About The times. (Gainesville, Ga.) 1972-current | View Entire Issue (Dec. 6, 2018)
0D BUSINESS Jeff Gill | Business reporter 770-718-3408 | jgill@gainesvilletimes.com The Times, Gainesville, Georgia Thursday, December 6, 2018 JIM MONE I Associated Press Shamila Nduriri, who owns Dalasini, an upscale jewelry company, poses in her Minneapolis apartment with some of her jewelry on Monday, Dec. 3. Nduriri, who studied finance in college, saved aggressively when she worked for a corporation and continues to put money aside now that she owns Dalasini. To invest in your business or your future retirement? BY JOYCE M. ROSENBERG Associated Press NEW YORK — In John Holloway’s early years as an entrepreneur, saving for his own future wasn’t a priority. “I invested a lot of money into one of my first busi nesses and came out break even at best. I am kicking myself for not setting some of that money aside for retirement,” says Hollo way, co-owner of NoExam. com, a life insurance bro kerage based in Roswell, Georgia. These days, when his company’s cash flow and profits are strong enough, he takes money out of the business and invests in a retirement account. “I am trying to diversify — having all of my eggs in one basket is stressful,” Holloway says. Saving for retirement hasn’t been a priority for many small business own ers over the years. They’ve hoped to build their busi nesses, sell at a huge profit and have a comfortable retirement. While they’ve taken profits out for homes and college tuition, it was more important to reinvest earnings into the company rather than save for retire ment. But attitudes about saving may be evolving after the financial devasta tion of the Great Recession, when tens of thousands of businesses failed. In a survey by insurer Nationwide released in October, 53 percent of younger business owners — those born in the 1980s and ’90s — said having a workplace savings plan was important for their retire ment. Fewer baby boom ers, 39 percent, felt it was important. Older surveys show how boomers favored their companies over sav ing — the Small Business Administration said in 2006 that only about a third of owners had Individual Retirement Accounts and 18 percent had a 401(k). When Ron Lieback started his digital market ing business, he began set ting aside 10 percent of his own salary. Profits from the company, ContentMender, are reinvested into new technology, but Lieback wants to be personally pre pared for the what-ifs. “Something could crash and our business could fail. You always have to have that in the back of your head, so you need that nest egg,” says Lieback, whose company is based in Moun tain Top, Pennsylvania. To help his company be more profitable, and therefore help himself save, Lieback uses freelancers for some of ContentMender’s work. Owners who expect com panies to fund their retire ment are optimistic but may be overlooking the fact that they and the business are vulnerable to poten tial calamities, says David O’Brien, a financial adviser with Evolution Advisors in Midlothian, Virginia. For example, an owner who’s the company’s key employee can be sidelined by a serious illness, hurting the value of the business. Or if patents are infringed and once-exclusive products are now sold by competi tors, a company’s value can plunge. Moreover, O’Brien says, when it’s time to sell, buy ers might not be willing to pay what the owner hopes