ROBERT J.R. GRAHAM: Mutual fund

Showing posts with label Mutual fund. Show all posts

Friday, 22 August 2014

ETFs Should Be In Your Portfolio

Investment Advice: Exchange Traded Funds As Part Of Your Investment Portfolio

by: Kathryn Dawson

‘What should I invest in?’ This is the most pertinent question for most individuals striving to formulate a financial plan. Zillions of books and millions of web pages are not sufficient to answer this question. This is because investment advice is not universal and one size does not fit all. It changes as per the unique situation and specific requirements of every individual. Thus, it is essential to consult an investment expert personally to devise a customised financial plan.

For their investment and retirement plans, many people do not want an actively managed portfolio but would rather invest in the lower cost option of passive funds, which will just track the selected market index. There are currently two main options available for passive investment: tracker funds or ETFs.

Investment Advice: Understanding ETFs

Seek investment advice on ETFs to understand how they could form an important role in your portfolio. According toCNN financial experts, ETFs are “invented to combine the simplicity and low costs of index mutual funds with the flexibility of individual stocks”.

The main advantages of investing in ETFs are:

• Ability to track a wide range of market indexes, like the FTSE, S&P 500 etc.

• Diversified, global portfolio can be constructed relatively simply

• Costs can be low, but smaller investors should keep an eye on total costs of investment

• ETFs can be traded like shares

Why Investment Advice is Essential for Trading ETFs?

Investment advice from your financial advisor will help you build a well diversified portfolio that achieves your long term objectives. ETFs could form an important part of this portfolio as by buying a limited number of ETFs you could have a global, well diversified range of investments that track key market indices.

Investment Advice on Buying an ETF

Do consult with your financial advisor, as they will be able to recommend an approach that fits in with your retirement and investment goals. They will consider which range of ETFs will fit in with your overall portfolio of investments, so that it is well diversified, suitable for the level of risk you find acceptable. Your advisor will also consider the total cost of investment and the tax implications of your investments.

Here are some tips for choosing an ETF:

• There are a large number of ETFs, across a broad range of markets available. Be clear about your objectives and do your research

• Choose ETFs with proven performance records or those listed on broad market indexes.

• Try to diversify your portfolio by investing in four or five ETFs. Diversification is a smart investment option, as it diffuses the amount of risk associated with a particular product.

Keeping it simple is the best strategy for smart ETF investments. Although ETFs are not very complicated products, it is prudent to consult with a financial advisor London. They help to blend ETFs with other investment products to create a comprehensive portfolio. You can also seek other financial services, such as inheritance tax advice, SIPP investment and retirement planning, from an expert financial advisor.

Source

Investing in Leveraged ETFs – Running With Scissors

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Diversifying Your Portfolio: The $50,000 Growth Strategy

Are Inverse ETFs Always Bad?

ETF Securities Selected as Sole Provider of Precious Metal ETFs for New Schwab ETF OneSource™ Offering

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The post ETFs Should Be In Your Portfolio appeared first on Robert JR Graham.

Friday, 15 August 2014

Lets Get Rich Together

by: Brent Wilkinson

There is plenty to go around, lets spread it out amongst us

Are you like me and sick of all these financial experts telling you that to get rich you need to live below your means? That sucks! I can’t even live up to my means. So what does this mean? I guess it means to me that I will never be rich. Well guess what, I have found out how to get rich.

I read all the advice columns on msn.com, yahoo.com, I have just started to read google stuff, but I can guess what they have to say…live below your means. Let me sum up what every standard become rich article says.

1. Live below your means (spend less than you make)

2. Max out your 401 K, or pension plan at work

3. Contribute to a Roth IRA

4. Create a budget and stick to it

5. Start early (oops too late for me I guess)

6. Take Automatic deductions for savings or long term investments

7. Invest now and don’t touch it until you are ready to retire

8. Invest in Mutual Funds

9. Spread your investments evenly over High, Medium, and Low risk stocks

10. Be Patient

BORING!!!!!!!!!!!!!!!!!!!!!

For me I guess that advice is to late, to rigid, and to patient. I want to be rich now. I am in my early 30’s, I put in my time, and I am ready to retire now (that would be sarcastic). I still have lots of energy, I want to see the world, and I don’t want to watch the world go buy through my little window on the third floor (that is the serious statement).

So I am changing, and here is how:

Lets first decide what rich is. I am not talking Bill Gates rich. I don’t want to have to work that hard. It would be nice to afford anything…but I don’t want that, I just want to be wealthy. Robert Kiyosaki defined wealthy as how long you can live in your present condition without working. I define it as not having to go into work. That is all I ask. It is not that I am lazy. I am willing to work for what I want, I just have better things to do than to work for other people.

So how do we do it?

1. DON’T WORK. At least don’t work for someone else. It is ok to have a job, we don’t want you to quit, but who are you working for. Are you working for your boss or for you? Work for yourself. The only one who is important is you. That sounds harsh but it is true. You can’t make anyone happy except for yourself. If you are happy then the people around you will be happy. Try it next time you will see. Look at the person next to you. Are they happy or grumpy? How does their mood make you feel? Work for yourself; make yourself happy first, then you can affect others to be happy themselves.

2. Do what you love. It may sound like you can’t make money this way, but that is the next step. Bill Gates, Oprah, Donald Trump, none of them work for money. They all simply like what they are doing, and in doing so they have become rich. I am not saying go out and play golf all day, that won’t make you rich unless you are Tiger Woods. But sit down (without the TV ) and concentrate, meditate, contemplate, whatevertate, and it will come to you. It may seem a little strange but coming soon is another e-book that we are writing that will describe that process. Whatever the case you will soon come up with a solution. Something that you like, that will make you money. For me it is teaching. Of course teachers do not make a lot of money, at least not enough to live on the beach somewhere, but with some creativity, I have found ways that will make me money. The site that this e-book is on is one way. Do what you love.

3. DO SOMETHING NOW. If swearing is offensive to you don’t click on the link. But they are right. Get off your butt and quit contemplating on what could be and do something! Even if it is the wrong thing you are getting ahead. Edison said after inventing the light bulb that he didn’t really make any mistakes, he just found 10,000 ways not to do it. There really is not much else to say. DO SOMETHING NOW!

4. Don’t be afraid to fail. This is the hardest one and goes along with #3. Don’t be afraid to make some mistakes, they will happen. Very rarely does anyone do everything right the first time and become successful. The ones that become successful are the ones who have made mistakes learned from them and pushed on. Usually success is right behind the last mistake. Push on and keep going. It will happen. And to help you out, you have to have the mentality that you are going to do it. You have to know like you know like you know that you are going to be rich and wealthy. It will happen.

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