Recently, someone asked about exchange-trade funds (ETFs). He was interested in what they are, as well as how they could be included in his investment portfolio. ETFs are a relatively recent development in the world of investing, and in some cases, they can be ideal for beginning investors, as well as for more advanced investors. … Read moreWhat are Exchange-Traded Funds and How to Use ETFs in Your Portfolio
When many of us think about investing, we think about a fast-paced trading floor. We’ve seen movies like Wall Street that make investing seem like it has to be a high-rolling, fast-paced game. And, while this can be true in some cases, there is no reason that investing has to be complex. Or exciting. In fact, … Read moreThe Advantages of Being a Boring Investor
You know you need an emergency fund. Personal finance bloggers like me are always writing about how important it is to be prepared for a rainy day. But what about a “sunny” day? Shouldn’t you be ready for that as well? If you want to be prepared for entertainment and travel, you can build a … Read moreFun Fund: Saving Money for Entertainment and Travel
Among the common investment strategies is using bonds in a portfolio. Bonds can be a solid addition to any investment portfolio, when used in the proper asset allocation for your goals and needs. However, it’s a good idea to understand the basics of bonds before you get started. What are Bonds? Unlike stocks, which represent … Read moreInvesting in Bonds: Types, Risks, and How to Buy Bonds
Concerns about the volatility of the stock market, and the prospect of losses during downturn, have convinced many that stock investing is not for them. However, “safer” investments like cash and bonds may not provide the needed returns for your portfolio to overcome inflation. This is where it can help to understand the basic principles … Read moreLong Term Investing Tips and Strategies for Beginners
Many of us are conditioned to think that all risk is bad. We hear about putting our money where it can grow “risk free.” The reality, though, is that risk isn’t always a bad thing. Indeed, with risks often come greater rewards. If you really want to get ahead, you need to stop playing it … Read more3 Good Reasons to Take More Risks
Often, when we think about making money through investing, we think about picking the right stock, and then watching as it goes big, resulting in fantastic capital appreciation. Or, perhaps we think about choosing a solid index fund to provide solid returns over time, building up a nest egg for which the 4% withdrawal rule … Read moreBuilding Income by Investing in Dividends Stocks
It is generally accepted that if you want to be able to grow your wealth more effectively — especially if you want to retire some day — you need to invest your funds rather than sticking them in a checking or savings account. However, before you invest, it is a good idea to take stock … Read more3 Things to Know Before You Invest
The importance of a fully funded emergency fund can’t be overstated. A rainy day fund acts as a safety net when unexpected expenses arise, and it gives you freedom from living paycheck to paycheck. The problem with most emergency funds, however, is that they are stuck in low interest bearing bank accounts. While there are … Read moreCD Laddering: The “Frugal” Way to Build an Emergency Fund
If you are new to investing, or even just getting your personal finances in order, chances are good that you have heard of a Roth IRA. Just about every talking head on TV says you should invest in a Roth IRA, but what many of them fail to do is fully explain the advantages and … Read moreRoth IRAs Information for Beginners