3 Ways to Earn Money Fast and Easy

As humans we are all about making money in quick and easy ways. We do not want to put in more sweat and tears than we should. So here you'll be presented with 3 ways to earn money quickly and easily. It should not be difficult to earn money quickly. If so, then you have to reevaluate the situation and find out why so you can do something about it.

So the three ways to make money quickly and easily, are:

Invest your money, but do not do it in an irresponsible manner. That means you do not have to take everything out of your bank account and invest it in stocks or bonds. What you do is take bits of your money and invest them in rapid cycle of investment, which means you will get your return on investment quickly.

-Find something you enjoy doing and then exploit it. This means that if you want to make crafts, sell them on the Internet and go to craft shows. There are many things you can do with your hobbies to make them profitable.

-In your existing business, be sure to create a system where you can streamline your processes. That means make sure everything runs as smoothly as possible, so you can maximize your earnings.

These may seem like common sense ways to make money faster, but the truth is that they are easy. All you have to do is tweak the way you currently do things. Something that require smoother operations and a higher return on investment are both things that will make you more profitable quickly.

If you need money now, I think in the next hour, you can try what I did. I make more money now than in my old business, and you can also read about Martin Thomas in the link below. When I joined I was skeptical of just ten seconds before I realized what it was. I was smiling from ear to ear, and you will too.

Fastest-way-to-make-money-on-earth.com Imagine doubling your money every week with no or little risk! Recognizing a controlled list of Million Dollar Corporations offer you their products at 75% commission to you. Click on the link below to learn how you will begin compounding your capital for your first one million dollars on the easy corporate money program.

Fastest-way-to-make-money-on-earth.com

Article Source: http://EzineArticles.com/?expert=Terry_Hart

Cheap Investment Ideas Under $100 - Underpriced Investments

You have $ 100 to spend - how can you do? The thing to remember with investment is that many tend to pay small returns over long periods, but are waiting for a few dollars over the twelve months is not what we're looking for here - we want a speedy return.

Where to start? Look for something to buy that you think are underpriced - choose something in an area, you know, and gives you an advantage to begin with - and buy it. A good place to look is on Ebay or any of the other Internet auction sites, where people tend to unload things that they no longer need decent prices - and the remarks at a higher price. You may have to clean it up, or repair it, but there is money to be made.

Another way is to sell products to companies that offer you the Commission, as these tend to be high commission earnings too much hassle.

An interesting way to spend an extra $ 100 to invest in art, buying an original piece from an up and coming artist, whose name is not yet known. This could prove lucrative in the long term, rather than as a short-term profit gains.

Always advised to buy gold - especially vintage jewelry, which are labeled as gold will always hold its value, and looks great, too!

With $ 100 to spend, there are many ways to invest it for decent returns, but a little patience and some forward planning will undoubtedly add to the potential return.

If you need money now, I think in the next hour, you can try what I did. I make more money now than in my old business, and you can also read about Martin Thomas in the link below. When I joined I was skeptical of just ten seconds before I realized what it was. I was smiling from ear to ear, and you will too.

Fastest-way-to-make-money-on-earth.com Imagine doubling your money every week with no or little risk! Recognizing a controlled list of Million Dollar Corporations offer you their products at 75% commission to you. Click on the link below to learn how you will begin compounding your capital for your first one million dollars on the easy corporate money program.

Fastest-way-to-make-money-on-earth.com

Article Source: http://EzineArticles.com/?expert=Terry_Hart

Easiest Way to Get Money - 3 Quick Money Ideas

To find an easy way to earn money is by literally finding a gold mine. You can find it, you use it, you stick with it, and then you are profitable for the coming years. Seems pretty easy, right? The truth is that you must have a plan. You need to have ideas in place that will help you reach the ultimate goal of making money and do a lot of it.

So what to do first is to think small. Think not that great, because thinking big is what causes you to sabotage yourself. When you think big, you think beyond your abilities. But if you think small, you're taking baby steps, which is very doable and they are doable in time.

The second thing you should consider is investing. This is where you can apply to "think small" concept. Fast cycle investment allows you to think small, while ensuring a return on investment. A rapid cycle of investment requires that you must invest a certain amount and then ask for your return within weeks or a month. The idea is to receive a return on investment in small amounts rather than large quantities. This reduces risk and increases returns over time.

All investments, as you have, you can diversify your portfolio. Make sure you invest in a series of rapid cycle of investment, so you can increase your earning potential. This is a very quick way to get cash. If you have $ 1,000 and you need $ 2,000 by the end of the month, rapid cycle investments will help you do just that in no time.

If you need money now, I think in the next hour, you can try what I did. I make more money now than in my old business, and you can also read about Martin Thomas in the link below. When I joined I was skeptical of just ten seconds before I realized what it was. I was smiling from ear to ear, and you will too.

Fastest-way-to-make-money-on-earth.com Imagine doubling your money every week with no or little risk! Recognizing a controlled list of Million Dollar Corporations offer you their products at 75% commission to you. Click on the link below to learn how you will begin compounding your capital for your first one million dollars on the easy corporate money program.

Fastest-way-to-make-money-on-earth.com

Article Source: http://EzineArticles.com/?expert=Terry_Hart

One Investment Secret You Should Know About Right Now!

Investing can be a minefield for newcomers, and I wondered how it is that people were successful in a short time. I was quickly informed by a fellow investor, who has told me a simple secret, which is more common sense than experience - it is simply to learn from your mistakes.

Each investor will make mistakes - it is a given that nobody is perfect - and to know what caused the failure is often the biggest help to move forward and make a more successful investment next time. It may be that your first choice of investment was an area that you did not know anything about - to stick with what you know is among the best tips available to all - or it could be that you have bad advice That can be addressed by adding more research to your investment.

Have the confidence to bounce rate back and start again after a mistake investment is the key to success - it's the old adage of live to fight another day - and is a vital part of the learning curve. Over time, you add to your experience by tempering the odd failure with multiple successes, and reap the benefits of being able to come back in the game, which failed to take advantage last time out.

Fear of failure is common in all investors - experienced or otherwise - but because a few poor moves to the experience, you will get, will be essential to give you the heads up to make more successful elections in the past.

If you need money now, I think in the next hour, you can try what I did. I make more money now than in my old business, and you can also read about Martin Thomas in the link below. When I joined I was skeptical of just ten seconds before I realized what it was. I was smiling from ear to ear, and you will too.

Fastest-way-to-make-money-on-earth.com Imagine doubling your money every week with no or little risk! Recognizing a controlled list of Million Dollar Corporations offer you their products at 75% commission to you. Click on the link below to learn how you will begin compounding your capital for your first one million dollars on the easy corporate money program.

Fastest-way-to-make-money-on-earth.com

Article Source: http://EzineArticles.com/?expert=Terry_Hart

The Best and Safest Return on a Million Dollar Investment

One million U.S. dollars is a lot of money, and it is a great risk if you are going to invest it. Therefore, it is important to understand what the best and safest return of one million U.S. dollars investment. To be sure, you can have two things, and these things are gearing and a working rapid cycle of investment.

With a working rapid cycle of investment, you want to invest a little money each week. Although it is 5%, you could use any of the returns that you receive as leverage. With leverage, you're able to protect yourself against possible downturns that may arise, so you do not lose a significant amount of money. This is in contrast to invest it all at once and risking a significant drop. Even the smallest percentage of a loss of one million U.S. dollars may be a considerable sum of money that can be difficult to recover quickly.

It may sound pretty simple, but you have to recognize that leverage can not make you rich all by itself. All it does is increase the final outcome, but allows you to "buffer" you need. If you are already losing money in a fixed investment cycle, so you'll probably need to lower the amount you invest at a time and use your return as your leverage. This will be the best and safest way to achieve a return on your one million U.S. dollars investment. You will also feel much better about what you do.

If you need money now, I think in the next hour, you can try what I did. I make more money now than in my old business, and you can also read about Martin Thomas in the link below. When I joined I was skeptical of just ten seconds before I realized what it was. I was smiling from ear to ear, and you will too.

Fastest-way-to-make-money-on-earth.com Imagine doubling your money every week with no or little risk! Recognizing a controlled list of Million Dollar Corporations offer you their products at 75% commission to you. Click on the link below to learn how you will begin compounding your capital for your first one million dollars on the easy corporate money program.

