Archive

Posts Tagged ‘Investing’

New Investment System V1.0 – Part 1

August 24th, 2010

After reading about 25 books on investing, trading and automated trading, I finally came up with an investment system. Hopefully it will help crystallize your own investment philosophy.

Although there is an unlimited amount of information available about investing, it is a real challenge to find the good stuff. What is the good stuff, anyway? I think “good” information about investing (and in general) has the following characteristics: Read more…

Automated Trading, Investing, Money, Success , , , , , , , , , ,

The True Cost of a Car

August 22nd, 2010

Like most things in life, we usually make snap decisions about buying a car. We go to a dealership to “look at cars”, and two hours later we are excited to discover we are driving our shiny new car home. Has this happened to you? It has to me.

Unfortunately, this is the worst possible way to buy a car. $250 per month may sound affordable, but nothing could be further from the truth. $250 per month does not come close to the cost of owning and using a car.

Read more…

Dreams Come True, Investing, Money, Success , , , , , , , , , ,

Are Hedge Funds Buying Gold?

August 20th, 2010

After reading this article about Hedge Funds Buying Gold, I remembered so many of the reasons that it is such a great investment. I have posted about gold numerous times in the past. Many individuals think that gold is overvalued because it has quadrupled in the last 10 years. But if you consider many different metrics, it is actually undervalued.

Gold Price 2000 - 2010

What kind of metrics would you use to figure out how accurately gold is valued? I think the best one is its ratio to the money supply. There is a relatively fixed supply of gold. When governments (like the U.S.) start printing money at a furious pace, then the price of gold is going to rise. Since gold is priced in dollars, more dollars naturally makes the price of gold rise.

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Great Books, Investing, Money, Success , , , , , , ,

A Basic Strategy for Successful Investors: Managing Risk

August 17th, 2010

As Social Security begins to collapse and the millions of baby boomers begin to retire, many will wonder where all the money went. It was only last year when would-be retirees lamented,

“My portfolio is down 50%, so I can’t retire. I don’t even open up those statements anymore”

Dow 2006 - 2010

Did you see these people on the news? I remember them clearly. But now that the market has recovered, they are long forgotten. And the lesson was not learned. Most people have their entire retirement account invested in mutual funds. As soon as the market goes down again they will be in the same unenviable position.

Read more…

Investing, Money, Success , , , , , , , ,

New Cool Stocks Website: Kapitall

August 13th, 2010

I just checked out Kapitall (with 2 l’s) and was really surprised to find so many new and fresh ideas. After my experience with Cooliris, I thought how wonderful it would be to find new ways of displaying the same old, boring stock data. And, just like that, a few days later I found out about Kapitall!

The Kapitall Desktop

As I mentioned before, I think that computers have come a long way in the last 30 years, but the way we interact with them has not changed much since the introduction of the mouse. And, looking at stock charts hasn’t changed either, except that they have gotten more complicated and less readable.

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Business Strategy, Internet, Investing, Success , , , , , , , , , ,

Problems with Social Security

August 7th, 2010

The Social Security system, or more accurately Social Insecurity, is a great example of government mismanagement. Instead of collecting more money than it pays out, and investing the money it has collected, the government is now paying out more money than it collects. And instead of investing to get rich, it simply spent the money to make us poorer. To the tune of $2.5 trillion.

This article on Yahoo has some interesting facts about Social Insecurity. The article neglects to mention one of the biggest problems with the system. And that is the fact that people are living longer. It is estimated that people are living as much as half a year longer with each passing year. That means that in 20 years people could be living 10 years longer. Does the government factor this in to the Social Security payments estimates? No.

Read more…

Money, US Economy , , , , , , ,

Are those Financial Guys just Talking Mumbo Jumbo?

August 5th, 2010

After watching those financial shows and listening to a few financial “advisors”, I have come to the conclusion that they don’t really know what they are talking about. Yes, it’s true that the words are pieced together to creates some meaning, but there is no value.

Here’s a clip from Stock Watch.

Most of the time, they say something like, “If this happens, then that will happen.” And I think, “OK, that’s nice. But it doesn’t really help me.”

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Internet, Investing, Money , , , , ,

Weekly Wisdom: Easy Does It

July 18th, 2010

Life doesn’t need to be hard.

And, as I read through some posts this week, I noticed something. Personal finance isn’t brain surgery or rocket science, or even rocket surgery.

Getting your financial house in order, spending money effectively, and investing wisely, can actually be pretty easy.

Here are a few bits of advice that proves it.

Read more…

Internet, Investing, Money, Online Investing AI , , , , , ,

Rich Dad’s Cashflow Game is Now Free!

July 17th, 2010

After playing Cashflow 101 and 102 for a few years now, I was pleasantly surprised to find out that you can actually play for free, online. Just go to the Rich Dad site and click on Cashflow.

I like Cashflow because it actually teaches people about how to manage their finances. Many people like to write off games as a waste of time, but they are actually a powerful learning tool. We automatically play games the way we play life. So, when we learn how to play a game better, it changes the way we act in life.

Read more…

Dreams Come True, Internet, Money, Success , , , , , , , , ,

Can an Octopus see the Future?

July 10th, 2010

I found this great story on Yahoo about an octopus named Paul, who has the ability to know who is going to win each of the world cup games. It sounds incredible, but it’s true. His picks have been televised on live TV. Plus, even though he is German, he correctly chose Spain over Germany. So that means he is not prejudiced.

Is this octopus really clairvoyant, or could there be another explanation?

Read more…

Investing , , , , , , , ,