Every month I put in $250 to $300 per month in my mutual funds and individual stocks.
In a year or 2 it is my hope to be able to give $500 to $600 per month and in 5 years it is my hope to be able to put in $800 to $1000 per month.
You see you never want to stay where you are at, you always want to grow and expect to be better off in the future. Always have an expectation for better.
Now, back to why it is in your best interest to invest monthly...
It is very important for any individual investor to add to your portfolio monthly. Why? 2 reasons #1 COMPOUNDING INTEREST & #2 COST BASIS AVERAGE.
Compounding Interest is the key to make any investment grow over time and faster. Basically its your principal and your interest combine and with more interest throughout your investment it will compound. Put it like this every time your investment is in a positive it will add to the principal.
When your principal increase and more interest follows you will be increasing your money at a faster rate than normal interest.
Compounding interest is the key to leaving a financial legacy and when you are adding every month you are not only increasing your principal you are also adding to the interest as well and making your money add faster over time.
Cost Basis Average is simpler because it means the average you paid for you investment per share. So, if you are adding every month and the market takes a deep or runs higher over time the average will make your investment great. Because, whether you get it cheaper or higher the compounding interest will still work in your favor.
Now of course if its lower it will work more in your favor but the truth is no one can time the market correctly. So, just adding monthly is your best action to increase your investments.
If you to do not $250 per month add $50 or $100 add whatever you can to help your investment grow.
I hope this makes sense to you because I do have a traumatic brain injury and what makes sense to me sometimes does not make sense to other people.
Here is a tip I am tracking a recent IPO of Everbridge and it is looking like a momentum stock and those stocks can do well over time. Checkout Twilio, Telsa, Amazon, etc.... no matter what the company do or not do the stock goes up.
I love to be in at least one or two momentum stock if I was able to get in before it hit higher.
So, be on the lookout for momentum stocks.
I may write a blog about just momentum stock.
Wednesday, September 21, 2016
Sunday, September 18, 2016
Mutual Funds With Low Entry Fees - All You Need Is $100.00
When your money is funny?
Here goes for people who do not have $2500 or $3000 to open a mutual fund with Vanguard or T. Rowe Price you can open a mutual fund with Charles Schwab Fundamental Funds you are able to pick from 5 funds with low fees and you can open it for $100.00 (yes 100) and you can add as little as 1 per month.
This opportunity is awesome for people who want to build mutual funds in their portfolio because we all can put aside $100 for our future and when you get more add more.
If you want a mutual and only have $100 go to the link below. If you are able to afford 2500 and 3000 and
Schwab - Click Here http://www.schwab.com/public/schwab/investing/accounts_products/investment/mutual_funds/schwab_mutual_funds/equity/index
Friday, September 16, 2016
Why Mutual Funds are Better For Individual Investors?
Just a FYI these are my thoughts on my own research and hypothesis' so, please know you may have a different vision and hypothesis than I have.
With that said T. Rowe Price Science Mutual Fund reopened recently and I strongly suggest owning that fund. For years their science fund as been number 1 with returns and performance.
Great fund to have in your portfolio.
Next checkout their Science and Technology fund as well.
It only cost $2500 to start and you can add the min. $100 per month to grow your position.
Next, an olympic play and real estate/mortgage play would be FIG
(Fortress Investment Group LLC)
Be careful with individual stocks in this market because must trading is now down by a computer and formulas so if you are committed to holding a stock for 15 to 35 years don't play individual stocks just get a mutual funds.