Fastest-way-to-make-money-on-earth.com

Article Source: http://EzineArticles.com/?expert=Terry_Hart

The Best Investment For a Return of 20% Or More

When investing, the idea is how to get a larger investment. You will be able to get a return of at least 20% or more, so your time, your efforts and your money is worth it for you. But you do not just want to find the best investment, but the best way to manage the investments, so you can find the success you deserve.

First, find that the investment plan, which offers a faster return policy. Not choosing an investment play, which only allows your money sit and simmer for a year. The concept plan will give the money back in months or even weeks after the investment is made.

One way to increase profits is to use the loan. You start off with $ 50.00 and you make $ 5.00 per month in profits on your investment. If you take out the loan to $ 1,000, you can increase investment and make $ 100 a month instead of your $ 5th That means you get 20 times more return on your investment than you would otherwise have done.

As for which investment is the best investment, it depends on you and what kind of budget you're working with. Make sure you do your homework and use a viable method described above, and you must bring in a return of 20% or more per month as opposed to years. With the rapid fluctuations in the market, it is important to get your money in, out, and then back as much as possible, so you can maximize those earnings.

If you need money now, I think in the next hour, you can try what I did. I make more money now than in my old business, and you can also read about Martin Thomas in the link below. When I joined I was skeptical of just ten seconds before I realized what it was. I was smiling from ear to ear, and you will too.

Fastest-way-to-make-money-on-earth.com Imagine doubling your money every week with no or little risk! Recognizing a controlled list of Million Dollar Corporations offer you their products at 75% commission to you. Click on the link below to learn how you will begin compounding your capital for your first one million dollars on the easy corporate money program.

Fastest-way-to-make-money-on-earth.com

Article Source: http://EzineArticles.com/?expert=Terry_Hart

What is Quick Ratio?

Imagine a scenario where you invest all your money on a company, and suddenly it collapses. In an event like this can only refund you will have the resources you will get after liquidizing it. It is of course only if any money back to shareholders after the company is liquidized.

What can you do to avoid such a situation? You have to know whether the company plans to invest have enough cash and assets that you can get your money by the time of liquidation. Next comes the important question, is there any index, which shows the liquidity of the company?

Yes, 'Quick Ratio' is the indicator used to identify liquidity in any company. This ratio has been calculated by taking the sum of current assets and debtors, and then dividing it with short-term debt. This method specifically exclude such a statement.

Normally, a quick ratio of 1 or higher is healthy for a company, and it indicates that the company could not count on the sale of inventory to pay the bills. If quick ratio is below 1 means that the company is in trouble and presumably the new investors should keep away.

The formula for quick ratio is:

Quick ration = (Accounts Receivable cash Cash) / (Accruals Other Notes Payable)

There are also a few exceptions when it comes to the relationship quickly. As we understand it, quick ratio shows liquidity in the company. But there are cases where quick ratio not give you the correct picture. Imagine a company with no bills due today, but with a lot of bills to be paid tomorrow. If you calculate the speed ratio today, the figures will show, which has a good cash flow. But in reality it can not be considered to have a good cash flow because of the uncounted liabilities that are pending.

Zoran Maksimovic is an author focused on investing for beginners. To see more articles about fundamentals of investing visit his site Investing made easy.

Article Source: http://EzineArticles.com/?expert=Zoran_Maksimovic

The 5 Reasons Why Your Portfolio is Tanking

The chances are you're not as rich as you want to be, because others get rich off of you!




1st Heavy Correlation

That was little or too much of one kind of investment can create havoc for an investor. It is very common problem among many investors. During a portfolio diagnostic tests will show you where you are under and overweight in your portfolio. When was the last time your Advisor prepared it for you. The chances are your car has been looked at more closely, to your portfolio.

2nd No regular Tune ups

Automatic rebalancing is important for a portfolio to be regulated. Imagine never getting your car's wheels regulated, it will run off the road, would not it, and in a hurry! The challenge for many investors is twice (1) they must rely on their advisor to do so each quarter, and (2) these transaction fees can be cut in the overall performance of the portfolio. Instead, smart investors will find a counselor who provides this service automatically every quarter on a fee basis.

The 3rd The tax man Grab

Not registered funds have traded subject to capital gains. Although, capital losses are also available, but the charges involved erode your gains. One solution to keep these gains in your portfolio is to use a corporate class structure.

4th No written plan

You will never just jump in the car and try to run cross county with a map or a GPS unit to fall back on. Advisers to prepare, implement and follow an investment policy statement with the customer will ensure that all investment objectives are followed through to the exact measure, stripping away any feelings that may come into play. These policy statements also offer in plain view all fees and commissions so that nothing is released.

5th High management fees

Many investors are switching to advisers who offer fee for service and / or individually managed accounts, as many of the fess, which is paid could be deducted. These fees may be the same percentage as a mutual fund, but to have your account set up in a tax-favored way can allow you to get some of that money back in tax time. Have your adviser offer you choices in the way he / she manages your account?

Tyler Hoffman, FMA

Vancouver's Wealth Coach

http://www.tylerhoffman.ca

Article Source: http://EzineArticles.com/?expert=Tyler_Hoffman

Fund Managers Do OK

Regardless of super funds reporting their biggest loss in nearly two decades, fund managers received record fees.

More than $ 65 billion was wiped out by super balances, but fund managers were still paid about $ 15 billion.

The biggest losers were workers with their super in higher risk investment options such as Australian and international shares. Meanwhile, the biggest winners this year seem to be leaders of these stock funds. They typically charge higher fees than other leaders who are reasonable in view of their greater expertise (black joke).

Most people, however, have their Superannuation in a balanced fund, which lost on average 6.5 percent this year. While these fund managers skimmed off everything from 1 to almost 3 percent for doing the job.

The professional is expected to beat the market most of the time. Most of the time, they are not.

One of the fund industry's not-so-funny little problems is that most stock-fund managers can not turn the key benchmarks like the All ordinarie Index. The index represents the average. Yet, only about 20 percent of managers have beaten the index over the past 15 years.

That means the vast majority of you, through charges against your funds that are paying professionals for the privilege of earning section returns. If fund managers just threw darts at a stock list, you expect more of them to match the benchmark.

It is no small matter. Over time, poor performing funds take a big bite out of what you could have reasonably expected.

The sad fact is that fund investors are deck stacked against them when it comes to beat the average. Here's why:

1st Rates:

Fund managers never met a fee, they did not like. They include, but are not limited to, administrative fees, custodial fees, audit fees, directors' fees and professional services fees, marketing fees and sales commissions. Such "load" is not reflected in the official data on performance, but as an expense that cuts into your results.

2nd Turnover:

In the typical stock fund, 4 out of 5 stocks, which at the beginning of the year has gone by the end of the year. Trading costs dragging an extra number from a fund's gains.

In this indicates It reminds me of an article in the Australian Financial Review dated October 2000 entitled "Strategies and confessions of market professionals." The article profiles a glass of BT Funds Management's leaders called a "senior international economic strategist" who also had been a senior economist with the Reserve Bank of Australia, was a university medalist with a first class Bachelor of Economics and a Master of Science degree from the London School of Economics.

The manager was asked "it may be difficult to consistently get the call right? Are you often wrong?" The manager replied "even the cleverest analyst would be happy to correctly predict the potential 65% to 70% of the time. The key to great strategy is the ability to recognize the 30% to 35% of calls that are not working --- etc". Are you sure you want to back up that performance?

3rd Cash: The typical fund keeps 7 to 10 percent of its assets in cash to fund redemptions. The portion of the portfolio is a drag on performance when the stock market is hot.

Over long periods, it is inevitable that funds will trail the benchmarks by about 2 percentage points a year, which reflects their costs. The fee gorging that comes with actively managed funds have a lot to overcome.

And here is one of the two major reasons, I prefer ownership of shares - the volatility.

This property will not double overnight as shares can, but it will not halve overnight either!