for. “You need to shore up your reserves in case you don’t get the sales price of your business that you want,” he says. US-China trade deal confusion causes share slip BY JOE MCDONALD Associated Press BEIJING — Global stock prices fell Wednesday, though not as much as Wall Street the day before, amid confusion about what the U.S. and China agreed to in a tariff cease-fire. KEEPING SCORE In Europe, London’s FTSE 100 index fell 1.4 percent to close at 6,921.84 and German’s DAX lost 1.2 percent to 11,200.24. France’s CAC 40 retreated 1.4 percent to 4,944.37. U.S. stock trading was closed to mourn the death of former President George H.W. Bush. ASIA’S DAY Hong Kong’s Hang Seng index fell 1.6 percent to 26,819.58 and the Shanghai Composite Index declined 0.6 percent to 2,649.81. Tokyo’s Nikkei 225 lost 0.5 percent to 21,919.33 and Sydney’s S&P-ASX 200 shed 0.8 percent to 5,668.40. Seoul’s Kospi gave up 0.8 percent to 2,101.31 and India’s Sensex was 0.6 percent lower at 35,902.74. TRADE QUESTIONS Investor confidence in the U.S.-China agreement faltered after confusing and conflicting comments from President Donald Trump and some senior officials. That revived fears the disagreement between the world’s two biggest econo mies could slow global growth. Trump previously said the agreement would lead to sales of American farm goods and cuts in Chinese auto tariffs, but Beijing has yet to confirm that. Trump renewed threats of tariff hikes on Tuesday, say ing on Twitter that Washington would have a “real deal” with China or else would charge “major tariffs” on Chinese goods. That cast further doubt on the weekend agreement. FED WATCH Markets also got a jolt from remarks by the president of the Fed’s New York regional bank. John Williams said that given his outlook for strong economic growth, he expects “further gradual increases in interest rates will best sponsor a sustained economic expansion.” That seemed to counter Fed Chairman Jay Powell’s remarks last week. The jitters helped drive demand for government bonds. The yield on the 10-year Treasury note fell to 2.91 percent from 2.99 per cent late Monday, a large move. ANALYST’S TAKE “Positive sentiment from the China-U.S. trade war truce dissipated quickly,” Eugene Leow and Radhika Rao of DBS Group said in a report. “Questions on trade, worries about U.S. growth and perceived dovishness on the Fed all play a part in explaining these market moves. Concerns were also compounded by increasing news narrative on inverted curves and risks of a recession.” ENERGY Benchmark U.S. crude fell 0.7 percent to settle at $52.89 per barrel in New York. Brent crude, used to price interna tional oils, declined 0.8 percent to close at $61.56 per bar rel in London. Representatives of oil-producing nations will hold a highly anticipated meeting Thursday in Vienna, with analysts predicting that they will agree on a cut of at least 1 million barrels a day in an effort to bolster prices. Brazilian consul: Arrested Ghosn is healthy, wants good books BY YURI KAGEYAMA Associated Press TOKYO — The former Nissan chairman Carlos Ghosn, who was arrested in Japan on suspicion of underreporting his income, seems prepared to fight out his case and has asked for thriller books, according to the Brazilian consul general. Joao de Mendonca Lima Neto, one of the few visitors Ghosn has been allowed to see under Japan’s stringent rules, said Ghosn was healthy