Last week a reader asked if closing his 401k made sense in light of the sharply declining stock prices. The short answer is no, but a commenter wondered if this was always true.
Playing a little Devil’s Advocate–and someone asked me about this–why do we have to stick it out? What if the [...]
With a presidential election days away, turmoil in the markets, and the government set to spend nearly a trillion of our dollars “fixing” a mess the government created—investors are understandably worried, even afraid.
Recently, one worried reader asked the following:
It’s October 11, 2008. A time of recession, bailouts, economic collapse, and massive government debt. [...]
Many financial advisers emphasize the importance of building a large nest egg. While a large nest egg is a great idea, this strategy can make people focus on the future at the expense of the present.
That’s a trade off we’re not willing to make.
Many people view their retirement balances as the solution to their situation–working [...]
Bull market. Recession. Scandal. The latest economic trend.
The financial media is built around the idea that you can successfully time the market. The hundreds of prognosticators more than happy to tell you (and everyone else) what to buy and sell and when to do it.
But there’s a problem with this premise. The ideal time to [...]
Ben Stein’s latest book offers a different, destructive take on one’s personal finances. How to Ruin Your Financial Life contains over fifty popular ways people sabotage their financial lives.
With each lesson taking no more than a couple of minutes, the book is a quick read. It’s also a funny book; Ben’s trademarked dry humor abounds, [...]
Have you heard that advertising campaign about people almost helping their neighbors? It’s a powerful message. Sometimes we think about doing good, but we fail to follow through.
The thought is either pushed aside or we fool ourselves into thinking that it’s the thought that counts. We’ll just do that later.
With investing, like doing good, the [...]
Q: I’ve invested in my 401k for 11 years now and have experienced many ups and downs, but I didn’t do much research when I started. What’s the best way to invest for retirement?
A: You’re right to step back and start anew with a more methodical, researched approach. I’d recommend you read a good investing [...]
Have you ever wondered how to get rich investing in the stock market?
Would you like to know how the most successful investors made their fortunes?
Are you confident you can accomplish anything you set your mind to?
If you answered yes to all of these questions, relax, you’re normal.
Unfortunately, you’re also probably on the path to financial [...]
Last time we talked about stock ownership and how it’s different from gambling, but that risk still remains.
In particular, the risk that your companies may go out of business, leaving you with stock worth little more than used lotto tickets.
This is a very real risk. Fortunately there is a reasonably safe solution. But first, lets [...]
When I hear this question, occasionally I am tempted to respond ‘what is gambling’?
This isn’t just a flippant response—it is that—but it is also useful for clarification.
One definition of gambling is the attempt to win against overwhelming odds, essentially hoping that you’ll receive an over-sized pay-out.
Of course, gambling comes in a variety of forms from [...]