Sun Tzu said it best in "The Art of War" about 2000 years before Christ's birth "The good fighters of old first put themselves beyond the possibility of defeat, and then waited for an opportunity to defeat the enemy"

Neil Handley graduated as a Bachelor of Economics and Accountant. After some 20 years as a stock broker Neil turned to property development. He then acquired a controlling interest in a property development company listed on the stock exchange and became CEO. He has been involved in developing residential subdivisions, industrial subdivisions,shopping centres, office buildings and medium density residential dwellings in Sydney's north shore, Northern Districts, Parramatta and Liverpool areas and on the Gold Coast, Queensland. One office building was sold to the AMP for $25ml. Neil's company advises on building wealth via property. Go to http://www.specialstrategies.com

Article Source: http://EzineArticles.com/?expert=Neil_Handley

The 4 Types of Investment Silver

When starting a silver investments, there are 4 major types of silver to consider investing in:

1) Coins
2) Bars
3) 90%
4) Loose

Coins

Coins may be general or collectible. Generic coins are often called "negotiating rounds." Collectors Items coins are often referred to as "numismatic" coins, a hobbyist term based on the Latin word "numisma" for the coin.

Generic coins, or rounds, generally produced by private mints, which creates coins with interesting patterns, but has no soul or special value attached to them. They are commonly printed with the words ", 999 Fine Silver" and "One troy ounces" to make the content of the coin ready. The value of a round is based on the content of the precious metal, not for the condition or rarity of the coin.

Numismatic coins are almost always more expensive to buy than generic rounds and usually a premium price when you go to sell them. Like generic rounds, they often indicate purity and weight of metal on the coin, but unlike the generic rounds, they have a perception of value to the public in addition to their precious metal content. These coins are often sealed in airtight packages and have a professional numismatic association's rating associated with it.

Examples of numismatic coins include the American Eagle and Canadian Maple Leaf coins. Each of these coins typically require a price 10% -20% higher than a generic coin of the same weight and quality. Some items are very rare and require a price that makes their precious metal content insignificant as far as their value, such as the child's 1804 silver dollar sold at auction for over $ 4 million.

In general, investors prefer generic rounds of numismatic coins. While currency dealers sell American Eagles at a premium, for example, they will often not pay the same premium when you sell the medal back to them.

Coins can be purchased in bulk from major distributors, or can be purchased by ounces of coin shops across the country. Almost every county in America has at least a coin shop, and their book may contain dozens of items, or can be completely sold out during periods of high demand from investors.

Bars

Many investors prefer bars for their investments. They are easier to stack and store than coins, and is accessible to a much greater weight than the typical one oz coin. Bars are in a ounces, five ounces, ten grams, 100 grams, 400 grams, and 1,000 ounces varieties in the United States. Bars can also be found in the unequal weight, such as 105 troy ounces, but it will still be considered a "one hundred ounces" bar. When you buy bars, you have to pay for the actual weight of the bars you buy.

Some companies manufacture rods specifically to invest such as Johnson Matthey and Engelhard, and these bars are beautifully designed and polished for display. The second type of bars you can find will be a general manager block with the weight of the bar, "999", and perhaps the company's logo embossed around the plunger on it. These bars are meant more for industrial use instead of the investor, but has seen the same value for investors as beautifully designed and polished bars. On the open market, "investor" rods could carry a small premium, but for the most part, bars equal weight to bear the same value.

Beams are more rare to find in the coin shops than rounds, but they are available from time to time. More likely you will buy rods from a large dealer network by phone or online. Popular retailers include APMEX Bullion Direct, and you Tulving Company.

90%

American coins minted before 1965 (except Nickels and ear) contained 90% silver and about 10% copper. Back in the old days, our money represented something we could melt down, and it would indeed be a valuable metal. From 1965 to 1971, the United States cut back on use silver to a 40% formula for coins, and after 1971 the precious metal content was gone.

Sacks with 90% silver coins can also be seen in the coin shops or at auction on eBay. Again, there are some coins valued purely for their metal content, and some are valued because of their issue date has been rare and falls in numismatic category. Again, most investors stay clear of numismatics as generic coins are easier to sell to their full potential value.

Loose

The last category of investment is silver metal, which is loose. Many investors have items that were perhaps meant for the industry, or have been packaged in unique ways. For example, recently one of the largest online retailers ran out of rounds and bars, but was willing to sell silver "shot." It was just small ball-shaped pieces tossed in a bag. Other options include wire, or sheets, which were clearly meant for some industrial uses. Or maybe you've inherited some sterling dinnerware, which has no collector value.

No matter which market it was created, when it reaches your hands, it is still valuable as an investment. Sterling contains only 92.5% of the precious metals, so it's not as valuable as the "fine", 99.9% black, but not sell it in your garage sale. These points will be harder to sell than coins or bars, but the coin shops, scrap yards, and eBay are all reliable opportunity to receive 80% -95% of the precious metals market you hold.

Brian A. Brown
Silver investment author and silver investor
http://www.silverinvestment.org/

Article Source: http://EzineArticles.com/?expert=Brian_A._Brown

Are You Investing - Or Speculating?

Have you considered the possibility that what you've called "investment" could be more accurately described as plain and simple speculate? If you adopt this approach, you probably have more reasonable expectations about money are you going to do - and realize that almost all investments are actually a speculation.

The words "investment" and "speculation" is mistakenly used indiscriminately.
The words are often misused and misunderstood. Even worse, sometimes people will consider an economic opportunity for sure when it called an investment (real estate is a typical example), when in reality, the so-called investments are actually speculation. The mortgage-banking crisis, the Wall Street bailout, and its worldwide wave power are good examples to drive this point home.

Wikipedia, the online resource where definitions are part of a wide-open digital landscape in constant flux, offered this definition of speculation: "The process of selecting investments with higher risk to benefit from an expected price movement."

If speculators are considered at greater risk takers than investors, so what do you make of players? Here's the difference: The wily speculation using logic and research data to identify the most promising profit opportunities in the market. He understands the complexity and unpredictability in the market or any game that involves venture capital, for that matter, and studies of the underlying forces that cause the market to fluctuate either up or down.

In short, the wily speculation taking a calculated risk. On the other hand, they play, whether a player in the financial markets, casinos, race tracks or sports arenas, is either a casual, compulsive or professional player. His behavior is the most important: the compulsive gambler's, driven mainly by emotions, a tendency to just jump in and out, trying to beat the house for a quick and easy profit. This type has a tendency to play hunches and leap without looking.
In contrast, the professional player makes a living using mathematics to analyze games of chance. The tools he uses may include the probability of anticipation and game theory.

The "safe investment" is a myth

It can be confusing trying to differentiate between investment and speculation in any financial transaction, including commodities, mutual funds, stocks, bonds, real estate or business deals. This confusion hamper your ability to calculate what the true expectations of returns should be. It could cause you too much of an opportunity and take unnecessary risks or even irrational.

Understanding that the investment is a myth is crucial when deciding where to commit your capital. In the long run, the decisions you make today will affect your ability to create wealth in the future. If you're looking for a place to put your money with the dream of high returns, we warn you about the effect of herd mentality and how it has led to the ruin of so many - not just in recent days, but throughout history .

You have to learn how to spot the common-sense danger signs, and remember that if something sounds too good to be true, it most likely is. That way you will not read your own history, when someone writes about the next bubble to burst. Just think of the chaos created by real estate bubbles, the Wall Street Meltdown, bank failures and bailouts and the imaginary box "investment" disappears in a puff of smoke.

Essential: A well-planned strategy

None of this is meant to deter you from speculating-far from it. But if you decide to go together to ride on the next market uptick, has a well-planned exit strategy in advance. And a thorough understanding of the big picture, then you have reasonable expectations and a better grip on what you actually do with your money.

And we encourage you to take any risks. There are plenty of good examples of successful speculators and risk-taking innovators who knew where to look for opportunities. And just as many heart-rending accounts of ill-fated investors who were quick to buy-in, but failed to make a timely departure.

Keep your eyes wide open, though. And treat your achievements as a return of speculation. If you
start from the standpoint that it's all speculation, you'll be less inclined to take irrational risks, have fewer unpleasant surprises, and have more reasonable expectations.

Co-authors Jose D. Roncal and Jose N. Abbo share some 50 years of senior executive experience in international business, finance and economics. Both have authored numerous articles on business strategy, finance, accounting, capital markets and the global economy. For more on the authors and their book, The Big Gamble: Are You Investing or Speculating?, visit: http://www.financialspeculation.com/

Article Source: http://EzineArticles.com/?expert=Jose_Roncal

Understanding The Real Rate of Return!

There is an indicator more than any other, determines the health of an economy, and it is the right return. In addition, the simplest of all indicators to understand because it determines the security of assets. Next time you hear talking head discussing the nuances of the markets, filter what they say, through your own understanding of the real rate of return.

