If you are going to invest in vehicles that are not your traditional retirement accounts then you need to know how to evaluate them. You can do this in a number of ways. But the two main ways are technical analysis and fundamental analysis. Here are some topics that you need to be familiar with when investing in things outside of your retirement plan.
When investing there are several different formulas, calculations, and terms that you should be familiar with. But at the root of them is the term “opportunity cost”. It’s not difficult to understand, but it is essential to know when you are learning to invest. What is Opportunity Cost Opportunity cost Read more…
One of the biggest reasons that people do not invest in the stock market is because they are afraid to lose money (AKA risk aversion). But there are several ways to estimate what the return on a stock should be in the future. One of them is the Capital Asset Read more…
There are a LOT of different ways to value stocks. You can look at a specific stock to buy or sell through a whole bunch of different lenses. And depending on what you are doing and what your goals are, you will need to use a different combination of those Read more…
Investing can be confusing. There are a lot of terms and phrases that are thrown around out there by financial experts. Let me explain one of them. Market cap. What is Market Cap Used For? Market cap (also called market capitalization) is for a few different reasons. However, the most Read more…
Risk is an EXTREMELY important topic when speaking about investing. After all, risk and reward go hand in hand. How do you measure each one? With reward, that is easy. It’s measured in how much money you made on your investment. But with risk, it is a little bit more Read more…
Investing can be a confusing topic. People who work in finance usually want it to be confusing because then they can make more money off of the regular investor. But it doesn’t have to be that difficult. Yes, there are TONS of different investments out there and TONS of ways Read more…
To most people, earnings per share seems like financial jargon intended to speak over the heads of “regular people”. Largely, the professional financial community tends to make investing unnecessarily difficult. Investing doesn’t have to be nearly as difficult as someone might think. Let me break it down for you. Let’s Read more…
When the topic of investing comes up, most people want to simply talk about how much money they have made from their investments. But let’s be real for a second. Not everyone will have the same results. Some people will make more and some people will make less. And that Read more…
Risk and reward is one of the most misunderstood topics in all of personal finance and investing. Most people just think of the “reward” portion of the equation. But like any equation, there are two sides to it that must equal each other. Let me explain the relationship that risk Read more…
Diversification is one of the most overly-used financial words to make financial advisors seem really smart and intimidating. But financial advisors don’t have to be intimidating at all! (Although I do hope they are smart.) Diversification is one of the most important financial lenses in which to look at your Read more…