Rule #1 Finance Blog
With Investor Phil Town
There’s a lot of fear surrounding stock market crashes, so it’s natural to wonder if we’re on the cusp of a crash and what to do about it.
While you can’t predict the stock market, knowing how to spot the signs of a market crash can help you prepare for an impending downturn.
Before we dive in, I want to be clear: knowing a crash could be coming will only get you so far.
Think about it. If you see the warning signs of a market downfall, but haven’t put in the work to confidently know what you should and shouldn’t be invested in both now, and after the market drops – where does that really leave you?
That’s why in this post I’ll show you not only the warning signs of a market crash approaching, but also what to do about it and how to spot companies that will survive any market volatility.
Let’s dive in.
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.
Did I have you at “double your money”?
You can double your investments quickly if you get a great rate of return thanks to the power of compound interest. But, how will you know what rate of return you need to double your money in the next 3, 5, or 10 years? Well, there’s a formula for that and it’s called the Rule of 72.
Of the many different investing strategies that a modern-day investor has to choose from, value investing is among the most tried and true of them all.
Are you riding your retirement on the success of the stock market? If so, it’s understandable that you’re worried about what a crash could mean for your 401k.
If that’s you and you’re wondering how to protect your 401k from a stock market crash, I’ve got good news for you:
You don’t have to worry.
I want to stress something. It’s not difficult to learn how to invest. You—or anyone—can learn to do it on your own and get started in just 10 easy steps. However, you do have to put in the work to actually learn it.
Don’t think you can just open up a brokerage account and start making smart calls tomorrow.
It takes a bit of time and proper investing training to learn how to invest the right way, but if you do, you could experience incredible returns on your investments, and if you don’t, you could be sorry.
How stock prices are determined can be a bit ambiguous to anyone not on the trading floor. As investors, though, it’s important to know why a stock is priced at what it is, and why it changes.
So, I’m here to clear up the confusion. By the end of this, you will not only know how stock prices are determined but also how to pick stocks to buy and when to do so based on their price.
There’s one key thing I hope you get out of this: The price of a company’s stock does not always equal its value.
Alright, the class is in session. Let’s begin.
What is a stock split and what does it mean for you?
Stock splits happen from time to time, so it’s important for us as investors to understand what they mean and how they might impact our investing decisions.
Consider this a crash course to stock splits. Let’s begin.
Setting budgets and milestones are great, but these efforts are futile if you don’t create an actual investment plan to help you stay on track. It’s one of the most critical steps to meeting your long-term financial goals.
Warren Buffett once said that “An idiot with a plan can beat a genius without a plan,” and this is especially true in investing.
That’s why today, I want to cover how to create an investment plan in 5 simple steps, so you can kickstart your journey and set yourself up for a financially secure future.
So, let’s get started.