Financial Idea's Blog

Why Shouldn’t I Just Buy An Index Fund?

Okay, on this one, I’ll start off by noting that, just like the idea of doing-it-yourself, it’s entirely possible that this could work, and in some specific time periods in the past it has worked. Of course, funds which follow the same index but are from different fund families behave a little differently, and within fund families there are funds which track dozens of different indexes. My English teacher would remind me that I should say “indices”, but I do what I do, and she does what she does.(That lesson did actually stick, I’m just having fun today.)

Let’s look at one of the most popular indexes, the S&P 500.

Lots of fund companies offer a version of this, which essentially is Read More …

Technorati Tags: how to invest, index funds, Invest Stock, learning index funds, What to Invest In

What’s A Dumb Financial Question?

Oh good, an easy question! ?

There isn’t one.
Say you came into my office and asked me a question, I explained the answer, and you nodded and went about your business, understanding a little bit of the answer but not really why or well enough even to remember a week later. Would I have done my job? Not really, or at least not yet.

That’s how a lot of information gets “shared” these days though. “Answers” are disseminated across the TV and the Web by people who know what they’re talking about and by people who don’t. Some of them are in official positions and so “should know” and others are not so official, like many bloggers, but could and do really know.

The opposite is also true,but what’s really important to you is, do YOU know? After all, it’s YOUR money.

Here’s my approach: Read More …

Technorati Tags: Financial Question, How to Invest Stock, What to Invest In

Why Shouldn’t I Use A Discount Brokerage?

This is a really great question, especially since many of the most popular investment books available today say exactly the opposite.

They tell you that you can do it yourself, and for a lot less money, and you know what? They’re right! But as you probably suspect, there’s a hidden catch that they’re not telling you about. The catch is you.

You see, most of us are really skilled at one or more things, but there’s thousands of things we could be skilled at. I could walk down the street and stop any one of you and find out maybe that you’re a top-notch web designer, or a first-rate auto mechanic, or that you run an Alaskan fishing expedition, or any number of other possibilities that I don’t do.

Could I learn Adobe’s Photoshop and InDesign? Sure. Would that make me a web designer? Nope. Could I go to a nearby technical college and learn how to be an auto mechanic? Yes, but that wouldn’t make me a good one. And in the interest of full disclosure, I do my fishing at the local Kroger. I could certainly save some fees on those tasks by doing them myself, and so mathematically the do-it-yourselfers are correct, but that’s not really the issue when it comes down to it.

So can you invest by yourself and save some fees? Read More …

Technorati Tags: discount brokerage, How to Invest Stock, Investing Stock, Learn To Invest, Stock Market Education, What to Invest In

Royalty Income Trust

Term of the Day for Tuesday, June 22, 2010

Technorati Tags: Financial Ideas, Investing strategy, Retirement

Investing With A Purpose

Setting goals is the first step in determining which investment vehicles are right for you.

Technorati Tags: Financial Ideas, Investing strategy, Retirement

4 Retail Stocks Near All-Time Highs

4 Retail Stocks Near All-Time Highs

Technorati Tags: Financial Ideas, Investing strategy, Retirement

15 Insurance Policies You Don’t Need

Learn how to save money by saying “no” to unnecessary coverage.
1. Private Mortgage Insurance
2. Extended Warranties
3. Automobile Collision
4. Rental Car Insurance
5. Car Rental Damage Insurance
6. Flight Insurance
7. Water Line Coverage
8. Life Insurance for Children
9. Flood Insurance
10. Credit Card Insurance
11. Credit Card Loss Insurance
12. Mortgage Life Insurance
13. Unemployment Insurance
14. Disease Insurance

Technorati Tags: Financial Ideas, Investing strategy, Retirement