Let's talk Annuities! You spend the better half of your life working hard, so you can settle into an easy retirement – free of debt and free of burden. Face it – no one wants to be paying back a mortgage or car loan well into his 60s. Retirement is meant to be stress-free – for you to enjoy all the things you sacrificed while you worked professionally. But how can you live a stress-free life? One answer may be … [Read more...]
Archives for February 2015
Getting Wealthy with Mutual Funds?!
What is a Mutual Fund? Are you interested in investing, but have no idea where to begin? Have you been around the block and some how never heard of mutual funds? Whichever you are keep reading for a comprehensive guide to mutual funds. See for yourself if they should be added to your portfolio. Mutual Funds Definition A mutual fund is an investment vehicle that consists of a pool of funds that are collected from … [Read more...]
Qualitative Examples for Investing
Qualitative vs. Quantitative - Which is best? When doing your due diligence on any particular investment it's best to understand the difference between Qualitative and Quantitative analysis and which makes sense for you. The Need For Analysis in Investment Successful investing is reliant on the collection and interpretation of data about potential investments. Without the collection and interpretation of information, … [Read more...]
What is a Married Put?
Today, let's talk about a Married Put and when someone might use it. You do not have to be married to do this :) Typically this is a strategy for more intermediate to advanced options traders. Let's go over options and specifically "Put" options before we go in to what a Married Put is. What are options? A stock option gives investors the opportunity to buy and sell stocks at an agreed upon price. There are many … [Read more...]
Are Buying Bonds Smart?
Let's talk about buying bonds. A mix of bonds in your portfolio could be a good choice depending on your economic outlook and circumstance. A Short Introduction to Savings Bonds In simplest terms, a bond is a certificate representing the existence of an outstanding sum owed to the holder of the bond by the issuer of the same. The bond-holder is entitled to receive both the principal and the interest on the principal … [Read more...]
What is a Bull Spread?
A Bull call spread is a popular options strategy used by more advanced options traders. What are Options? An option just like a stock or a bond is a security. However, the trader has the option to buy the underlying asset within a specific expiration date which is typically the 3rd Friday of every month unless a holiday falls on a Friday then they will expire on the Thursday before. Options are a good way for traders … [Read more...]
Compound Interest Is Your Best Financial Friend
Compound Interest is the best! If you don't know about compound interest prepare your mind to be blown. It's magic time. It is literally a stalwart in the quest to become wealthy, no joke! What is Compound Interest? Like its name suggests, compound interest is a method for calculating the interest charged on the principal. In contrast to simple interest which calculates the same interest in period after period, … [Read more...]
Where to invest in a low interest rate environment
Let's talk about investing in a low interest rate environment A low interest rate environment is ideal for folks shopping for a mortgage since their monthly home loan repayment will be considerably lower than it would be in a higher interest rate environment. This is great is you're buying a home but what if you are looking for places to have your money make you money. Here's the challenge: If the inflation of an … [Read more...]
Should I Buy or Rent?
Should I buy or rent? That is the age old adage. We all need to place our heads somewhere at night so buying a place you can call home can be very enticing. When deciding "Should I buy or rent" there are many questions that you are going to have to address. Today we are going to discuss several things that you should always consider when making this very important decision. We will go over some common issues that … [Read more...]
Long Straddle - Options made easy
Let's talk Long Straddle. This has nothing to do with the balance beam but has everything to do with balancing out your investment portfolio for the best. In order to understand what a long straddle is you should know what are option are so let's get in to it. What Are Options? Options are binding contracts that allow the trader to buy or sell an underlying asset at a set price on or before a specified date. This … [Read more...]