The Real returns for a series, which is crucial for the safety of principal. It is calculated by taking the current bond yields and pull the inflation expectations from it. The result is the real return on giaranteed money from the government.

Interest rates are rising, as we have been waiting and this pressure has put an enormous pressure on the stock exchange. The essential simplicity at work here is very, very basic. If interest rates on bonds offer 5.14% and inflation is forecast at 5%. The difference is the real rate of return (in this case we are talking about 14%). Real return is sparking large rallies and purchaser on Wall Street.

The reason for this is that the bond is the largest financial market in the world. There are literally trillions of dollars invested in debt assets. These investors are primarily interested in the safety of their principal and take minimal risk as possible. They have historically been enthusiastic about the fixed-income securities, which would be 2% - 5% annually. During the 1970s this indicator was negative for a while, indicating inflation was rising faster than interest rate and bond markets investor actually had a significant negative returns. During this period, there was much "screaming and gnashing of teeth."

It has always been my view that Federal Reserve Chairman Alan Greenspan's primary task is to keep REAL returns as high as possible. He has been a great success in this way. If you read back over a history of financial markets you would be wise to see the events through this indicator. The economic climate is remarkably different, and people's opinions change dramatically when the real yield on the most secure investment is threatened.

A thorough understanding of this simplicity is necessary for success in any form of investment, as it is the basic building blocks, like any other analysis is based on. Although it is always difficult to predict what will happen in the future, is a factor, you can count on is that when the real interest rate is falling there is much sweat on Brows money managers, which monitors trillions of dollars left for them.

At this point Keep your eyes on this indicator, and make your own forecast for inflation. You will realize that your-ANALYZE can be better than the Big Boys.

Let us be cautious others are!

Dowjonesfully,
-Harald Anderson

http://www.eOptionsTrader.com.

Harald Anderson is the founder and Chief Analyst of eOptionsTrader.com a leading online resource of Options Trading Information. He writes regularly for financial publications on Risk Management and Trading Strategies. His goal in life is to become the kind of person that his dog already thinks he is. http://www.eOptionsTrader.com.

Article Source: http://EzineArticles.com/?expert=Harald_Anderson

Remembering TEOTWAWKI and Learning from It

Its only been about 5 years since we had great fear in the market with regard to Y2K. One might recall that many computer systems were not programmed to be able to understand the change from 1999 to 2000. There was a huge amount of panic created by those who were convinced that, as the clock struck midnight on New Year's Day 2000 that we were to enter the Middle Ages.

By my analysis did not occur unless .... I slept through it and no one bothered to wake me up! (Note to self: Make sure my personal alarm occurs when Y2K!)

The word that is supposed to learn and to understand it; TEOTWAWKI ....( the end of the world as we know it) It was a word created by the Y2K scare.

I think there is a very profound lesson to be learned from the Y2K scare. This forecast is that it is very appropriate. The real problem with dealing with life itself is to manage risk. Risk can be defined many ways but usually they are not prepared for the future and embracing an opinion.

The only advantage of living in a free society is that we are lucky to be exposed to many points of view on a daily basis. As players we must continually learn to distinguish the difference between fact and opinion and determine how the new data may affect us.

For those who do not learn to do this, the end of the world as we know it reflects in their own portfolios. For the rest of us all we can do is learn to manage risk. It 'the only trade secret there.

There are two schools of thought in the trade .... TEOTWAWKI and risk management. You make the choice.

The only constant in life is change. Not expected. Managing risk.

Dowjonesfully,
-Harald Anderson

http://www.eOptionsTrader.com.

Harald Anderson is the founder and Chief Analyst of eOptionsTrader.com a leading online resource of Options Trading Information. He writes regularly for financial publications on Risk Management and Trading Strategies. His goal in life is to become the kind of person that his dog already thinks he is. http://www.eOptionsTrader.com.

Article Source: http://EzineArticles.com/?expert=Harald_Anderson

Asset Location - Increase Investing Returns & Reduce Your Taxes

Location - Once the Holy Grail for real estate investors is fast becoming the mantra for every stock, bonds, mutual fund and investors. Experts and studies hours recognize the asset management position is second only to asset allocation in determining the success of your investment returns.

Importance of Asset Location:

Asset location is a cornerstone of success for a simple reason. Taxable accounts other than tax deferred accounts (401 (k), IRA or similar retirement). Taxable accounts require you to pay income tax on any dividends and capital gains generated from your investment. This tax substantially reduces the amount of reinvestment and annual growth of investment. On the other hand, retirement accounts defer taxes allowing returns to compound without penalty and a significantly faster rate. Asset location refers to the optimal placement of securities between taxable and tax deferred accounts. Good choices reward investors with long-term compounding and significantly higher returns. Wrong choices, or more commonly, not choice, leads to results below average.

The effects are striking. Investors lose up to 20% of their after tax returns from investments in mislocating the wrong type of account. So says a recent study by three professors of finance and Dammon Robert S. Chester Spatt, of Carnegie Mellon University, and Harold H. Zhang of the University of North Carolina. The professors analyzed two classes of assets, equities and bonds in order to determine the suitability for investment by tax deferred accounts. Their conclusion? Investors should keep in equities and bonds taxable accounts tax deferred accounts, to the greatest extent possible. Younger investors stand to gain most from one to follow this advice. Three of the most powerful elements of investing - dividends, taxes deferred, and compound interest - for a staggering combined effect of retirement income.

Unfortunately, the typical investor does not exercise all three performances. A recent Federal Reserve survey shows Americans invest their taxable and tax deferred accounts with identical securities. People focus on individual accounts, rather than the entire portfolio. They ignore the benefits of distribution of investment among different accounts and wind with all the different accounts holding the exact same thing. To their detriment, nearly half of all investors own bonds in taxable accounts and stocks in tax deferred accounts.

Why position works:

The efficiency of the tax system is more important than ever. Two recent changes have led good position strategy. Last year the tax cut, growth and employment Tax Relief Reconciliation Act of 2003 reduced the top tax rates on dividends from 35% to 15%. Those dividends, however, would be taxed at ordinary rates (up to 35%) when withdrawn from the account of a retirement. The new law further cut taxes on capital gains from 20% to 15%. Since most equity investments generate returns from both dividends and capital gains, investors realize lower tax bills when holding stocks or mutual funds for capital within a taxable account.

Similarly, fixed-income investments (eg, bonds) and real estate trusts generate a regular flow of cash. These interest payments are subject to the same ordinary income tax rates to 35%. A tax deferred retirement account provides investors with the best possible reception for these securities and their resulting profits.

Investment that goes where?

Fortunately, the resource position strategy may be relatively simple. Place highly taxed in deferred tax assets accounts first. Anything left over can go into the taxable accounts. From the academic study, the professors concluded with three general rules to help with decision-making. First, locate taxable bonds, real estate investment trusts (REITs) and its mutual funds in tax deferred accounts. Second, identify actions and funds for capital investment in taxable accounts - even if you're an active trader and generate substantial short-term gains. Third, never buy a municipal bond to fill completely tax deferred accounts with taxable bonds or REITs. The combination of composition and defer taxes on the higher returns of corporate bonds is. If all this sounds a little 'of overwhelming, just consult the table below.

Table 1: Asset Locations of high performance and low fees.

TAXABLE ACCOUNTS

- Stocks

- Tax-free or tax deferred bonds (munis, treasuries, and savings bonds)

- Mutual funds that invest in stocks or bonds tax favorites

TAX-DEFERRED ACCOUNTS (IRAS traditional 401 (k) s and deferred annuities)

- Taxable bonds (firms, zeros, suggestions and high yields)

- REIT (Real Estate Investment Trusts)

- Mutual funds that invest in bonds or taxable REIT

Two exceptions are noteworthy. First, qualified distributions are tax-free Roth IRAS. Generally, the activities occur with the greatest potential of return within a Roth. Secondly, if a 401 (k), IRA or holds all (or nearly all) your investment money, throw away this article focus on asset allocation.

Subject:

You, as an investor, can take control over taxes and expenses related to your investment returns. Give your investments to reduce risk and increase returns. Locate your investment with the management of all your accounts to minimize the tax drag on financial performance.

