INVEST-igation

TV Buff · TOP Guru

RE: INVEST-igation

Quixote · Guru

TV Buff wrote:

Quixote wrote:

Here are some thoughts I'll throw out for information and discussion

In my opinion real estate is a bit overhyped. Yes it is true that prices generally increase year over year but there are so many hassles and hidden costs that will eat at your time and money. - My friend is looking at real estate investment in the form of rental properties. I think it's a good investment. What do you think?
Renting out property is a great idea - my only suggestion is to make the mortgage payments as small as possible.   You don't want to be stuck with an expensive place that is hard to rent out.
I believe that nothing beats a well picked stock - the potential returns are amazing and buying and selling stocks online is so simple these days. The key to picking stocks is research and discipline. Chances are you will lose money before you make money so be prepared for the learning experience. - I'm with you on this one, but I want to educate myself on the subject and I also want to start small. What do you suggest? Do you invest yourself? Have you made/lost much?
Yes I am an active investor and have lost and made significant amounts.   I would recommend that you create a 'mock' portfolio on www.globeinvestor.com or www.finance.yahoo.com and record some stocks as if you had purchased and sold them.   The website will calculate your portfolio automatically. Over time you can monitor the performance and get a feel of what is like to 'own' a stock without risking any money. Once you are comfortable and find some good stocks, start investing small amounts.
RRSPs are very valuable and everyone should use them as a tax shelter and also for retirement planning.   The younger you invest in them, the better.   Stick with mutual funds with a proven long term record.   - Done!
The Wealthy Barber touches on this point but it is very important and very effective - pay yourself first.   This means put aside money into your RRSP or other investments direct from the source.   The best example of this is to arrange for your employer to deposit money from your paycheque directly to your RRSP.   Setting aside 10% or more for this purpose is ideal. - I just got The Wealthy Barber today. I'm reading that next.
Diversify your portfolio.   Do not put everything in stocks. Do not put everything in RRSP.   Mix it up to minimize exposure. Done!
Be wary of trends. By the time you hear of a hot investment it may be too late to get in unless your source is highly qualified.
Borrowing money to invest is an option that is typically frowned upon but I think that, if executed properly, this is a great way to get started with investing if you do not have a lot of capital to start with. I agree wholeheartedly.
The other benefit is that interest is partly tax deductible when the money is used for investing purposes.
Watch RobTV and visit web sites like www.globeinvestor.com to get a feel for the investment jargon and options available.
If you are going to get a financial advisor, make sure you find someone with a lot of successful experience, who will listen to you, responds quickly and provides sound advice.
Great tips, Quixote. Thanks a lot!!!

TV Buff · TOP Guru

Quixote wrote:

Here are some thoughts I'll throw out for information and discussion

In my opinion real estate is a bit overhyped. Yes it is true that prices generally increase year over year but there are so many hassles and hidden costs that will eat at your time and money. - My friend is looking at real estate investment in the form of rental properties. I think it's a good investment. What do you think?
I believe that nothing beats a well picked stock - the potential returns are amazing and buying and selling stocks online is so simple these days. The key to picking stocks is research and discipline. Chances are you will lose money before you make money so be prepared for the learning experience. - I'm with you on this one, but I want to educate myself on the subject and I also want to start small. What do you suggest? Do you invest yourself? Have you made/lost much?
RRSPs are very valuable and everyone should use them as a tax shelter and also for retirement planning.   The younger you invest in them, the better.   Stick with mutual funds with a proven long term record.   - Done!
The Wealthy Barber touches on this point but it is very important and very effective - pay yourself first.   This means put aside money into your RRSP or other investments direct from the source.   The best example of this is to arrange for your employer to deposit money from your paycheque directly to your RRSP.   Setting aside 10% or more for this purpose is ideal. - I just got The Wealthy Barber today. I'm reading that next.
Diversify your portfolio.   Do not put everything in stocks. Do not put everything in RRSP.   Mix it up to minimize exposure. Done!
Be wary of trends. By the time you hear of a hot investment it may be too late to get in unless your source is highly qualified.
Borrowing money to invest is an option that is typically frowned upon but I think that, if executed properly, this is a great way to get started with investing if you do not have a lot of capital to start with. I agree wholeheartedly.
Watch RobTV and visit web sites like www.globeinvestor.com to get a feel for the investment jargon and options available.
If you are going to get a financial advisor, make sure you find someone with a lot of successful experience, who will listen to you, responds quickly and provides sound advice.

