelson joined the Arsenal academy at just nine-years-old and has worked his way through the age groups ever since, often playing above his age.

Last season he made 35 appearances for Arsenal's various youth teams – including nine matches playing for the under-21 team – culminating in signing his first professional contract last December.

Seven goals across all competitions caught the attention of boss Arsene Wenger, impressing in the UEFA Youth League and FA Youth Cup, and has seen him represent England's under-17 side as well.

READ MORE:  Analysing Alvaro Moratas first Chelsea start in pre-season defeat to Inter Milan. What has Wenger had to say about him?.

After starring in Arsenal's 5-2 victory over Benfica in the Emirates Cup on Saturday afternoon, boss Arsene Wenger praised the impact that he's had since coming into the side for pre-season friendlies.

Speaking post-match, Metro reports that he said: "He's a more offensive player, more a guy who can play as one of the three strikers or as an offensive midfielder.

"What is good for his education is to play in this position [wing-back] as well because we learn how to cope with defensive responsibilities, and that's a good part of the education of the modern player.

"As strikers or creative players, you tend to have two kinds of players. Some who are good at running with the ball, and some who are good at running off the ball.

He's more a player who likes the ball to his feet and provokes opponents by passing them.".

It's been a while since Arsenal have had a true talent come through their academy and make an impression on the first-team like Nelson has, and it's clear to see he's turned Wenger's head already.

Does he have the attributes to succeed at the Emirates?.

On first glance there seems to be everything going for the 17-year-old, stepping on to a football pitch with a young naivety and a raw talent that sees him unfazed by anyone he comes up against.

Despite being used in a more advanced position for the youth sides, Wenger has trialled him in a wing-back role and credit needs to be given to Nelson for how seamlessly he's adapted to the task at hand.

Offensively he has all of the attributes needed to succeed, carrying bags of pace and an overriding natural instinct to run at the defence directly, and his trickery on the ball will cause problems as well.

Yet, although many past players have shown signs of true speed and endeavour but failed to sustain it on the big stage, Nelson has displayed that he has the intelligence and end product to force his way into Wenger's long-term plans.

His assist for Olivier Giroud yesterday was nothing short of superb, using his pace to get to the edge of the box before cutting back and finding his run perfectly.

At 17 years of age, there is an awful long way to go for Nelson to etch his name into Arsenal folklore, but for the first time in a while there is a growing feeling that the academy has found an absolute gem.