Simple investment: ditch the analytics

Despite my best efforts, some of my friends still stray away from investing. Their claim is that it’s too complicated and boring. And while I can’t always help the latter, the former is something I can help with. Investment doesn’t have to be complicated. In fact, many successful investors build a solid nest egg by using simple principals. So if you’re the type that thinks the investment game…

3 quick tips for creating financial goals

I was talking with friends the other evening about finance and we came across an important topic. One of the keys to successful investing is setting goals for your finances. In order to achieve them, your goals must be realistic, concentrated and prioritized.

List by importance

Identify which financial achievements are most important to accomplish for…

Getting rid of bank fees

If we’re at all alike, you despise bank fees just as much as I do. Years went by without fees, and now they are popping up like dandelions. Thankfully, I’ve found a few ways to dodge those fees when investing, and you can as well.

Never settle

If your current bank has fees, chances are you can do better….

Novices’ asset allocation guide

You’ve probably heard, “don’t put all of your eggs in one basket”, a million times. But when it comes to investing, it’s not just an old adage, it’s a golden rule.

Properly allocating your assets in your portfolio reduces risk and boosts return – if one investment fails, you still have several to back you up.

In order to allocate, divide your portfolio by asset classes. Include a healthy mix…

Investing in bonds 101 – 5 things to know

If I could go back to when I was first starting my career, I would want someone to explain the basics of bonds to me. They are useful tools, especially since they are able to provide a risk-free income stream. But they can also be a little dangerous, if you’re not careful.

Here are five things I would have wanted to know before I started investing in bonds:

Growth vs. value stock: pick your winning horse

There’s no single best strategy for investing — I wish there were. But one idea is pretty solid: looking at profits should be one of the ways you determine the worth of a company. If a company is reliable with consistent earnings, then their stock price is generally going to rise.

The strategic dilemma that many investors face is…

3 tips for investing in gold

During financially stressful times, I like to turn to gold. It’s a safe bet in a down economy and its price doesn’t move with the price of other assets, diversifying your portfolio and keeping volatility at a minimum.

But some disagree with this strategy. Gold can produce great returns, but it can lose a lot of value relative to the dollar as well. But if you’re set on adding this…

What is your risk tolerance?

Over the holidays a friend asked me how I got my start investing, and how I decided how much money to risk.

The amount of money you should plunge into the market depends a lot on your risk tolerance. Here are some things you should take into consideration when deciding how much of your hard-earned savings you are willing to wager:

Three rules for safe investing

If you’ve watched the stock market in the last few years you’ve probably become a little squeamish about investing – it seemed like stocks were doing nothing but falling. Now, the market is starting to show signs of life, but is it the safest place to put your money?

Although stock market crashes can knock the socks off investors,…

High-rate checking account: an answer to low rates

Yields are going to stay low for a while – the Federal Reserve has promised to keep them low until the middle of 2013 in order to stimulate the economy. If you’re looking for a simple solution to low rates, investing in high-yield checking might be the answer.

For better yields, shop around

While the rates you’ll find might…

Portfolio management: taking home the prize

With the Federal Reserve set to keep interest rates low until the middle of 2013 and plenty of worry over European debt, many friends, family and clients have been asking me about how best to manage their portfolio. I won’t lie; investing isn’t easy in this rocky market. But by consistently reevaluating your portfolio – at least once…

Investing in ETFs: A cheat sheet

There are plenty of places you can put your money in the investment world. An ETF – exchange-traded fund – is just one of the many, but it can be a good choice if you’re just getting your portfolio off of the starting line.

What is an ETF?

An exchange-traded fund is an investment fund that includes stocks, commodities…

Strategy: Defensive investing

Friends and family often ask me about investment strategy and the best approach. I tell them that the best strategy is often to be on the defensive – especially in a volatile economy.

I naturally like low-risk investments – the kind you can sit on for a while without worrying about whether or not you’re going to lose your house. But I also understand that taking a little risk can…

Investing for beginners in their 20s

It’s never too early to think about building your portfolio. In fact, the earlier you get started, the better off you’ll be. It doesn’t matter if you have $100, $1000 or $10,000 – any amount of money help kick-start the power of compounding interest. With compounding interest, your money does the work…

Investing for retirement: A primer

Retirement investing can be a difficult task alone, but it’s even more challenging in a market with low yields. Even so, there’s no reason to wait to contribute to your 401(k), 403K(b) or 457 plan. Those in their 20s are at an ideal age to start saving, but it’s never too late for older folks either. Here’s a little guide to help you get started on putting away…