Video – Risk and Reward in Investing

Month: June 2014

June 30, 2014  |  

Video – Risk and Reward in Investing

As a follow-up to last week’s post on risk and return, today we present a brief, but informative video on investing fundamentals.  This lesson reminds us where to focus our efforts for maximum impact on long-term portfolio performance. The temptation when starting out as an investor is to find that “One Hot Stock”, “The Next Big IPO”, or to convince ourselves that we can “Predict The Future” better than the other billion (or so) market participants competing for the same return.  The truth is;  Investing is one of those activities which as […]

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June 27, 2014  |  

Investing Fundamentals – Risk and Return

Risk and Return Tilting your portfolio to gain exposure to stocks with higher expected returns is a sound investment strategy. Key Takeaways In theory, well-established large stocks and high-flying growth stocks would seem to deliver superior returns to investors. Not so. Research shows that over time small stocks and value stocks outperform large cap stocks and growth stocks. For a higher expected return, you need to bear more calculated risk–that means intentionally tilting your portfolio […]

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June 17, 2014  |  

Teaching Children Financial Literacy

Kids need to learn the value of a hard-earned dollar, but they should also learn how to save, spend wisely, be charitable, pay taxes, invest and eventually become financially stable.  The earlier they start on this path, the better off they will be.  Here are a few recommended money lessons for children as they age. Ages 3-5: Practice Waiting.  The simple lesson of delayed gratification will benefit them for the rest of their lives.  Tell […]

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June 10, 2014  |  

Thoughts on Raising Financially Responsible Children

Teaching financial responsibility to children is a great way to provide them with knowledge and experience that will help them grow into financially stable adults.  Our first lessons about money come from our parents and they set the frame-work for the critical lessons and behaviors to promote healthy money attitudes and habits in children. Lessons about financial responsibility must begin in the home.  Most children learn about personal finance by “money see, money do.”  The […]

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June 3, 2014  |  

Market correction call? Don’t be fooled again

Key Takeaways Research shows that even professional investors can’t reliably predict the market. The good news is that successful long-term investors don’t need to make heroic market calls or engage in frequent trading– something the financial media doesn’t want you to know. Select an asset allocation that’s appropriate for your personal financial goals. Implement that allocation with low-cost asset class investment solutions, manage your taxes and rebalance your portfolio to the target allocation. A few mornings ago a […]