Tim Olson

TheAssetAdvisor.com

Mr. Olson is the editor of The Asset Advisor, a financial investment service providing proven strategies for no-load mutual fund investors. He brings 26 years of education and experience from Stanford University, Ernst & Young financial consulting, personal wealth management, and venture capital investing.

Subscribe to our free newsletter

Article Source: http://EzineArticles.com/?expert=Tim_Olson

Trading Is Not Rocket Science!

Despite what some people may lead to believe that, day trading, swing trading and exchange trend is not anywhere as difficult as it would like to think. It 'really reduces two key components.

First, you must have an approach that helps you identify occupations that have a constant high probability of making money. Once you have this you must exploit this "edge" over and over again.

The only way to do this is to use the discipline not to deviate from your system. The minute you start tinkering or change things is when you lose your edge!

It is very likely to be tempted to do so after having had a few losers. This is the moment, however, to maintain the focus and remember that the statistical system has an advantage that has had over time.

Think about this for a moment? If you go to gamble in Las Vegas and may also have a 1% advantage over the house you can literally make a fortune by exploiting this advantage. What a po 'di percent advantage can make the casinos lose a lot of money over time. As a matter of fact, the minutes notice that you have an effective system that label a ban on cheating and from the game. E 'is certainly a good thing that can not happen to traders!

Now consider what happens if you have a business strategy that produces jobs that go the money in more than 60 to 80% of the time?

Now the second step to success is to manage your emotions. Two of the main indicators of an operator that is not manage their emotions are FEAR and greed. These two emotions will wipe every operator over time, both expert and novice alike.

We talk to them for a minute ...

FEAR: fear of losing money or fear of being wrong is what causes traders to have this emotion.

"The exchange of money with fear" often causes the fear of losing money. This is a merchant, when the risk is that the money should be used for rent, food, children's education, etc. In this case the only solution is to find additional funds that are willing to put at risk. This helps to put your mind at ease and reduce the fear.

Fear of being wrong is simply part in all of us that just do not like to be wrong. The cure for this is simple: Set up and accept that losses are part of this game. Think about this? A baseball player just need to hit the ball once for every three times to the plate and this will have him in the Hall of Fame.

I feel this every once in a while and I remember that ... My approach to the negotiation has both historically and in real-time product consistent winning trades. This gives me the confidence to step up to plate and keep swinging. Moreover, I tell myself that the only way to earn the big money is to come into play.

Greed: The operators are hungry are often the exact opposite of those who are fearful. They have no fear, which may have difficulties. They tend to trade more, not follow the rules and basically "wing it". Sometimes this work, but that often ends up back-firing.

One of the biggest problems when you put in greed is the inability to know when to take profits. They are so bent on making a killing that they are never happy. If you are 10, 20 or 30% of them do not even think of cash as they want more. This often leads to the inability to see the turning against the market and then allow winning trades turn into big ones lose.

One solution to this problem is to realize that making 3, 5, 10 or 15% over a short period of time regular basis adds up really fast. I know that for me personally, once I was confident in my own way, I have not heard the occasional feelings of greed. Now I do not worry "go for broke" because I know that there is another good market waiting for me.

Dr. Jeffrey Wilde, a trading veteran with 16 years of experience is a trading coach to over 3500 traders in 63 countries. His new blog http://www.askjeffwilde.com offers free trading articles, tips and advice. He also teaches a variety of courses found at http://www.win-at-trading.com and http://www.fastforexprofits.com

Article Source: http://EzineArticles.com/?expert=Jeff_Wilde

Landlording 101, Tricks of The Trade

Looking inside your tenant of the mind

Base Mind-Reading Report 101 for a room

It 'obvious, but I say anyway. The better you understand your tenants and their personal situation, the better you can serve their needs and their own. Please note that your needs come after the tenants. Semper put your tenants' needs before their own and they buy property for you in return. This is a fair trade. Take it!

Many cold heart, self-serving, money-grudging, want-be owners do not understand human nature. Let me tell you now, if you can not put yourself in another person's shoes and see a problem from that person's perspective with empathy, not miserably in the "landlording" business and in life. Wise up!

Fear not. If your not sure what I'm talking about, here come the stories and details of how to be loved and adored by those kind people called tenants.

Let me first dispel the horror stories about landlording. If you follow my advice and lessons, you should have few stories to tell of pain. You hear the stories and their sound like this: Those damn lowlife tenants. They trash in our house, they disturbed the neighbors, it ruined our lawn, were filthy pigs who never paid rent on time, have never done what we told them to do and it cost us a fortune to get rid of them and repair our investment once they finally did move.

Well, guess whose fault it is. Yes, it is completely and unequivocally the fault of the so-called person asking themselves a landlord. The real name of this type of so-called owner is fictitious and ignorant because of these lazy fools the whole industry gets a bad rap!

There is a bright side to the scenario described above and that is this: It sets up a perfect opportunity for you to do the exact opposite of the game and create for you an unlimited supply of excellent trouble-free market for tenants life!

Tenants, believe it or not, are human beings. They are not animals or things to be mistreated, abused or taken advantage of. If you rent your preparing, as if your mother was going to be moving, his mindset would be realigned in short time. In fact, you start watching from a compassionate point of view. You do not cut corners. She does not let go of things that need fixing. You can use more attention, competence and diligence in preparing that dwelling for another decent human being to begin calling home. This is what you want to achieve.

You want to make a trouble-free, pleasant, aesthetically pleasing, creature comfortable, that meet needs, safe, secure, accessible and convenient place to live. When you provide those things and screen the population, is surprising as gold.

The process to get good tenants begins in your mind. With this, it means you have to educate themselves to be able to recognize the value and acquire properties that are structurally sound, aesthetically pleasing, functional and physically provide safety, security, accessibility, comfort and a feeling of pride for your tenant of the mind.

Sounds like a job, is not it? Well it is not. In fact it is so easy to reach, once they understand the process, you will not even think about it. It is naturally to you. I promise you that this is true and I'm going to try you as well.

I am absolutely sure that you can do it. So, for now, just take my word that as a fact, because it is. Here's an example of using a motto to align your thought process in relation to all the things I just said. Repeat the following:

Owner's Creed

I will not vote for rent to someone else, something that I myself would not be happy living in.

Mansions not included!

Now that applies to all potential property that is assessed as a potential rental property investment. Human nature is immutable. We have all the basic needs, wants, desires and expectations that include fear. When you remove the fear and provide comfort and security, you own your market.

So, what first has to do before it can be a great landlord is great to find places to rent to others. I explained how to do this in a book www.magicbullets, then I will not dwell here.

The process of screening is also indicated in that book as well. I hit a couple of things that were not touched in the processes already in the main body of the book, so here are a few nuggets for you now.

The following comments are made after having already performed the formal investigation process. Let me rushing up to the day that your face to face meeting occurs with tenants who have passed your telephone interviews and managed to get an appointment with you to see your wonderful hire.

Now, here are some things that your uneducated dummy type landlords can not begin to recognize, or plan to evaluate when you appear before their very eyes.

As soon as your potential renter shows up to view the property, take note of
Time. They are on time? They can keep their promise before you? They can follow directions? If their purpose, they get lost? I am sure that you gave them a good direction, and also used as reference points churches, shops and monuments, so that you can find easily. If they can not follow simple instructions, do you think a lease agreement and those signs will be easier! No, they are more difficult to follow.

O.K. They showed up on time. This says they respect your time, are able to follow directions and are serious about finding a nice place to live. How to get there on foot, by bike, bus, taxi, truck, motorcycle or tractor-trailer? Preferably they arrived in a clean and well kept car that is in a clean condition.

Now that was driving the vehicle? In the case of a couple are both will rent or your tenant without wheels. Suppose your perspective of unity in their car. It runs fine, so you will not have cars on blocks and a yard parties for a lawn in front of six months when they buy more cheap junk to get around with.

So the car seems O.K. on the outside, but how about the inside of the machine? Do not smoke and have smashed down McDonalds bags pushed so far into the floor which now resembles a carpet? This vehicle looks like a house on wheels, with garbage bags full of clothes, a baby crying and a cat in the back window? Be careful if you see this type of spy trials. I do not think I need to paint the picture of what will result if you forget this step of investigation.

Pickup trucks with camper shells can also be loaded with Gunnels with personal effects, including small zoo animals. I encourage you to get a look back there, too!

The bottom line here is people generally treat your property the way they treat their own, if you're lucky! To see how they did with their things up to this point and choose wisely based on intuition, gut-feeling and physical evidence.

