Never stop learning
Dollars and Good Sense provides valuable tips and insight on how to better manage your money. We always want to see our clients grow in their knowledge of their own personal finances.
Please, don’t keep these to yourself. Share with friends, family, and co-workers. And don’t be afraid to contact us—we want to know what you think and what you want to read about next.
Play Ball: Creating a ‘Winning Portfolio’
Do you remember your high school days of playing money football? A small coin was the ball and each person had one player, a larger coin. The player would be hit with a fudge stick, to score on the opponent. That single player was defender, midfielder and forward. Some of us use one player in our investment strategy, for example cash or stocks, much the way we play in money football, and expect it to play multiple roles in our portfolios. However, your investments will work better for you if, like the real game of football, you have several players positioned in their right role.
Winning the Financial World Cup
“Goal!” You watch the game just for it, waiting on the edge of your seat. You pray that your defence is solid and that your goalkeeper can block all the opposing strikes. You do not want players simply running around for 90 minutes, no goals scored. Instead you want your team scoring goal after goal and ultimately moving on to claim the World Cup title.
Off-field, do you also want the investments in your portfolio to lead you to achieve your ultimate goal? Who are the “players” you will need to score goal after goal?
An Emergency Fund: Your Safety Net
If you lost your major source of income today, how long could you finance all of your expenses before being forced into debt? If a great investment opportunity became available now, would you be able to finance it while avoiding debt?
Life’s exciting journey shifts between opportunities and challenges, whose timing is outside of our control, and which require immediate cash. Many persons, when faced with similar circumstances, choose to withdraw funds from an investment or retirement account. This is not the best option; an emergency fund provides a better solution. An emergency fund is money reserved for life’s unexpected opportunities and/or mishaps.
Lessons From the World’s Best Investors
Would you rather learn from the world’s most experienced and knowledgeable investors or would you rather make all the successes and failures on your own? Here are quotes from investors who have been there, done that, and may have even written a book about it. There are also some great lessons to be learnt and takeaways for you, whether you are a big investor or small investor. First, test your knowledge of the famous investment quotes and important takeaways.