and holding up well. “My impression is that he is a strong man in the sense that he will fight this out properly. He doesn’t look worried,” Mendonca told The Associated Press on Wednesday at Brazil’s consulate in Tokyo. “I admire him for his fortitude.” Mendonca declined comment on the specifics of the allegations against Ghosn, saying his job was about helping Brazilian citizens with their problems. He said he has conveyed Ghosn’s verbal messages to his family and has relayed the fam ily’s messages back. He declined to disclose details. Ghosn, who headed the Renault- Nissan-Mitsubishi Motors auto alli ance, was arrested last month on suspicion he underreported his income by millions of dollars for years at a time. Born in Brazil, Ghosn holds French, Lebanese and Brazilian citizenships. Only representa tives of a suspect’s home country and attorneys can visit suspects in detention in Japan. Consular officials have visited Ghosn four times in the last two weeks, Mendonca said. They brought history and philosophy books and fruit, but Ghosn asked for thriller books to pass the time. Mendonca said he speaks with Ghosn in Portuguese through a glass barrier. Although Japanese deten tion cells are not heated and the weather can be chilly, Mendonca said Ghosn told him he was warm. He was wearing a blue zipped-up top, he recalled. “Dr. Ghosn has always said that he is well and he is well treated, given the circumstances,” he said. “He answers normally, ‘I’m fine.’” Japanese media, without iden tifying sources, have reported prosecutors will detain Ghosn on additional allegations beyond Dec. 10, when the period of detention allowed on the first set of allega tions against him will run out. Prosecutors have refused to com ment except in weekly meetings, when they confirm some basic facts. Ghosn has not been charged. Since he was sent by Renault SA of France to turn around a near bankrupt Nissan Motor Co. two decades ago, Ghosn’s star-level pay has drawn attention since executives in Japan tend to be paid far less than their interna tional counterparts. At the center of the allegations, according to Japanese media reports, is Ghosn’s deferred income, promised as money, stocks and other items for a later date, including after retirement. Stock Exchange Highlights V NYSE 12,221.98 -355.56 B Nasdaq W 7,158.43 -283.09 Gainers ($2 or more) Name Last Chg %Chg Movado 41.51 RH 137.13 Acornlnt rs 27.93 GranaMon 3.42 AutoZone 880.07 AvayaHI n 16.77 Drdgold 2.12 Cementos 9.91 LeafGrp 8.12 XinyuanRE 4.45 +4.63 +13.48 +2.66 +.27 +55.61 +1.02 +.12 +.41 +.33 +.18 +12.6 +10.9 +10.5 +8.6 +6.7 +6.5 +6.0 +4.3 +4.2 +4.2 Losers (S2 or more) Name Last Chg %Chg B&N Ed n 4.47 Aphria n 4.51 DrxRBkBull 45.22 Skyline 18.35 DxBiotBII rs 48.32 DxSOXBIIs 98.68 DrxHmbBull 27.62 AspenAero 2.70 DrxTmBI n 28.15 Dirxlnds n 25.93 -1.98 -30.7 -1.54 -25.5 -8.84 -16.4 -3.59 -16.4 -8.64 -15.2 -16.85 -14.6 -4.66 -14.4 -.45 -14.3 -4.45 -13.7 -4.10 -13.7 Most Active ($1 on more) Name Vol (00) Last Chg GenElec 1315825 BkofAm 1034514 FordM 574929 AT&T Inc 447564 ChesEng 368607 WellsFargo331839 Square n 310562 Aphria n 297693 Citigroup 269761 Vale SA 265421 7.28 26.99 9.18 30.73 2.89 51.78 63.51 4.51 62.26 13.60 -.53 -1.55 -.42 -.98 -.20 -2.46 -8.44 -1.54 -2.90 -.48 Diary Advanced Declined Unchanged Total issues New Highs New Lows Volume 449 2,413 31 2,893 71 335 4,398,864,679 Gainers ($2 or more) Name Last Chg %Chg