Some of you may be alarmed by news of the down market, but it’s time to take a breath and not panic. So what is going on? The Dow Jones Industrial Average (Dow) is officially in a correction, which is defined as a 10 percent decline from its peak. You may recall from our meetings and correspondence earlier this year that we at ACap have been expecting this correction. In anticipation of such a decline, we have been intentionally accumulating cash in your accounts in so that we can use this down market as an opportunity to buy. As a result, you may receive trade confirmation emails.

We at ACap encourage all of our clients to check their credit reports annually in order to identify any potential problems or even identity theft. The nationwide credit reporting companies (Equifax, Experian, and TransUnion) are required by The Fair Credit Reporting Act to provide you with a FREE copy of your credit report once every 12 months. To request your FREE credit report today, go to http://www.consumer.ftc.gov/articles/0155-free-credit-reports. Do not contact these companies directly as they will try to up-sell other services.

To watch a very short, informative video on the importance of checking your credit report, go to http://bcove.me/mwbzp3ui.

Stock markets closed sharply lower on Monday. While many investors scramble to manage losses, those with a solid financial plan and a diversified portfolio need not worry. Monday’s market declines highlight the reality that markets do fluctuate and thus, the importance of a strategic financial plan. Short-term market news should not dictate long-term investment strategy.

Where else should I invest in for my retirement? Can I invest in traditional IRA after I maxed out Roth IRA?

Are you a bit unsure of what it truly means to own shares in a company? You're not alone. Recently, my 8 year old son explained to his little brother the basics of investing and what it means to own shares in a company. Click on the audio file to listen to his simple lesson on how pizza and shares are really quite similar.

Despite what the calendar shows, 2014 is not over yet. Whether you have a Roth, Traditional, or SEP IRA, you still have time make a contribution count towards 2014. In order to capitalize on a 2014 contribution, you must open an account (if you don't already have one) and make a contribution before the April 15, 2015 IRS deadline.

A Direct PLUS loan is usually taken out by the parent to pay for his/her child’s college education. The child must still complete the FAFSA (Free Application for Federal Student Aid), but it is the parent who is ultimately responsible for the loan. The interest rate on Direct PLUS loans depends on the date of disbursement and is set by the Department of Education. Some parents assume the loan can be transferred to the child once the student graduates, but unfortunately, as a parent borrower of a Direct PLUS loan, the loan cannot be transferred to the child; the parent is responsible for repaying the loan.

Generally, you can make changes in your 401k plan as often as you want; I use the word generally because employers can impose their own restrictions to prevent employees from trading in their 401k plans. ACap strongly advises against actively trading in your 401k or try to time the markets. Rather, rebalance your portfolio on a periodic basis to minimize risk. Review your 401k at least quarterly to ensure the allocations you initially selected have not deviated from your intended percentages; if they have, then rebalance your entire portfolio (including 401k) to bring it back in line with your goals.

Student loans can be a heavy burden on many taxpayers. Luckily, the IRS allows you to deduct a portion of student loan interest which is taken as an adjustment to income. This means you can claim the deduction even if you do not itemize deductions (file Schedule A on your 1040). Unfortunately, the IRS also has many limitations on the deductibility of student loan interest. For example, the maximum interest deduction is $2,500, which for most professionals is a drop in the bucket; the loan proceeds must have been used to pay for qualified education expenses; and your Modified Adjusted Gross Income cannot exceed $155,000 (married filing jointly) or $75,000 (single, head of household, or qualifying widow). We at ACap know that managing your student loan can be frustrating and confusing, so we are currently working on creating a student loan resource page on our website to help you through the process. Stay tuned.

It is never too early to start teaching your kids about saving and investing. Here's a straightforward article written by Geoff Williams of U.S. News & World Report on how to do just that.