Blog
Why do people invest in lousy companies?
Why do people invest in companies that are not financially healthy? I recently received this question from a reader, and today I'll answer that question.
A financially healthy company is one that is consistently profitable, has low debt, consistently increases shareholder value, sells a great product or service, and a number of other factors. To keep things simple, I created the 12 Rules of Simply Investing to help you determine if a company is a quali…
Don't lose 65% of your orginal investment to fees.
When it comes to investing, everyone knows you can make money from collecting dividends and from stock price appreciation. But another way to earn more is to reduce or eliminate the amount you pay in fees, in your mutual funds, index funds and ETFs. Over time fees do add up and they take away a large portion of your investment....in some cases 65% of your original investment.
All funds carry a fee, it's know as an MER (Management Expense Ratio). The MER includes the management fee…
Are these your top 5 goals for investing?
When it comes to investing what are your goals? You might say "to make money!", which seems to be the number goal for most people. But what about risk and other factors? Let's take a look at the goals of the Simply Investing approach which I hope you will adopt as your own.
Goals of Simply Investing
The goals at Simply Investing are simple:
- Help you to earn more
- Lower your risk
- Save on fees
- Help you generate income and growing income, regardless of market conditions
- Save you time
- Bonus…
Fees & Your 5 Common Questions to Investing
If you own any mutual funds, index funds or Exchange Traded Funds (ETFs) you need to understand the impact of those fees on your investments. A tiny fee of 0.08% can cost you thousands of dollars over the long-term. Even when people save and invest diligently over their entire lives in funds, they unknowingly lose thousands in fees, hence they have to continue working past the age of 65 just to get by.
What fee?
All mutual funds, index funds and ETFs carry fees, the fee is known as the Managemen…
Who pays more dividends, Apple or IBM?
This month I would like to discuss the importance of dividend yield. The dividend yield determines how much you can earn. At the end of the day our focus is more on income generation than on individual stock prices.
A dividend is money that you receive from a company, just for owning their shares. For example, if a company is paying a $1/share dividend and you own 1000 shares, you will receive $1000 for as long as you own those shares and as long as the company continues to…
Are you worried about dividend cuts?
As a result of COVID-19, dividend cuts have been prominently discussed in the news last year (2020). Based on the headlines you would think that dividend investing is dead, but the reality is much different. Keep reading to get a better understanding of how you can continue to earn more this year and in the years to come.
A dividend is money that you receive from a company, just for owning their shares. For example, if a company is paying a $1/share dividend and you own 100…
Should you have invested in GME or AMC?
This article was originally published on February 11, 2021.
By now you have probably heard about the roller coaster rise and fall of shares in Gamestop (GME) and AMC Entertainment (AMC) last month. Should you have participated in this trading action? Could you have made a lot of money in a few days? Let's take a look at what happened, and why it's best to avoid these situations.
What happened?
At the start of January shares of GME were trading at $19.95, on January 27th the shares rose to $34…
Two ways to make money with stocks
There are two ways to make money with stocks, one is based on hope the other is based on data.
The 1st way to make money
The first way to make money with stocks is to buy shares when they are priced low, and then wait for the stock price to go up. Then you hope that someday the shares will be worth more than what you paid for them.
Do you know how much your mutual funds, index funds and ETFs are costing you?
Do you know how much your mutual funds, index funds and ETFs (Exchange Traded Funds) are costing you? Over your lifetime you may unknowingly end up paying $96,000 to $3M in fees. Let me show you how to avoid paying those fees.
All funds carry a fee, it's know as an MER (Management Expense Ratio). The MER includes the management fee plus the fund's day-to-day operating expenses, employee salaries, office space, office equipment, record keeping, fund valuation costs, audit a…
Can you predict which way the stock market will go?
Will the stock market continue to rise or drop this year? Are you worried about another stock market crash? Are you concerned that your mutual funds, index funds, ETFs, or stocks will drop in value? No one can predict if the stock market will go up or down.
With COVID-19 still present and more lock-downs introduced world-wide, this only adds more uncertainty. Volatility is a part of life and a part of the stock markets. The only thing constant is change, change will occur, and no one …