So the car is more inspection time. How are the appearances of the people? They are clean and well cared for? Does not seem to fit the profile of what we had planned to telephone interviews are or 180 degrees outside? They have successfully fooled or deceived you to believe something different up to this point? Now that appeared before you, it is patently clear that these people are artists?

If you get a sense of unease within the first few minutes of meeting these people, do not brush it off as just some crazy thoughts. What is his instinct for self-preservation and operation is better listen to it. The book, Magic Bullets will help protect you, so do not worry. Use this information to protect themselves from events leading to horror stories. Do not give it another thought. Let's get to our interview, are there?

So far in time. They have a good clean car and they appear to be honest and decent people who actually give the impression has grown over the phone. In reality, these people are much more than expected. Yes, if you will often be right that his experience and is almost a pleasure and privilege to rent to those individuals of high quality.

Have you noticed something about the process here? There was no mention of race, religion, national origin, sex, age or marital status. This is discrimination based on the federal protected human rights and is against the law to discriminate on these issues. This includes the disabled and a few other groups have ignored me.

My point is simply this: if they meet all the criteria that makes for a good quality tenant, which was ruling an excellent long-term potential tenant based on preconceived notions and that is landlording dummies in the first degree! So do not discriminate on the basis of human rights.

So many people screw this process. They also make mistakes by choosing management companies to do so highly developed intuitive type of research and planned for the event. I honestly do not know the management company that can be deepened as an owner who takes the time to protect their interests in this way.

I do not care what management companies to protest about the declaration. The fact is, you are not, so that can never find a tenant that satisfies your own personal preferences the way you can.

I like to personally screen potential tenants because in all cases, I have total control and this is what real estate is all about - control!

Think the opposite of control. This would be the stock market for the small investor. The way I see it, I do not want to be on the sidelines rooting for someone else to make money for me or, more often, hoping it will not lose, steal or mismanage my death.

By the way I approach real estate, is a guarantee of 100% every time I am going to outsmart, outwit, results, over and under deliver the promise to the point that I crush my competition. Are in a league of my own.

My tenants are the winners and they know that, too. What kind of loyalty you think is developing in the minds' of people who look to me for protection? E 'as a testimony and irrefutable, obvious, empirical fact that I have enough attention on people who have entrusted me with their welfare, their time, their money and their confidence to fulfill my promises. My tenants do not move. Or they pass away due to old age or the end to buy from me when I want to sell it. It happens like this all the time.

So think again when you hear a dummy owner talking about all the problems they had and then ask a question. Magic Bullets have read before they become an owner? E '100% sure that did not. If they had, then their tenants would have loved and paid for their property and time again, and made them rich beyond their wildest expectations ...

Snap out of it! Hey, are you with me? OK, back. Good Let's get back to reality here. What do works and the only thing on landlording I do not like is the collection of all those darned checks. I'm not kidding. Bank tellers look at you like your some sort of thief because you have so many checks for cash.

Here are a few things that you will not find out unless you have been around a while 'time but I will save you from pain to learn the hard way. Now of course you're going to do everything right, following my advice in real estate, but there are a lot of things that I do not know. Yes, I admit. I do not know everything, but I know what I'm going to say about coming and that is ... drum roll, please! Watch out for real estate investment property that comes with existing tenants! Here's why. In general, the new owner takes the property subject to existing leases and rights of the tenant or tenants. In most cases, whatever existing lease or rental agreement that has been done with the previous owner will remain in force.

What would happen if we do not consider existing tenants lease agreements? What happens if the previous owner rented a unit for his good-for-nothing, addicted brother for $ 1.00 per month for the next five years? Here is a valid lease. You can take them to court for misrepresentation, but it's going to cost you lost rent, lost sleep and maybe your safety.

In any event, which is an extreme example of an intentionally designed below-market rental lease agreement, but that illustrates my point. Here's another. Let's say you're getting a great and you buy, and discover why the owner was sold to her because it was the tenants were very difficult and had him over a barrel. And all the time who pay below-average rents and complaining about everything. Now you get and you can not increase the rent and refuse to move. Here is your lawyer eviction and have more legal fees and lost rent to boot.

My point is this: Make the seller get rid of bad tenants before closing on the deal. Making a pre-closing inspection and personally walk through the empty apartment, house, condominium, trailer or pet you. Bring extra locks or call a locksmith and changed the locks on the day before closing. An honest seller will not have a problem with that as long as the company holds the title of those keys until the check was accepted at the closing table.

The lesson here is always best to install their tenants because the control of the process from beginning to end. Do not follow a dummy landlord or by default, it could be a dummy, too!

Remember this: When you install new tenants, we are generally going to get a higher rent from the property because inflation creeps along and landlords have a hard time raising rents on people. I saw 10-15 years long-term tenants pay the same price for 15 years. You go broke if you let that happen.

Adjust rents accordingly every time you fill a vacant unit and if people want to renew their leases, then inform them of an economic reality that currently exists called inflation, and there are only keep up with it! The annual Consumer Price Index may be used as a reference. If they do not understand, and have an option that would be to go for a look similar to your rent at a lower price. If you followed my advice, this elusive low price will not be found and your tenants will be grateful to you for the hiring of such a clean place to the new price adjusted rate.

There's a lot of garbage held for rent and prices may be lower, but nobody wants to live in a pigsty with lime green Shag carpet and orange tops against Brady Bunch, where the roaches tell you what to do.

So the lesson here: Encourage balking tenants to find something comparable to your lower price. If you find it, let them go. Odds are, they will not. After all, I said, it is often impossible for the next year, if you're a hands-on owner. There is no fee of 10% for both management company. Then you can even ask 5% less than investors who use professional management to do their work. So many ways to slaughter the competition ... so little time!

Dan Auito is a dual licensed real estate agent and appraisal assistant. In addition to being a 20-year veteran of the U.S. Coast Guard, Dan has also founded a non-profit drug prevention company, a real estate consulting group and is the author of "Magic Bullets in real estate." This 300 page power-packed book (due out in late September 2004) has a website (in line at the end of September 2004) that further supports its readers. Dan lives with his wife Kimberly and their two sons, Brandon and Briana, on the Emerald Isle Kodiak Island, Alaska.

Dan may be reached at http://www.magicbullets.com Call 1 907 481-6300 or write 1619 Three Sisters Way Kodiak AK 99615

Article Source: http://EzineArticles.com/?expert=Dan_Auito

Selecting Rules for Investing and Trading

There are three major differences between investment and trade. Overlooking them can lead to confusion. A beginning trader, for example, may use the terms interchangeable and misapply their rules with mixed results and unrepeatable. Commercial investments and become more effective when their differences are clearly recognized. An investor The objective is to take long-term ownership of an instrument with a high level of confidence that will continually increase in value. A trader buys and sells to capitalize on short-term changes in value with some 'lowest level of confidence. Targets, timing and levels of trust can be used to delineate entirely two different sets of rules. This is not an exhaustive discussion of these standards, but is intended to highlight some important practical implications of their differences. Long-term investing is discussed first followed by a short trading period.

My mentor, Dr. Stephen Cooper, defines long-term investment as the purchase and possession of an instrument for 5 years or more. The reason for this seemingly narrow definition is that when you invest in the long term, the idea is to "buy and hold" or "buy and forget". To that end, it is necessary to take the emotions of greed and fear the equation. Mutual funds are favorites because they are managed in a professional manner and that naturally diversify your investment over dozens or even hundreds of stocks. This is not just any mutual fund and that does not mean that one has to stay with the same mutual fund at all times. But that does not remain within a class of investment.

First, the fund in question must have at least a 5 or 10 years track record of proven annual gains. You should feel confident that the investment is reasonably secure. You are not constantly watching the markets to take advantage of avoiding or short-term ups and downs. You must have a plan.

Secondly, the performance of the instrument in question should be measured in terms of a benchmark well defined. One of these is the benchmark S & P 500 INDEX which is an average of the results of 500 of the largest and best performing stocks in the U.S. markets. Looking back for the 1930, over any period of 5 years the S & P 500 Index has gained in price by around 96% of the time. This is quite remarkable. If you enlarge the window to 10 years, notes that over any period of 10 years the index has gained in price by 100% of the time. The S & P500 Index has gained an average of 10.9% a year for the last 10 years. So the S & P500 is the benchmark.