Top Funds I recommend
Berkshire B. (this is an individual stock but the corporation functions more like a mutual fund because Warren Buffet has a diverse list of companies and investments connected to this stock) So, even though it is not an official mutual I look at this stock as a mutual fund. $145.45 per share right not (its a buy when its anything below $144.00 but getting it from $138 to $144 would be a good deal)
Vanguard
(VFINX - S&P)
to open cost $3000 monthly add $50 (you don't have to add monthly but I would recommend you adding to any position you have)
T. Rowe Price
Science Fund
to open cost $2500 monthly add $100 (you don't have to add monthly but I would recommend you adding to any position you have)
Science and Technology Fund to open cost $2500 monthly add $100 (you don't have to add monthly but I would recommend you adding to any position you have)
Wasatch
Small Cap Value Fund
to open cost $2000 monthly add $100 (you don't have to add monthly but I would recommend you adding to any position you have)
With that said T. Rowe Price Science Mutual Fund reopened recently and I strongly suggest owning that fund. For years their science fund as been number 1 with returns and performance.
Great fund to have in your portfolio.
Next checkout their Science and Technology fund as well.
It only cost $2500 to start and you can add the min. $100 per month to grow your position.
Next, an olympic play and real estate/mortgage play would be FIG
(Fortress Investment Group LLC)
Be careful with individual stocks in this market because must trading is now down by a computer and formulas so if you are committed to holding a stock for 15 to 35 years don't play individual stocks just get a mutual funds.
Top Funds I recommend
Berkshire B. (this is an individual stock but the corporation functions more like a mutual fund because Warren Buffet has a diverse list of companies and investments connected to this stock) So, even though it is not an official mutual I look at this stock as a mutual fund. $145.45 per share right not (its a buy when its anything below $144.00 but getting it from $138 to $144 would be a good deal)
Vanguard
(VFINX - S&P)
to open cost $3000 monthly add $50 (you don't have to add monthly but I would recommend you adding to any position you have)
T. Rowe Price
Science Fund
to open cost $2500 monthly add $100 (you don't have to add monthly but I would recommend you adding to any position you have)
Science and Technology Fund to open cost $2500 monthly add $100 (you don't have to add monthly but I would recommend you adding to any position you have)
Wasatch
Small Cap Value Fund
to open cost $2000 monthly add $100 (you don't have to add monthly but I would recommend you adding to any position you have)
Thursday, September 15, 2016
When Not to Sell Stocks
Warren Buffet says we should buy low and sell high.
But, the hardest part of investing is not selling your investment when it continues to go lower even though the fundamentals of the company has not changed.
I have this one particular stock that went to a low that I was not comfortable with and I wanted to sell. Before, I decided to create a transaction to sell I researched to see if any new news came out, or if the company fundamentals changed.
After researching the matter I found out nothing changed and the fact was the market did not like that stock and my stomach was in knots. What should I do cut my losses and move on or stay the path?
After thinking about Warren Buffet words buy low and sell high and Charlie Munger words if you can't think with a company that goes through lows, you don't deserve to be with the company when it riches new highs.
With my research and words of Buffet and Munger I decided not to sell and to stay the course. Today I learned that company raised millions more through old investors and that made the market like the stock a little today.
So, instead of being at an uncomfortable yesterday - it reached a comfortable price today. But, one or two days is not that name of the game for individual investors. We must have a long term view and pray that our mind and stomach can take the up and downs of the market.
If the reason you brought the company is the same and no new negative news that would jeopardize the future of the company bottom line I say keep pushing to see what will occur. Never buy a stock without a hypothesis (that will be your why) and it will help you when the market is not reacting to the stock favorably.
Just because a stock hit new lows, it does not mean it is time to sell.
Calm down and go back to your why
But, the hardest part of investing is not selling your investment when it continues to go lower even though the fundamentals of the company has not changed.
I have this one particular stock that went to a low that I was not comfortable with and I wanted to sell. Before, I decided to create a transaction to sell I researched to see if any new news came out, or if the company fundamentals changed.
After researching the matter I found out nothing changed and the fact was the market did not like that stock and my stomach was in knots. What should I do cut my losses and move on or stay the path?
After thinking about Warren Buffet words buy low and sell high and Charlie Munger words if you can't think with a company that goes through lows, you don't deserve to be with the company when it riches new highs.
With my research and words of Buffet and Munger I decided not to sell and to stay the course. Today I learned that company raised millions more through old investors and that made the market like the stock a little today.
