How should you invest during uncertain times?
How should you invest during uncertain times? Is it better to do nothing? Or is there another way to continue building a solid portfolio that generates passive income for you?
The cost of doing nothing
Fear might cause you to not invest. But generally this fear comes from a lack of knowledge -- not knowing how to invest, not knowing what to invest in, and not knowing that it is normal for stock markets to go up and down. Over the long-term, inflation will reduce your earning power and any money …
Worried about a stock market crash?
Note: This post was originally written in April 2020 during the COVID19 pandemic.
The only constant in life is change. If you expect change then you are able to make better decisions. In our case, better investing decisions. I know this last month has not been easy watching the value of your investment portfolio go down. Let's take a look at some of the bad news and good news...
The bad news
There has been no shortage of bad news this past month:
- countries are reporting record unemploy…
Major drop in the stock market. Should you keep investing?
Note: This post was originally written in March 2020, when the Dow stood 14% below its all-time high of 29,551 set on Feb. 12, 2020.
Major drop in the stock market last week. Should you keep investing?
Last week (Feb 24-28, 2020) the Dow Jones Industrial Average dropped 3,583 points, or 12%. It was the steepest weekly percentage decline since the 2008 financial crisis. The index now stands 14% below its all-time high of 29,551 set on Feb. 12th. It all sounds dim until you broaden …
Should you invest when stock prices are high?
Note: This post was originally written in February 2020, when the Dow reached a new high of over 29,000 points.
Should you invest when stock prices are high? The stock market continues to break new records and recently surpassed 29,500 points. As an investor, should you invest in stocks that are over-priced? The short answer is no.
Avoid buying overvalued stocks
When the stock market is high, generally stock prices are also high. High prices might be good for selling and taking a profit, …
Do you want to invest in gold, startups, and cryptocurrencies?
- I follow the Warren Buffett, Benjamin Graham approach to investing, safety of your capital first, then look for a reliable stream of increasing dividends
- invest for the long-term, in the short-term stock prices are volatile, but in the long-term (I'm talking decades) quality company stock prices go up
- invest in companies with a history of profitability…
Do you know when to invest?
Buy low and sell high
Everyone has heard the phrase “buy low and sell high”, but how do you know when a stock is priced low and why do you want to buy low?
Why buy low?
You want to buy stocks when they are priced low, because that is where you are going to maximize your gains. If a stock is priced high at $58, there is no point in buying the stock at $55, $57, $58 or even at $60, why? Because the likelihood of the stock price going higher than $58 is very low, the stock is al…
An Interview with Tawcan
I recently had the pleasure of interviewing the blogger behind the awesome blog Tawcan!
Bob at Tawcan has been blogging since 2014 and his blog covers my favorite topic, dividend investing! So I invited him to share his investing knowledge and experience with us.
Is it better for you to buy Index Funds (or ETFs), instead of investing on your own?
Is it better to just buy Index Funds (or ETFs), instead of investing on your own (in individual stocks)? This is a question that I hear frequently. I'll answer this important question right now, let's get started...
Trillions have gone into index funds
According to Morningstar during the past 10 years, investors have pulled about $1.4 trillion from active U.S. stock funds, with most of the money — $1.3 trillion – going to passive funds (Index and ETFs).
What is an Index Fund?
An index fund buy…
Shouldn't your money make you more money?
Absolutely, your money should be working for you and making you more money. But, what's the easiest way to grow your net worth?
Lots of investing options
There are a number of ways to have your money make more money for you, but not all of these methods are ideal or easy:
- Investing in real estate
- Investing in a franchise
- Investing in Term Deposits, Government Bonds
- Investing in Mutual Funds
- Investing in Index Funds, or ETFs
- Investing in dividend-paying quality stocks
Investing in rea…