Rule #1 Finance Blog
With Investor Phil Town
When your retirement savings are on the line, if you’re just starting out, or if you’ve been investing for a long time… you can be seriously impacted by stock market fear when making investment choices.
It’s a fact of life that people are emotional. And for good reason, they want to protect their nest egg.
Emotional people don’t make the best investors. So, we need to figure out how to not let fear impact our investing.
As Warren Buffett said, “If you cannot control your emotions, you cannot control your money.”
By the time you’ve reached your 40s, you’re probably earning more, saving more, traveling more, and feeling more comfortable…
But, be careful!
You still face the potential to have your cost of living creep up to a level that could cause problems.
Here are six common money traps to avoid in your 40s so you can set yourself up for financial freedom in retirement. Read more.
When you’re searching for companies to invest in, there are endless resources that will tell you what you NEED to do to make sure you’re buying the right stocks and taking the least risk. But, one of the main principles of Rule #1 Investing is sticking to what you know. Read more.
Over 120 million Americans fall into the middle-class.
The American middle class was once thought of as the backbone of the national economy and while the people who make up the middle class are still just as hardworking as ever, some of the things that we thought we’d have – like retirement, a house, a debt-free lifestyle – just aren’t there anymore. Read more.
When it comes to investing, Rule #1 investors take a similar approach to billionaire Warren Buffett’s views. It’s only fitting that some of my favorite investing books are also some of Buffett’s as well. Did you know that Warren Buffett reads 500 pages per day?
Buffett says that, “Knowledge builds up like compound interest.” He actually devotes 80% of his day just to reading. Now, I know you all have jobs, kids, and a life so you probably can’t devote that much time to reading. Regardless, I’ve got some great investing book recommendations for you for this year. Start with these. Read more.
Does taking more risk when you invest actually yield more rewards? Risk and reward are the yin and yang of investing. Both are always present, though it is certainly possible to reduce your investment risk and increase your reward if you follow the right investing strategy.
Before you can go about reducing risk and increasing reward, though, you first must understand what the risks and rewards are – and what you can do to alter them. Read more.
Buying low and selling high makes a lot of sense in theory. But try and apply that to the complex moving parts of today’s stock market, and it won’t look quite as simple as it sounds. The reason behing this is that not very much is on sale right now. Read more.
You’ve probably heard before that those who do not learn from history are doomed to repeat it.
This saying holds true for many things, including investing. Read more.