If one invests in S & P500 index, can expect to earn, on average, approximately 10.9% a year. There are many ways to enter this type of investment. One way is to buy the trading symbol spy, which is an Exchange Traded Fund that tracks the S & P500 and trades like a stock. Alternatively, you can buy a mutual fund that tracks the S & P500, such as the Vanguard S & P 500 Index Fund with a trading symbol VFINX. There are others as well. Yahoo.com has a mutual fund screener that lists scores of mutual funds have annualized returns in excess of 20% over the past 5 years. However, you should try to find a screener that provides benefits for the last 10 years or more, if possible. To put this in perspective, 90% of the 10,000 or mutual funds so that there do not like the S & P500 each year.

The fact that 10.9% is average market performance for the past 10 years is all the more remarkable when you consider that the average yield of bank deposits is less than 2%, 10 years Treasury yields are about 4.2% and 30-year Treasury yields are only 4.8%. Corporate bond yields approximate those of S & P500. There is a reason for the disparity, though. Treasuries are considered the safest of all investments of paper, supported by the U.S. government. FDIC regulated savings accounts are probably the next safe, while stocks and corporate bonds are considered somewhat 'more risky. Savings accounts are probably the most liquid, followed by stocks and bonds.

To help gauge the safety and liquidity, the long bond holders are comparing bond yields are now receive next year with the expected returns of stocks. Consider that next year expected S & P500 yield is about 4.7% on the basis of mutual average price of its income (relationship P / E) of 21.2. Yet the 10-year annualized return the index was 10.9%. Bond holders are willing to accept half the historical performance of stocks for greater security and stability. In any given year, stocks can go either up or down. The bond yields should not vary much from one year to another, even if they have been able to do so. And 'as if the holders of bonds will be free to invest in the short term, and in the long term. Many bond holders are traders and investors rather than accept a lower yield for this flexibility. But if one has decided once and for all that is a long-term investment, high yield mutual funds or stock'S & P500 Index, in turn, it seems the best way to go. Using the simple compound interest formula, $ 10,000 invested in the S & P500 index to 10.9% a year becomes $ 132827.70 after25 years. At 21%, the amount after 25 years is more than $ 1 million. If in addition to an average of 21%, it adds only $ 100 a month, the total amount after 25 years exceeds $ 1.8 million. Dr C. rightly believes that 90% of its capital should be allocated in a more such investments.

Now that you have allocated 90% of its funds to long-term investing, which leaves about 10% for trading. Intermediate short-term trading is an area that most of us are more familiar with, probably because of its popularity. But it is much more complex and only about 12% of traders are successful. The time for trading is less than 5 years and is more typically a couple of minutes to a couple of years. The typical probability of being right in the direction of a trade approaches an average high of about 70% when an appropriate exchange system is used at less than about 30% without a trading system.

Even at the low end of the spectrum, you can avoid that wiped out the management dimension of business in less than about 4% of its trading portfolio and to limit any loss to no more than 25% of a commercial lease, while your winners until they decreasing by no more than 25% from their peak. These percentages may be increased since there is evidence that the probability of choosing the correct direction of trade has improved.

Intermediate-term trading is based more on fundamental analysis that tries to assign a value to a company's stock based on its history of income, assets, cash flow, sales and any number of objective measures in relation to its current price of Title. It may also include projections of future revenue based on reports of business agreements and changing market conditions. Some refer to this as value investing. In any case, the objective is to buy a company's stock price and wait for the market to realize its value and bid up the price of first sale. When the stock price is enough, the instrument is sold unless it sees a continued growth in the value of the stock, in which case he moves beyond the category of investment.

Since trading depends on the perceived value changes in a stock, the exchange of your time should be chosen on the basis of how well you can detach yourself from the emotions of greed and fear. The best you can remove emotions from trading, the shortest period of time he can commercial success. On the other hand, when you feel waves of emotion before, during or immediately after a commercial, it's time to step back and consider the choice carefully and trading less frequently. An ability to remove emotions from trading takes a lot of practice.

This is not just a moral statement. An entire universe of what is called technical analysis is based on the aggregate emotional behavior of traders and forms the basis of short-term trading. Technical analysis is a study of price and volume patterns of a stock over time. Pure technicians, as they are called, argue that all the news and evaluations were included in a stock's technical behavior. A long list of technical indicators has evolved to describe the emotional behavior of the stock market. Most technical indicators are based on moving averages over a predefined period of time. Indicator time periods should be adjusted to fit the negotiation period. The subject is too large to do justice in less than several volumes of the press. The low level of trust involved in the trade is the reason for the large number of indicators used.

While the long-term investors can use a single long-term moving average with confidence to track steadily increasing in value, traders use multiple indicators to deal with shorter time frames fluctuating value and higher risk. To improve results and make them more repeatable, consider your expectations to change the value your time and your level of confidence in predicting the outcome. Then you will know that set of rules to be applied.

James Andrews publishes the Wiser Trader Stocks and Options Newsletter. Information on selected stock market trading systems, including those of Dr Stephen Cooper, can be found at http://www.wisertrader.com.

© 2004 Permission is granted to reproduce this article, as long as, this paragraph is included intact.

Article Source: http://EzineArticles.com/?expert=James_Andrews

Poll Names Coin Laundries Best Investment For 2005

According to Morton Pollack, CEO of PWS, The Laundry Company and editor of the newsletter, “Historically, laundry owners have been a quiet group. Knowing they are onto a good thing, they’ve been pretty reticent. However, many now agree that it’s time for respect to paid to this powerful investment vehicle and we hope the poll will play a part”.

Coin Laundries have historically been a very attractive investment yielding strong returns regardless of the ups and downs of Wall Street and the economy. Deemed one of the top ten safest investments by the Small Business Administration and Dun and Bradstreet, neighborhood laundries offer a dependable ongoing 20 to 30% yearly return on cash invested, according to the Coin Laundry Association.

“Today’s modern laundries are all cash, no inventory businesses that offer great tax benefits and require modest oversight,” says Morton Pollack. “We believe they are the best part-time, investment venture available and their future looks even brighter. The demographics coin and card laundries serve are the fastest growing segments of the US population. With so many proven benefits, we weren’t sure whether Laundry Center MarketWatch should name today’s Card and Coin Laundries the Sexiest or Safest Investment for 2005. So, we are leaving it up to readers and the industry to vote for their choice via our free e-mail newsletter”.

To learn more about the coin laundry industry, to receive your free subscription to Laundry Center MarketWatch and to register your vote as to whether Coin laundries should be named the Sexiest or Safest Investment for 2005, visit www. Laundrycenter.info or call 1 877-45 LAUNDRY.

Ilene Fudim is a nationally recognized expert in the coin operated laundry industry and a contributing editor to the Laundry Center Marketwatch newsletter. She has been instrumental in helping launch many successful coin laundry businesses.

Article Source: http://EzineArticles.com/?expert=Ilene_Fudim

Sitcom Investing

A fickle stock market encourages good-humored mockery.

Recently, as I watched the premiere of a sitcom, an obvious omission breached television etiquette. Silence followed every exaggerated comedic set-up. There was no laugh track. Where were the premeditated giggles from the show's "audience?" At last, the viewer determines the funny moment.

It then occurred to me, the writers of this new show adopted an aspect used by investment news programs.

I will be the first to admit, in addition to the miscellaneous printed and electronic financial information, the television provides an abundance of supplemental financial news. However, the shows often leave me asking, "What's missing?" In addition, the shows may very well leave viewers with the ultimate responsibility, which segment is entertainment and which is practical advice.

Perhaps you may recognize one of the canned statements below that investment show gurus continuously utter. Although each may be applicable (and in may cases vital to successful financial planning), notice the missing "laugh tracks."

How many times have you heard "Invest For the Long Term?" The analyst may be leaving out "because I hope you forget my last appearance and the short term disaster I have caused for the viewers who actually acted on my recommendation." Each investor's long-term outlook is somewhat different for the other's and you should always review the guests' recommendations with caution. What is his or her reasoning for such revelation?

"Buy and Hold." The missing part: "because I have no idea of an exit strategy to recommend." True enough, the more successful investors are those who invest according to a well-planned strategy and stick to it. They generally hold onto their winners. There are, however, times that will dictate an exit strategy.

