Category Archives: Investing

Is it Worth TRYING to Beat the Index?

Is it Worth TRYING to Beat the Index?

Few things are as alluring as beating Wall Street. Whether you’re a slow-going Buffett fan or a fanatic of in-and-out trading and influence George Soros-style, the idea of beating the market averages over the long term is what any investor wants to do. Beating the index marginally…say, by 1% a year for 20 years, makes a huge difference in total returns. However, beating the index reliably and over the long term isn’t as easy as shaving an extra 1% from the market each year. Every investor wants to do it, but should you try to do it? And if you want to beat the index, what are the more reasonable ways to do it?Continue Reading

What Does My Retirement Plan Look Like?

What Does My Retirement Plan Look Like?

I figured it was time to share what my retirement plan looks like. Since I am still in my 20s, much of this is still a plan. Some of it is happening right now, and some of it is in the works. While I typically hold some information back for privacy reasons, this is one of those posts where my readers will get full disclosure. How’s that for entertaining?Continue Reading

Timing the Market – Should You Ever Do it?

Timing the Market – Should You Ever Do it?

Timing the market is a controversial idea in the world of finance, particularly in the world of financial planning. On one hand it offers the opportunity for higher returns than the market, on the other it brings about the risk of lagging the market should you fail. At the most basic level, everyone times the market. Finance is all about how money moves through time. If you invest today, you think that there is a good chance that the market will be worth more at some time in the future, a time when you need the money for retirement, college expenses, or major purchases like a home.Continue Reading

Best Way to Track Your Net Worth

Best Way to Track Your Net Worth

I USED to think that tracking your net worth was for rich people. It was just something that older people did, or even people who were older and closer to retirement. I thought it was just one of those things that people with a large net worth used to brag. My opinion changed when I started to understand what a net worth measures that other things do not. I started to track my net worth, but my process has improved over the years. Find out how to track your net worth efficiently.Continue Reading

Young Adult Retirement Planning – Benefits of Saving a Lot Early

Young Adult Retirement Planning – Benefits of Saving a Lot Early

Retirement planning isn’t just for old people – or even middle aged people. People in their 20s and more generally, young adults, can start saving for retirement too. In fact, young adults can make a larger impact on their retirement income than anyone else can – and that’s because they have one major advantage that older people don’t have: time. By having more time for your investments to increase and earn more interest, young adults can either make or break their retirement plans based on whether they save or don’t save.Continue Reading

Rolling Over Your Retirement Plan

Rolling Over Your Retirement Plan

Our generation is nothing like our parents. Our parents generation would find a job, stay with the employer for life, get a gold watch upon retirement and be done with it. I’ve seen this too: my Dad worked for the same company for over 40 years. I’m in my mid-30′s and I’ve already worked for three employers since graduating college!Continue Reading

How Liquid is Peer to Peer Lending as an Investment?

How Liquid is Peer to Peer Lending as an Investment?

Over the past several years, I had heard a lot about peer to peer lending as an investment option. Being the curious investor that I was and still am, I decided to give it a shot. There’s no better way to learn than from personal experience. Unfortunately, my two year stint has not proven successful and I am doing everything I can to get out of this investment. Here’s why everyone should think twice before making the plunge.Continue Reading

4 Things to Think about BEFORE Your First Investment

4 Things to Think about BEFORE Your First Investment

Investing for the first time can be a challenge – overwhelming in fact. Despite its importance, investing is not a skill that is often passed on from generation to generation like riding a bike, learning how to shave, brush your teeth, and so on. There are always exceptions and those who do receive advice from their parents are often decades ahead of their peers when it comes to investing. To help you get started, here are four things that you need to consider before making that first investment.Continue Reading

Dollar Cost Averaging: What is it and Why to Use it

Dollar Cost Averaging: What is it and Why to Use it

Most people who invest are dollar cost averaging fans but they don’t even know it. Dollar cost averaging is founded on a simple idea that investors should accumulate investments over long periods of time in very small doses. Anyone who saves for retirement with a 401k does just this – each pay period funds are moved from the worker’s check to their investment accounts. Dollar cost averaging has its benefits.Continue Reading

How To Save For A House

How To Save For A House

Saving for a house can be a long and challenging process. Both because of how much money you actually need to save and because of the time commitment needed to save that large amount of money. In this post, I am going to give you an idea of just how much money you need to save for a house (and why saving more makes sense) as well as how to get over the hurdle of the time commitment involved with saving such a large amount. I’ll even touch on a few ways to help boost your saving. Let’s get started.Continue Reading