RevanceTh 24.91 CIM CT pfL 27.50 IterumTh n 7.06 MarinSft rs 2.98 FuweiF rs 2.30 NetElem rs 8.83 Immuron n 8.79 CSVixSTrs 15.57 Arvinas n 17.00 PShtQQQ rs14.29 +4.06 +19.5 +4.29 +18.5 +1.10 +18.5 +.44 +17.3 +.30 +15.0 +1.10 +14.2 +1.05 +13.6 +1.82 +13.2 +1.71 +11.2 +1.43 +11.1 Losers ($2 or more) Name Last Chg %Chg SmaashEnt JerashHI n AridisPh n EloxxPh n BldrFstSrc Ovid Th n Conns Manitex Uxin Ltd n Amyris rs 2.67 6.50 8.50 12.93 12.25 3.49 24.79 6.31 2.86 4.21 -.65 -19.6 -1.25 -16.1 -1.45 -14.6 -2.21 -14.6 -2.04 -14.3 -.58 -14.3 -4.09 -14.2 -1.03 -14.0 -.45 -13.6 -.62 -12.8 Most Active ($1 or more) Name Vol (00) Last Chg AMD 1269913 Microsoft 445719 Apple Inc 411376 MicronT 365512 Intel 333744 SiriusXM 317557 Cisco 306817 Facebook 302277 AmEITech 300966 Comcast s 293981 21.12 -2.59 108.52 -3.57 176.69 -8.13 36.88 -3.15 47.75 -2.38 6.19 -.13 47.35 -1.39 137.93 -3.16 1.49 +.41 37.69 -1.46 Diary Advanced Declined Unchanged Total issues New Highs New Lows Volume 407 2,536 128 3,071 40 243 2,551,047,130 Stocks of Local Interest Name Ex Div Yld PE Last YTD Chg %Chg AFLAC S 1.04 2.3 14 44.29 -1.78 0.0 Hershey 2.89 2.7 24 108.10 -.83 -4.8 AT&T Inc 2.00 6.5 6 30.73 -.98 -21.0 HomeDp 4.12 2.4 19 175.30 -6.44 -7.5 AbbottLab 1.12 1.6 30 71.50 -2.77 +25.3 Intel 1.20 2.5 18 47.75 -2.38 +3.4 ActivsBIiz .34 .7 27 46.52 -.08 -26.5 IBM 6.28 5.2 9 121.60 -3.71 -20.7 AMD 21.12 -2.59+105.4 JPMorgCh 2.24 2.1 14 107.23 -5.01 +.3 Altria 3.20 5.9 17 54.40 -1.33 -23.8 JohnJn 3.60 2.5 20 146.03 -.18 +4.5 AmEITech 1.49 +.41 -.7 Kinross g 22 2.80 -.03 -35.2 Aphria n 4.51 -1.54 -63.2 Lowes 1.92 2.1 20 90.33 -3.96 -2.8 Apple Inc 2.92 1.7 18 176.69 -8.13 +4.4 McDnlds 4.64 2.5 28 185.04 -.33 +7.5 ATMOS 1.94 2.0 18 97.56 -.05 +13.6 Merck 2.20 2.8 29 78.21 -1.01 +39.0 AutoZone 19 880.07+55.61 +23.7 MicronT 3 36.88 -3.15 -10.3 AveryD 2.26 2.4 27 93.67 -2.00 -18.4 Microsoft 1.84 1.7 45 108.52 -3.57 +26.9 BB&T Cp 1.62 3.3 14 48.37 -2.36 -2.7 NorflkSo 3.20 1.9 25 165.89 -6.29 +14.5 BP PLC 2.38 5.8 12 40.95 -.24 -2.6 OfficeDpt .10 3.2 9 3.14 -.11 -11.3 BkofAm .60 2.2 13 26.99 -1.55 -8.6 Oracle .76 1.6 52 48.75 -1.08 +3.1 BarnesNob .60 8.6 6.94 -.48 +3.6 Penney 1.36 -.08 -57.0 Boeing 6.84 2.0 32 342.50-17.46 +16.1 PepsiCo 3.71 3.1 34 117.80 -1.18 -1.8 BrMySq 1.60 3.1 52 52.03 -1.25 -15.1 Pfizer 1.36 3.0 18 45.14 -.85 +24.6 CSX .88 1.2 10 70.60 -2.55 +28.3 PhilipMor 4.56 5.3 21 85.43 -1.65 -19.1 CampSp 1.40 3.6 14 38.59 -.17 -19.8 Primerica 1.00 .9 13 110.39 -7.50 +8.7 Caterpillar 3.44 2.7 12 129.32 -9.63 -17.9 ProctGam 2.87 3.1 23 93.31 -.01 +1.6 ChesEng 5 2.89 -.20 -27.0 RegionsFn .56 3.6 13 15.59 -1.04 -9.8 Chevron 4.48 3.8 24 117.24 -3.43 -6.4 SiriusXM .05 .8 34 6.19 -.13 +15.5 Cisco 1.32 2.8 24 47.35 -1.39 +23.6 SouthnCo 2.40 5.1 22 47.24 -.25 -1.8 Citigroup 1.80 2.9 11 62.26 -2.90 -16.3 SwstnEngy 5 4.51 -.13 -19.2 CocaCola 1.56 3.1 94 49.58 -.11 +8.1 Square n 63.51 -8.44 +83.2 Comcast s .76 2.0 18 37.69 -1.46 -5.5 SunTrst 2.00 3.4 10 58.67 -3.64 -9.2 ConAgra .85 2.6 15 32.08 -.35 -14.8 SynovusFn 1.00 2.8 13 35.45 -2.75 -26.1 CronosGp n ... 