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minimize investing in 457 plans

Investing Tip #114: Minimize Investing in 457 Plans

Though 457 Plans are similar to 403(k) and 403(b) plans, the contributions under 457 plans get mixed up with the organization’s fund. These are not kept separate. If the company faces a  financial crunch, your retirement fund would be at risk. Protect yourself and minimize investing in 457 … Keep Reading...

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complex investment products

Investing Tip #104: Avoid Complex Investment Products

Many companies and funds come out with innovative financial products which are complex to understand. Analyze them meticulously. Before you invest in anything, you need to understand the risk and reward involved. If you want to learn more check out these resources: The Riskiest Investments You Can Make How to Keep Track of Your Portfolio, [...]

Financial Advisor for Millennials

How To Find and Vet A Financial Advisor for Millennials

Millennials are just starting to consider hiring financial advisors en mass, and many different types of financial advisory firms are starting to market specifically to young adults.  Some of these are online services like we’ve reviewed here: WiseBanyan and iQuantifi.  Others are more traditional firms, like Sophia Bera’s Gen Y Financial Planning, but even these firms mix [...]

no load mutual funds

Investing Tip #103: Look for No Load Mutual Funds

You don’t have to pay a front-end or back-end load when purchasing or redeeming the mutual funds issued under the SEC rule 12b-1.  The mutual fund charges only an annual marketing or distribution fee as an operational expense @ 0.25-1% of the current value of the investment. To get the most out of your investments [...]

investing advertisements

Investing Tip #102: Don’t Invest Based on Big Advertisements

Many companies promote IPOs or new funds through aggressive marketing tactics. Always do your own research before buying any financial products. Brokers and agents generally push higher-commission products. If you want to learn more check out these resources: 4 Easy Steps to Grow Your Money How to Use SWOT Analysis for Your Investments

keep your credit score high

Investing Tip #101: Keep Your Credit Score High

The banks check your credit score while approving you a personal, car or home loan or a new credit card. Your credit rating scores are maintained and updated by Credit Information Companies. Your score depends on your credit history showing timely payment of loans, credit card dues, telephone bills etc. Late payments and defaults drag [...]

warren buffett

Warren Buffett’s Top 5 Tips For Investing

Warren Buffett is one of the best investors in history, and is widely regarded as the “Oracle of Omaha”.  Buffett is a value investor at heart, but he also shares a lot of other insights during shareholder meetings and in his annual letter to shareholders.  As such, it is pretty easy to understand Warren Buffett’s [...]

good corporate governance

Investing Tip #100: Invest only in Companies with Good Corporate Governance

Look for companies with a reputation of high ethical business conduct. A good corporate governance policy safeguards stockholders and stakeholders interest. If companies are well governed, they will usually outperform other companies. Poor corporate governance weakens a company’s potential and at worst can pave the way for financial difficulties and even fraud. You should see [...]

Finance Tips

4 Finance Tips I Wish I Knew at 18

Man, sometimes don’t you wish you could go back in time and change something in your life – even your financial life?  Sometimes I wish I could go back to that time right after high school graduation and re-think some of the financial decisions I made.  While none of them have been detrimental to my [...]

invest in efficient companies

Investing Tip #99: Buy a Company that Uses Resources Efficiently

Check how efficiently the management is using its financial resources. This is reflected in Return on Equity and Return on Capital. They measure how efficiently a company uses its capital as well as reinvested earnings to generate earnings. Invest in efficient companies. If you want to learn more check out these resources: Beyond Stock: Creative Ways [...]

Married With Student Loans

Married With Student Loan Debt: What Each Spouse Needs To Know

The average age for Americans to get married is 27 years old.  At the same time, there are approximately 37 million people in the United States with outstanding student loans – and that number continues to grow.  According to recent studies, that breaks down to the following: Under 30: 14 million student loan borrowers 31-40: [...]

low price earnings growth ratio

Investing Tip #98: Look for Low Price Earnings Growth Ratio

Price Earnings Growth ratio is the P/E ratio divided by the company’s growth rate. Stocks that have a lower P/E, but high growth rate, will have lower PEG. This ratio indicates how low-priced the stock is in relation to its earnings growth. Lower PEG means the stock is undervalued. Pick an undervalued stock with PEG [...]

business

Get Your Business Off The Ground: 4 Tips to Help

You just graduated from college and got your first 9-5 job. Only something doesn’t feel quite right. You feel like you were born to be an entrepreneur and not an employee. In your spare time you start working on your own business. You’ve put your blood, sweat, and tears into this project only you’re not [...]

financial preparations for college

5 Financial Preparations to Make for College

It’s that time again. School is right around the corner. And if you haven’t started making financial preparations, it’s not too late. It’s time to tie up those loose ends and make sure that your next year of college is your best. By getting your ducks in a row now you can stress less about [...]

save on tax

Investing Tip #97: Saving on Tax is not the Main Objective

Some people invest just to save on taxes and don’t look beyond that. You should save tax but also invest for growth and better return on your capital. Look at the post tax rate of return. This will meet your objective of achieving higher return. If you want to learn more check out these resources: [...]

Jeff Gawronski

From College Dorm Room Idea To 6 Million Dollar Company

Today I have the pleasure of introducing Jeff Gawronski, the Founder and CEO of DormCo.com.  Jeff has such an interesting story about starting a business in college, setting it aside for a few years, and then making it super successful after graduation. Jeff graduated from Xavier University in 2001 and actually started working in pharmaceutical sales with [...]

volatile

Investing Tip #96: Keep Away When the Market is Volatile

When the market is volatile, the price of shares fluctuate widely. It is difficult to ascertain the right price of a stock in a volatile market. It is unsafe to either buy or sell during this period. Wait and let the market stabilize. Volatility generally remains for a short period of time. If you want to [...]

avoid derivatives

Investing Tip #95: Avoid Derivatives At First

If you are a new comer, don’t start with derivatives such as futures and options. Derivatives are highly speculative in nature. They are very risky and you may lose your capital fast. You may think of venture in these securities after you gain sufficient experience in investing. If you want to learn more check out [...]

get started investing

Investing Tip #94: Get Started

When starting to invest, keep the portfolio small and simple. Only invest in two or three good stocks and funds and some cash equivalents. Expand it slowly and steady with your learning. The hardest part is getting started. Once you start investing you can figure everything out as you go. If you want to learn [...]

freshmen orientation

Don’t Do These 3 Things When Signing Up For College Classes

It’s almost that time of the year again!  Where did summer go?  It’s the time when students start signing up for their fall classes.  It’s when freshman start their orientations.  I know my cousin just got back from his freshman orientation, and he was very excited to meet his roommate and get going in the [...]

good investment strategy

Investment Tip #93: Develop a Good Investment Strategy

Many different types of strategies have been suggested by great investors. These strategies have different sets of criteria to choose stocks for different categories of investors. Study them and pick up the strategies based on your attitude, risk averseness and financial target. By doing your research you’ll be able to develop a good investment strategy [...]