Finally, there's "Use Asset Allocation." The missing part: "because I cannot tell you which asset historically does better in this particular market environment." There are many ways to accomplish diversification in your portfolio and it does not always have to revolve around the division of stocks, bonds, and cash. Depending on your particular objectives, time horizons, and risks, an appropriate allocation may be derived from the use of just one type of asset. Either way, there are no guarantees when you place your money in the stock market and it is best to remind yourself of the risks of each investment. Try including real estate, collectibles and insurance products in your general financial plan.

We can all watch the appearance investment gurus make on financial shows. Perhaps we can include light-hearted follow-up statements as if we were watching a Rocky Horror film. We often enjoy the amusement provided by television personalities, however, it is important to review your investments regularly. Always examine your motive behind each buy and sell.

In actuality, your financial future is no laughing matter and should be guided with thorough commentary. Television shows come and go; your finances may one day be a legacy.

Wardlaw's belief is that familiar life elements best illustrate practical investment strategies; not typical investment jargon. With that philosophy, the author assists financial planners/advisors, brokerage firms, periodicals, and other investment information syndicates create informative and entertaining articles. For comments and questions, please contact the author at tools2invest@yahoo.com

Article Source: http://EzineArticles.com/?expert=Kemberly_Wardlaw

Day Traders and Swing Traders and Options? Maybe!

Typical day traders and swing traders look for stocks with quick,
short term movements, and are not in the business of holding
positions overnight let alone a week or two. So the use of
options has not usually been a component of their trading
strategies.

Now however, some new opportunities for profit are available
since many day trading firms are allowing their traders to trade
options. Unfortunately, many option strategies do not apply to
the quick in and out nature of day trading. Neither day traders
nor swing traders are typically in a single stock long enough for
the strategy of selling options for premium collection to be
viable.

Since these traders often look for break-outs, and sometimes go
bottom fishing to find opportunities for profit, a premium paying
option might work well for them. Why? Because the trader would
be buying protection from catastrophic losses. Bottom fishing
and breakouts are associated with volatility, which means
uncertainty and risk. However, there is a strategy that will
provide the necessary protection for these traders to carry
positions through overnight risk, while remaining fully
protected. This would still allow also them to take advantage of
the large potential upswing that was the original goal of
identifying the bottom and the break-out. This strategy is
called the protective put.

THE PROTECTIVE PUT

The Protective Put Strategy involves the purchase of put options
in combination with the purchase of stock and works well in
situations where a stock is prone to rapid, volatile movements.

A put option gives an owner the right, but not the obligation, to
sell a certain stock, at a certain price, by a specified date.
For this right, the owner pays a premium. The buyer, who
receives the premium, is obligated to take delivery of the stock
should the owner wish to sell at the strike price by the
specified date. A strategically used put option offers
protection against substantial loss.

The protective put strategy is a strategy that is ideal for a
trader who wants full hedging coverage. This strategy is very
effective in stocks that normally trade under high volatility, or
in stocks that normally do not trade under such high volatility
but may be involved in an event driven, highly volatile
situation.

When an investor purchases a stock, they can buy the put
(protective put) to provide a proper hedge. The construction of
this position is actually quite simple. You buy the stock and
you buy the put in a one to one ratio meaning one put for every
one hundred shares. Remember, one option contract is worth 100
shares. So, if you buy 400 shares of IBM then you need to
purchase exactly four puts.

From a premium standpoint, you must keep in mind that by
purchasing an option, you are paying out money as opposed to
collecting money. This means that your position must
“outperform” the amount of money that you paid for the put. If
you were to pay $1.00 for a put and you owned stock against it,
the stock would have to increase in price $1.00 just to break
even. The protective put strategy has time premium working
against it, thus the stock needs to move to a greater degree, and
more quickly, to offset the cost of the put.

When we buy a stock, three potential outcomes exist. The stock
can go up, go down or it can remain stagnant. If we were to
analyze the three scenarios, we would find that only one
scenario, the up scenario, can produce a positive return and
that’s only when the stock increases more than the amount you
paid for the puts. The other scenarios produce losses. If the
stock is stagnant, you lose the amount you paid for the put. If
the stock goes down, you lose again- but the loss is limited. It
is the limiting of loss in highly volatile situations that makes
the protective put an attractive and useful strategy.

This is how it works! Imagine you buy stock for $31.00 and buy
the 30 strike put for $1.00. If the stock goes down, the
position will produce a loss. For example, if the stock is down
to $30.00 (down $1.00) at expiration of the option, you have a
$1.00 capital loss. With the stock at $30.00, the 30 strike puts
will be worthless, thus you incur a $1.00 loss because that is
what you paid for the put. Your total loss will be $2.00. Using
the protective put strategy set a cap on your losses. The put
strategy's attractiveness is that it will allow you to set loss
limits!

Let’s see how that works. We’ll set the stock price down to
$28.00. Since you purchased the stock at $31.00, there will be a
capital loss of $3.00. The puts, however, are now in the money
with the stock below $30.00. With the stock at $28.00, the 30
strike puts are worth $2.00. You paid $1.00 for them so you have
a $1.00 profit in the puts. Combine the put profit ($1.00) with
the capital loss ($3.00) and you have an overall loss of $2.00.
The $2.00 loss is the maximum you can lose no matter how low the
stock goes because the buyer of your put must take the stock at
the strike price. This is the protection the put provides.

_/_/_/_/_/_/_/_/_/_/_/_/_/_/_/_/_/_/_/_/_/_/_/_/ Amazing Options Trading Strategies For Safer Investing and Explosive Profits. Discover how to protect your investments with the leveraged power of options. Step by step video tutorials show you how. Click here now: http://www.options-university.com _/_/_/_/_/_/_/_/_/_/_/_/_/_/_/_/_/_/_/_/_/_/_/_/ Article Source: http://EzineArticles.com/?expert=Brett_Fogle

Building The Foundation For Wealth

You wouldn’t build your home on anything less than a solid foundation.
Similarly, you can’t build wealth and financial independence without first having sound foundational principles to build upon.

I have found that many people are working on wealth building strategies such as maximizing their 401K returns, aggressive stock trading, and real estate investing without such a foundation.

Most of my clients are coming from a “one step forward, two steps back” cycle of wealth building that gets them nowhere in the long run.

There are steps you can take to make sure that you are maximizing and protecting your gains at the same time. Without these steps, you are destined to experience the gain-loss cycle which, in the end, is like spinning your wheels in the mud.

Discover how your employment circumstances affect your wealth building strategy and have more of the things you want by identifying your biggest expense and managing it without having to make more money.

Most people take gains in their cash flow to mean they can spend more on things they don’t need. It is human to want to surround yourself with the things you want to match how you feel about your new income from investments or a raise at work.

But what happens here is that you lose future earning power and you rip out pieces of your wealth building foundation because you are not putting new income to work by investing in your debt.

People talk a lot about returns on investments. Think of the return on a 13% credit debt that you pay off in 5 months aggressive debt investment. It’s NOT just 13% you are saving by investing in your debt!

Once that debt is paid off you can turn the payments you were making toward a larger debt, sometimes doubling the rate at which you are able to pay off that bigger debt. Combined, the return on your investment here is massive compared to regular stock investing!

Wealth building, in the beginning, is actually started with debt reduction and strict management. A change in attitude about your debt, from “liability” to investment, is the first step in true wealth building.

Today you should sit down and find the monthly expenses that truly don’t mean as much to you as building wealth does. See how you can eliminate some of your spending to invest in your debt in order to maximize your cash flow faster, giving yourself a raise!

Take most of what you now have available per month and turn it toward the next debt – raising the regular monthly payment by as much as you can while rewarding yourself with a little thing to note your accomplishment.

Before you take on another investment, think about the wealth you can build with the money that currently goes to debt. Once you have mastered your debt, all that money can go toward investments, savings, and living expenses that far outstretch what you are able to experience now.

The only aggressive investment strategy that has absolutely zero risk is debt investment. You cannot lose and the gains are always tremendous compared to any other form of investing.

Live your retirement years free of financial stress, relaxed and enjoying life due to automatic income streams you create through the powerful investments you can afford AFTER investing in your debt.

C.C. Collins is a respected financial strategist and investing expert. His NetWorthPublishing family of sites offers information and help with stocks, mutual funds, retirement planning and wealth building.

Article Source: http://EzineArticles.com/?expert=C.C._Collins