A Financial Literacy Blog for All
Wouldn’t it be great if you could improve your investment returns by owning securities when prices are increasing and selling them before they crash? If you learn how to read stock charts, you might have a chance at doing so. People take many different strategies …
Compound interest allows your investments to grow exponentially in value. This post provides six online compound interest calculators to help you understand the benefits of compound interest on the future value of your investments. Importantly, you can see the impact of income taxes on the …
The financial news in the past week or so has been full of stories about GameStop, AMC Entertainment Holdings (AMC), Blackberry, Reddit, r/WallStreetBets, hedge funds, short squeezes, margin calls and Robinhood, among other things. Many of these stories explain parts of what is happening. However, …
Many people view residential rental property as a great investment. I’ve never had any interest in committing the time I perceive is necessary. I’ve also not made much money on my residences. As such, I haven’t seriously considered the purchase of investment property. To get …
Many investors limit the amount of their investments in individual companies to manage the risk in their portfolios. Others advocate holding on to stocks whose prices increase faster than the rest of your portfolio (which I’ll call stock runners) as long as the reason you …
Many financial advisors recommend re-balancing your portfolio no less often than annually to ensure the asset allocation is consistent with your risk tolerance, as illustrated in this post from Schwab. In the past, I haven’t been one to re-balance my portfolio, so I spent some …
The phrase “what is Bitcoin” is currently getting between ten and one hundred thousand search queries in Google per month. There is a broad spectrum of answers out there. In this exposition we’ll give an accessible answer that will help you decide if cryptocurrency is …
Diversification is an important component of any investing plan. It assists you in limiting your risk either to a single asset class or a single security within an asset class. However, I have seen a couple of graphs from which you could form the wrong …
Before we talk about the specific indicators that would signify stock market sell signals, we must understand why we bought each stock in the first place. The simple theory of ‘buy low, sell high’ seems practically very easy, but the reality of the situation is …
The All Seasons Portfolio reports amazing statistics about its returns. I’d never heard of the All Seasons Portfolio, so had to check it out. As I’ll discuss in more detail, it is an asset allocation strategy with more than 50% of the portfolio allocated to …