The great investor Warren Buffet won a famous bet against a Hedge Fund manager that over a ten year period he would have better returns using low cost mutual funds versus a basket of higher cost hedge funds. The founder of Vanguard, Jack Bogel, built one of the most successful companies, ever, on the ideaContinue reading “Keep Fees Low and Returns will be High!”
Tag Archives: stocks
Invest in the U.S.
The longterm advantages of the U.S. make it the best bet in the world. It has advantages that have made it and will continue to make it the most powerful economy on Earth. It is large and has favorable geography and climate. It has a large educated population, good demographics, and abundant natural resources. Finally,Continue reading “Invest in the U.S.”
What Rate of Return Should You Plan On?
As you sit down and start working through long term savings calculators, what should you use as a long-term rate of return? Every percentage point makes a pretty big difference over a thirty to forty year time period. The short answer up front is you should use 8% if you have a portfolio primarily madeContinue reading “What Rate of Return Should You Plan On?”
Always Pay Attention to Your Investments!
As a small investor you should always be focused on the long-term. You should work on developing your patience and discipline so that you are not panicking at every bit of bad news that comes out and therefore making emotional decisions that are probably going to hurt you more than help you. Rather, trust thatContinue reading “Always Pay Attention to Your Investments!”
The Table that Opened My Eyes to Investing!
When I was 22 and about to graduate from college I attended a seminar about where to place investment money. A table was shown early in the presentation that I can say literally changed my life. It has been the defining philosophy of my approach to money. The table was made up of five columns. The first column wasContinue reading “The Table that Opened My Eyes to Investing!”
Understand Demographics as an Investor
While I absolutely love reading fiction as a primary source of entertainment, I recently have started reading Peter Zeihan’s books. He is a political scientist and demographer and has made and continues to make very bold predictions about the global future. I’m a bit obsessed with everything he has to say as he has been proven correctContinue reading “Understand Demographics as an Investor”
Low Fee Index Funds will Beat Hedge Funds Over the Long-term!
During an interview on Bloomberg radio this morning, the person being interviewed (whose name I didn’t get) made a statement that I have written about before in a previous post. He very clearly said that if a person is patient and willing to wait 10-15 years then the Vanguard S&P Index Fund ETF (VOO) andContinue reading “Low Fee Index Funds will Beat Hedge Funds Over the Long-term!”
A New Way to Think of a Purchase
I just watched a video on Youtube from the Erin Talks Money channel that I wanted to highlight. She brought up an alternative way that new investors should think about purchases. Overall, it is about focusing on the potential tradeoff between a purchase made today versus what that money, if invested instead, could turn intoContinue reading “A New Way to Think of a Purchase”
Earnings per Share (EPS) as a Tool
When you are new to investing or trying to do a quick evaluation of a stock that you are not really familiar with looking at the companies Earnings per Share (EPS) is good to review. Bluntly, it will tell you right away if the company is making money or not. Investopedia defines EPS as theContinue reading “Earnings per Share (EPS) as a Tool”
Simple and Quick Mutual Fund Evaluator
There are thousands of available mutual funds for investors. It can be overwhelming trying to find the best ones for us. Here are my tips that I’ve learned over the years to keep it simple. First, the number of available funds will be cut down significantly if you have a job due to what isContinue reading “Simple and Quick Mutual Fund Evaluator”
Patient and Disciplined Saving 