For many investors, experienced and novice alike, the idea of short selling stocks can be enticing. You can make money investing even if the stock market is in a downturn. You can earn a profit on days when others are losing money. But selling a stock short can severely punish investors -- especially if they don't understand the risks. What Is Short Selling? You can win on a bet -- no matter which way the stock is moving -- as long as you're guessing the right direction. Short selling allows you to invest in stocks even when you … [Read more...] about Short Selling Stocks: Why You And I Should Probably Stay Away
Archives for March 2014
Whether claims are due to natural disasters or man-made ones, the insurance industry has had several huge payouts to make over recent years. This list sums looks back at some of the biggest insurance payouts. The financial collapse – Billions There has not been a figure set in stone as to the amount lost in the 2008 banking collapse, but billions of pounds is a conservative estimate. While the exact figure may still be unknown, what is known is the knock-on effect of bailouts and unemployment has caused the insurance industry to lose out … [Read more...] about Ten Top Insurance Payouts In Recent Years
I have a confession to make: I lose money on my rental property every month. But I'm OK with that. I've got a long-term plan. Or I'm still delusional and hoping for a turnaround in the housing market. Either way, I stubbornly refuse to lose $30,000 in home equity by selling. I'd rather pay $300 a month out of my pocket in the hopes of hanging on to what little equity I have left. It's a Renters Market Out There Much like a home buyer, a renter has a lot of purchasing power. It's a pure case of supply and demand if there ever was one. There … [Read more...] about Why I Don’t Mind Losing Money As A Landlord
Periodic review of our personal finances extends to many areas. Portfolio rebalancing helps your investments match changing time horizons and risk tolerances. As our families grow or coverage options change, we must review our health insurance for the best choices. Home insurance is an essential cost that may not receive the same attention. Houses are not as dynamic in comparison to investments or healthcare. Unless moving, many homeowners rarely check their home policies. However, checking your home insurance coverage for overlaps or … [Read more...] about Affordable Home Insurance Checklist – Are You Paying too Much?
My wife and I budget a little differently than most families. We budget with a credit card. We use a credit card for most of our purchases instead of cash or checks, and use that to monitor our family's monthly spending. According to a recent Gallup poll, fewer than one-third of Americans follow a detailed written budget every month. Out of those who do, not all of them strictly follow their budgets. This may be a stark indication as to why American families are in financial trouble, with shrinking savings and increasing debt. So why … [Read more...] about How You Can Budget With A Credit Card