So, instead of being at an uncomfortable yesterday - it reached a comfortable price today. But, one or two days is not that name of the game for individual investors. We must have a long term view and pray that our mind and stomach can take the up and downs of the market.
If the reason you brought the company is the same and no new negative news that would jeopardize the future of the company bottom line I say keep pushing to see what will occur. Never buy a stock without a hypothesis (that will be your why) and it will help you when the market is not reacting to the stock favorably.
Just because a stock hit new lows, it does not mean it is time to sell.
Calm down and go back to your why
Saturday, September 10, 2016
Patience and The Market
Losing money in the market is no fun and can be very scary at times.
In my portfolio I am dealing with a few stocks losing money for my portfolio and the biggest one is Caladrius.
After researching and reading I feel Caladrius Biosciences is on the verge of something great and that something great is becoming the leader in manufacturing cell therapy.
If my hypothesis come true I will be well on my way to my goal.
But, the ability to have the patience to see what will happen has my stomach in knots some days. At some moments I want to cut my lost - but, than I go back to why I brought the stock in the first place.
Having the patience to see what will occur takes a lot of prayer and closing my eyes real tight.
I will see what will happen to the company in the next 12 months before I make my decision to stop the bleeding or rejoice in overflow. In 12 months I will know which way this ship will turn.
Still working hard to reach my 2-21-21 goal.
Now, I have to decide what I will do with the cash I have on hand as I wait for the market to tank. Friday it took a big dip but, not big enough for me to purchase anything. Plus I am still debating what I will purchase and why.
In all of my purchases I need a why - it can be as simple as because Warren Buffet said to buy the VFINX or as complex as reading an earnings report, that states the bank will finance the company until June 2017 and at that time oil should be a little better than it is right now. It could also be because I read there are only two companies who are approved to do cell therapy manufacturing for this specific cell therapy. It could be a host of reasons but I always have a WHY.
Just letting you know whenever you purchase stocks or mutual funds have a why. This will help you know when fold them and know when to hold them.
Since my why have not changed with Caladrius I must suck up the hurt now because I feel like the punishment today will be no match for the reward of the future.
It goes back to patience and knowing I am not a trader tried that and failed at it. I am an investor so 1 day, 3 months, and 12 months mean nothing to my long term goals.
Yes, I am excited to see where I land on 2-21-21
In my portfolio I am dealing with a few stocks losing money for my portfolio and the biggest one is Caladrius.
After researching and reading I feel Caladrius Biosciences is on the verge of something great and that something great is becoming the leader in manufacturing cell therapy.
If my hypothesis come true I will be well on my way to my goal.
But, the ability to have the patience to see what will happen has my stomach in knots some days. At some moments I want to cut my lost - but, than I go back to why I brought the stock in the first place.
Having the patience to see what will occur takes a lot of prayer and closing my eyes real tight.
I will see what will happen to the company in the next 12 months before I make my decision to stop the bleeding or rejoice in overflow. In 12 months I will know which way this ship will turn.
Still working hard to reach my 2-21-21 goal.
Now, I have to decide what I will do with the cash I have on hand as I wait for the market to tank. Friday it took a big dip but, not big enough for me to purchase anything. Plus I am still debating what I will purchase and why.
In all of my purchases I need a why - it can be as simple as because Warren Buffet said to buy the VFINX or as complex as reading an earnings report, that states the bank will finance the company until June 2017 and at that time oil should be a little better than it is right now. It could also be because I read there are only two companies who are approved to do cell therapy manufacturing for this specific cell therapy. It could be a host of reasons but I always have a WHY.
Just letting you know whenever you purchase stocks or mutual funds have a why. This will help you know when fold them and know when to hold them.
Since my why have not changed with Caladrius I must suck up the hurt now because I feel like the punishment today will be no match for the reward of the future.
It goes back to patience and knowing I am not a trader tried that and failed at it. I am an investor so 1 day, 3 months, and 12 months mean nothing to my long term goals.
Yes, I am excited to see where I land on 2-21-21
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