10.74 +.57 +40.9 3M Co 5.44 2.7 28 202.20 -6.56 -14.1 Cummins 4.56 3.1 41 146.37 -6.10 -17.1 Torchmark .64 .8 6 82.22 -4.33 -9.4 Disney 1.76 1.6 15 112.87 -2.87 +5.0 Twitter 32.56 -1.10 +35.6 DowDuPnt 1.52 2.7 18 56.49 -2.67 -20.7 Tyson 1.20 2.1 11 58.24 -2.03 -28.2 EnCanag .06 .9 11 6.75 -.36 -49.4 UtdCmBks .64 2.7 14 23.77 -1.78 -15.5 Equifax 1.56 1.6 17 99.28 -3.70 -15.8 UPS B 3.64 3.4 18 106.77 -8.50 -10.4 ExxonMbl 3.28 4.1 15 79.43 -1.79 -5.0 VerizonCm 2.41 4.1 7 58.09 -.07 +9.7 Facebook 26 137.93 -3.16 -21.8 Vodafone 1.74 8.4 20.72 -.54 -35.0 FordM .60 6.5 5 9.18 -.42 -26.5 WalMart 2.08 2.2 55 95.81 -2.94 -3.0 GenElec .48 6.6 7.28 -.53 -58.3 Weathflntl .55 -.04 -86.8 GenuPrt 2.88 2.8 22 103.24 -.96 +8.7 WeisMk 1.24 2.7 11 45.14 -.93 +9.1 HP Inc .64 2.8 7 23.24 -.71 +10.6 WellsFargo 1.72 3.3 13 51.78 -2.46 -14.7 Haverty .72 3.6 21 20.06 -1.17 -11.4 YumBrnds 1.44 1.6 32 90.68 -1.39 +11.1 Name Ex Div Yld PE Last YTD Chg %Chg Stock Footnotes: g = Dividends and earnings in Canadian dollars, h = Does not meet continued-listing standards. If = Late filing with SEC. n = New in past 52 weeks, pf = Preferred, rs = Stock has undergone a reverse stock split of at least 50 percent within the past year, rt = Right to buy security at a specified price, s = Stock has split by at least 20 percent within the last year, un = Units, vj = In bankruptcy or receivership, wd = When distributed, wi = When issued, wt = Warrants. Fund Footnotes: m - Multiple fees are charged, usually a marketing fee and either a sales or redemption fee. Source: The Associated Press. Sales figures are unofficial. Stock Market Indexes Dow Jones industrials Close: 25,027.07 Change:-799.36 (-3.1%) 27,200 26,400 25,600 24,800 26,000 10 DAYS 25,120 J 24,240 J J A S O N 52-Week Net YTD 12-mo High Low Name Last Chg %Chg %Chg %Chg 26,951.81 23,344.52 Dow Industrials 25,027.07 -799.36 -3.10 +1.25 +3.50 11,623.58 9,757.50 Dow Transportation 10,374.07 -476.37 -4.39 -2.24 +1.42 770.08 647.81 Dow Utilities 749.84 +1.28 +.17 +3.66 -.10 13,637.02 11,820.33 NYSE Composite 12,221.98 -355.56 -2.83 -4.58 -2.75 8,133.30 6,630.67 Nasdaq Composite 7,158.43 -283.09 -3.80 +3.69 +5.86 1,309.73 1,118.69 S&P 100 1,197.48 -41.15 -3.32 +1.21 +3.00 2,940.91 2,532.69 S&P 500 2,700.06 -90.31 -3.24 +.99 +2.68 2,053.00 1,769.25 S&P MidCap 1,826.62 -68.70 -3.62 -3.89 -2.79 30,560.54 26,293.62 Wilshire 5000 27,796.93 -971.64 -3.38 +.01 +1.85 1,742.09 1,436.43 Russell 2000 1,480.75 -68.21 -4.40 -3.57 -2.37 Mutual Funds Name Total Assets Obj ($Mlns) NAV Total Return/Rank 4-wk 12-mo 5-year Pet Load Min Init Invt Vanguard 500ldxAdmrl LB 253,238 250.23 -0.6 +4.2/A +10.7/A NL 3,000 Vanguard TtlSMIdxAdmrl LB 203,888 67.29 -0.9 +3.6/B +10.3/A NL 3,000 Fidelity 500ldxlnsPrm LB 164,099 94.69 -0.6 +4.3/A +10.8/A NL 0 Vanguard TtlSMIdxinv LB 129,896 67.26 -0.9 +3.5/B +10.1 /B NL 3,000 Vanguard TtlnSIdxinv FB 128,269 15.98 -1.4 -8.4/B +2.4/B NL 0 Vanguard TtlSMIdxins LB 123,279 67.30 -0.9 +3.6/B +10.3/A NL 5 000,000 Vanguard Insldxlns LB 116,738 246.87 -0.6 +4.2/A +10.8/A NL 5 000,000 Vanguard InsIdxinsPlus LB 104,731 246.89 -0.6 +4.3/A +10.8/A NL100,000,000 Vanguard TtlnSIdxInsPlus FB 95,758 106.92 -1.3 -8.3/B +2.5/A NL100,000,000 Fidelity Contrafund LG 91,616 12.53 -1.9 +6.1/C +11.3/B NL 0 Vanguard TtBMIdxAdmrl Cl 86,606 10.33 +1.3 -1.3/C +2.1/C NL 3,000 Vanguard WlngtnAdmrl MA 86,207 71.45 +0.7 +1.4/A +7.6/A NL 50,000 Cl -Intermediate-Term Bond, FB -Foreign Large Blend, IH -World Allocation, LB -Large Blend, LG -Large Growth, LV -Large Value, MA -Moderate Allocation, WS -World Stock, Total Return: Chng in NAV with dividends reinvested. Rank: How fund performed vs. others with same objective: A is in top 20%, E in bottom 20%. Min Init Invt: Minimum $ needed to invest in fund. Source: Morningstar.
