Archive for Investing 101

What Every Investor Should Know

| March 3, 2017 | 0 Comments

Anyone investing in the stock market should know a few basic principles to understand what they are buying into (or what their investment advisor is buying for them). These few points are the bare minimum investors should comprehend before placing any of their money at risk. Funds come in two basic types – mutual funds […]

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When Should you Hire an Investment Advisor?

| February 2, 2015 | 0 Comments

As strange as it might sound coming from an Investment Advisor, not every investor needs to hire an advisor.  Others might not need an advisor yet, but will need one eventually.  Here are some points to consider if you are trying to decide if or when you need an advisor. 1. Have you saved more […]

Filed Under: Investing 101, Planning

Fund Managers Are Not Looking Out for You

| October 14, 2014 | 0 Comments

Mutual fund managers have the job of managing their mutual funds.  They do not have the job of doing what’s best for each individual client.  While they are tasked with managing their funds to get the best gain possible within the scope of their fund’s parameters, they are often tasked with being at least 90-95% […]

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Insurance for Investments

| May 21, 2014 | 0 Comments

Most people (at least the responsible ones) can’t imagine driving a car without insurance covering it.  The same goes for home owners and a lot of renters.  Insurance is a mandatory cost for these expensive pieces of property.  Jewelry is insured.  Cell phones can be insured (if the buyer falls for the sales pitch on […]

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What is Compound Interest?

| July 31, 2013 | 0 Comments

Compound interest is interest that adds onto the principal and the previous interest earned.  Simple interest only accrues on the principal and not previous interest payments.  Compound interest grows much faster than simple interest because it is earned (or paid) on a rising balance.  The more frequent the interest is compounded, the quicker the balance grows. When […]

Protecting Your Account with a Trailing Stop Ladder

| May 20, 2013 | 0 Comments

Investors have multiple choices on how they can protect their accounts from major losses in a bear market.  One of my favorites and most often used methods is a Trailing Stop Ladder.  A trailing stop allows an investor to place a limit order that moves higher as the stock (or ETF) moves higher.  The order […]

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Limit Order vs Selling a Put Option

| March 20, 2013 | 0 Comments

A trader who thinks a stock might dip before moving higher has a variety of choices when deciding what type of order to place.  Each choice has risks.  Two of the easier-to-execute orders are a limit order and selling a put option (also known as “writing a put”).  Both of these choices allow the trader […]

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Trading on Stock Tips

| January 25, 2013 | 0 Comments

A few times per year, a client or friend calls me with a “stock tip” he or she heard from someone.  I’ve never traded on these ideas for a few reasons.  First of all, the tip is illegal if it comes from insider information.  That alone is a showstopper.  If the information is not from […]

Filed Under: Investing 101