Savvy investors rebalance their portfolio often to ensure proper asset allocation. Fear not: even for novices, rebalancing isn’t as hard as it sounds.
Do you know when to sell your stock? It would be great if you could buy a stock, bond, mutual fund, or exchange traded fund and just hold it forever. Sadly, this is not the case. With every investment, there will always come a time when you have to sell shares of stock. But how […]
Today, I want to tackle a common question: When savings account interest rates suck, how else can you get a return on your cash? Here’s how one reader phrased it: I’m a single young professional without any debt. I make a decent living. I have a 401(k), Roth IRA, and an emergency fund. Currently my […]
Are you an investor or a speculator? You may not be sure, but the two are quite different. The primary difference lies in the safety of the principal. The first rule of investing is not to lose money. Therefore, your primary goal is to protect your principal. Speculation, meanwhile, focuses on the rate of return […]
As the economy recovers, interest rates will start to increase. To many, rising interest rates are a bad thing because they lead to higher rates on mortgages, auto loans, and credit cards. Although it’s true that higher rates can hurt, rising interest rates can also be a good thing because you can earn a greater […]
Two Yale Professors want you to borrow money to invest in the stock market. Economists Ian Ayres and Barry Nalebuff first pitched the idea in a 2005 Forbes column called Mortgage Your Retirement. Their philosophy is this: Young people should take advantage of the stock market’s propensity to deliver long-term gains by trading on margin. […]
So, you’ve made the decision to start investing, but you just aren’t sure what stocks to buy. Building a portfolio can seem like a complicated process, especially when you’re just starting out. And that’s a good thing, because it’s important to get your portfolio off on the right foot by investing in solid companies with […]