Great tips, Quixote. Thanks a lot!!!

Quixote · Guru

Here are some thoughts I'll throw out for information and discussion

In my opinion real estate is a bit overhyped. Yes it is true that prices generally increase year over year but there are so many hassles and hidden costs that will eat at your time and money.
I believe that nothing beats a well picked stock - the potential returns are amazing and buying and selling stocks online is so simple these days. The key to picking stocks is research and discipline. Chances are you will lose money before you make money so be prepared for the learning experience.
RRSPs are very valuable and everyone should use them as a tax shelter and also for retirement planning. The younger you invest in them, the better. Stick with mutual funds with a proven long term record.
The Wealthy Barber touches on this point but it is very important and very effective - pay yourself first. This means put aside money into your RRSP or other investments direct from the source. The best example of this is to arrange for your employer to deposit money from your paycheque directly to your RRSP. Setting aside 10% or more for this purpose is ideal.
Diversify your portfolio. Do not put everything in stocks. Do not put everything in RRSP. Mix it up to minimize exposure.
Be wary of trends. By the time you hear of a hot investment it may be too late to get in unless your source is highly qualified.
Borrowing money to invest is an option that is typically frowned upon but I think that, if executed properly, this is a great way to get started with investing if you do not have a lot of capital to start with.
Watch RobTV and visit web sites like www.globeinvestor.com to get a feel for the investment jargon and options available.
If you are going to get a financial advisor, make sure you find someone with a lot of successful experience, who will listen to you, responds quickly and provides sound advice.

PRINCESSA · TOP Guru

@ x -

did u just call me a "Porky"?

Not nice. BTW for the record I'm far from being a girl that eats a lot, I like to order a lot of food, but I barely pick on it, reason u get mad at me. LOL Be nice!

X4v13r · Comandante

PRINCESSA wrote:

@ X - baby....well try, try harder!

well if u stopped eating all my food, I wouldn't have to buy so much

okay, see u later

~X

PRINCESSA · TOP Guru

@ X -

baby....well try, try harder!

X4v13r · Comandante

well after all the bills, food, and everything else i have no money left over to invest :(

~X

Motown Junkie · TOP Guru

Marky Mark wrote:

I've always wanted to get into trading and investing but then I start reading up on it, and even just this thread makes me all and I want to

Me too!!!

Dogo meant to write the word "lose" but he wrote "loose". I think he's thinking of you.

Marky Mark · Foro Master

I've always wanted to get into trading and investing but then I start reading up on it, and even just this thread makes me all yawn

and I want to

TV Buff · TOP Guru

Guadalupana wrote:
Why don't you share with us some of the eye opening points that you found in the book?

The one that really scared me was the liabilities vs. assets and how wealthy are you question. Consider how much you and hubby have saved/invested and how much you spend monthly according to your lifestyle. Don't take into consideration your jobs. If you subtract your spending from your savings, how much money do you have left? How long could you last, keeping the same lifestyle, if you had no money coming in?
In my case, I wouldn't last a couple of months before I run out of money. So if I lose my job tomorrow, I'm royally screwed.

The book has been eye-opening because hubby and I are the coyol quebrado, coyol comido type; meaning that we work to pay bills and that's it. And sometimes, like most people, we spend more than what we make. We don't have much leftover, if at all. That's why I feel there's got to be another way of seeing money coming in without having to sacrifice our lifestyles.

The other really scary thing was that we, women, usually leave the money-making decisions to the husband. If we were husbandless tomorrow, most women would suffer a hard blow to their finances. Most women stay home or have little-income-producing careers, while their husbands thrive. One of the statistics mentioned that a woman who loses her husband (divorce/death) drops her standard of living by 73%. Those are scary figures. It gets harder if the woman is left with the children. So whatever the case, whether we're married or not, women MUST strive to become financially independent. You don't want to be with the man because you NEED TO BE, but because you want to.

God · Foro Master

As Quixote said depends of your Goal. In my case I'm very concern about my velcro shoes days and I'm my company hsa a pension plan where they match at 100% my contributions. I also have some RRSP's and RESP.

Guadalupana · Foro Master

Buffy- IMHO putting aside money monthly is what works for me. I'm not a big fan of stocks, mainly because i have very little knowledge on them. So i basically just depend of interest generating savings options. And the RRSP's.

