Earlier this week, I was going through my normal monthly routine of updating a spreadsheet with my net worth as of August 1st. This is a quick process that usually takes less than 30 minutes a month to do, but one that I find incredibly valuable. If you are not yet tracking your net worth, […]
Mutual funds: An introduction
One of the most common investments that people purchase is a mutual fund. So the question is, what is a mutual fund? We’ll define mutual funds, provide an example of a good mutual fund choice, and also discuss what index funds. Then we’ll summarize with some brief takeaways. Definition: What are mutual funds? A mutual […]
Brokerage Account Guide: How to choose your investing account
The first step that you need to take to begin investing, is to open an investment brokerage account. An investment brokerage account is similar to a bank account but instead of simply holding cash in the account, you are able to use the money you deposit to purchase investments. Some banks offer brokerage services in […]
Stock Buybacks and their effect on Stock Price and Value
In my last post I discussed dividends which are one method which company management can use to return value to shareholders. The other main method is what is known as stock buybacks. The official term is share repurchases, but I’ll use buybacks as that is the term most commonly used. I’ll first define stock buybacks, […]
Dividends – Why they aren’t “free money”
In this article, I introduce the concept of dividends. Dividends are often stated as a major source of investment return. In this post I’ll address: How dividends are commonly portrayed Define dividends Show an example of the reality of dividends Address how dividends can be deceiving How dividends are often portrayed (“Free Money”) Dividends are […]