But i've also heard that if you find yourself in a great opportunity to pick up some real estate, do it. I think i'd do the real estate thing, if i found the right one, for the right amount of $$$.

Have you read "THE WEALTHY BARBER" it's probably the same idea as the one you're reading now.

Why don't you share with us some of the eye opening points that you found in the book?

TV Buff · TOP Guru

So... I'm reading this book called Rich Woman, a book on investing for women. What an eye-opener! I want to start investing! I want to star getting my money to work for me and not me working for the money... or whatever... you know what I mean.
Has any of you started investing aggressively? Are stocks better? Is real estate the way to go? I don't have much to invest, but I really want to start. Something happened that made me realize that I need to be financially independent 'cause if not, then I'm fu-cked! Big time! Is there training one can take to learn how to invest? I need opinions, people!

Dogo · Comandante

I would say you can afford to risk a bit more while your young
Maybe not in stocks if you're not comfortable with it, but maybe putting SOME of your money in a mutual fund that takes some chances, or a blue chip Co. is probably the thing to try if you're still in your 20's/30's to see if you can actually make a substancial difference

Getting a SAFE (what are GICs paying nowadays, 3%?) in your early saving years (when you should probably be more daring) doesn't seem to daring to me

I think the return you get on GICs is safe for people in their 50s, who can't really afford to loose what they managed to save up. The return is awful though

IMO

PRINCESSA · TOP Guru

I have RRSP, GIC's, & a savings acct. The simple stuff that i kinda understand & feel safe with it.

My brother signed me up to something where he/I picked company here & the states, but not sure what it's called or how it's goin. I just follow & hope for the best, since he's pretty good at investing his money, I trust him.

Quixote · Guru

It really depends what your goal is.

If your goal is retirement then RRSP is the way to go.

For quick flips you have to involve stocks. You really need to do your homework with stocks and have firm discipline.

Anything else you should consider a mix of different investments.

Guadalupana · Foro Master

I'm a conservative investor. I don't know much about the stock market so i don't bother with them.
I'm more into my RRSPs. And just putting money aside in a interest generating savings account.

McOSIRIS · Comandante

I have no idea how to manage my money... I'm good at spending it, but terribly bad at saving or investing....

The only good investment I've made lately was $20 towards a short film that was never released...

luna chiquitita · TOP Guru

I've played it as safe as the next guy (in this case, you). I have my money in some GICs, money market funds and mutual funds.

I think the best way to invest your money is personal choice. A few friends of mine have their money out there in the live stock market and watch the market every day. I, personally, don't have time for that and I value my sanity too much. For me, GICs and money market funds are the most convenient and safest way to invest. I put in the money, adjust certain things with the bank and watch it grow. The growth isn't quite what I would like it to be but it's safe and I'm ok with that ... for now.

When I worked for a small public company, we were offered stock options which matured after one year. They were worth $1.25 each BUT when I left the company, the company was doing a little better and their stock had gone up. SO, I did what any greedy money hungry person would do, I SOLD at $4.00 which at the end of the day wasn't too bad. I knew it wasn't going to grow anymore than that and it was just the right time to go.

Maybe in a couple of more years I'll actually buy some stocks and be glued to my screen everyday. OOOH... I should buy some Foro stock!

DON CHELO · Guru

I HAVE INVESTED IN GIC'S BUT SHORT TERM. I HATE HAVING MY MONEY LOCKED UP FOR TOO LONG. STOCK MARKET IS AWESOME AS LONG AS U HAVE A GOOD INVESTMENT ADVISOR. I LOST A LOT OF MONEY BUT ALSO WON COUPLE OF THOUSANDS. AIR CANADA STOCKS MADE ME SOME GOOD MONEY. I STILL CHOOSE TO INVEST IN REAL ESTATE. BUY, FIX AND SELL. CAN'T GO WRONG!!!

Daeveed · Foro Master

So let's talk about investments.

How do you guys play with your money? Have you ever invested your money? how? Did you like it?

What do you think it's the best way to invest your money and why??

I have purchased different kinds of GICs, some in US currency, and some in CAD, I guess that's a pretty safe way to start investing, if you can't take the "excitement" of stocks. I have not done anything in the stock market, because i feel I don't know enough about it yet, has anybody done it? how was the experience?

Do you invest in other ways? how do you like it?

-- Edited by Daeveed at 09:30, 2006-10-18