InvestED Ep. 146- Everything You Need to Know About Today’s Market, Indexes & Cap Rates

Danielle and I are back again this week to discuss the current state of the market, index investing, and how to use capitalization rate to your advantage when valuing real estate.

In Episode 146 You’ll Learn:

  1. Why you need to do more than just “work” in today’s economy to survive.
    • We take a closer look at college tuition costs, the housing market, and other market factors that tell millennials will have to get creative (and start investing) to continue to thrive in today’s economy.
  2. What is Index Investing?
    • A passive type of investing that tries to generate similar returns that are comparable to a broader market index.
    • There are more people investing in indexes than stocks in today’s current market, which is not necessarily a good thing.
    • What is an Index?
  3. What are Rule #1 Style Gurus doing in today’s current market?
    • Many are investing in private companies.
    • Others are sitting in cash.
  4. What is the Capitalization Rate
    • The capitalization rate is a value used to estimate an investor’s potential return on a real estate investment based on the income the property is expected to generate.

Show Notes:

  • Preorder Danielle & Phil’s New Book Invested

If you need to plan out your 2018 and get everything started off right, I created a 12 Month Financial Success Planner to get you started. It’s filled with monthly goals tracking, calendar planners, and monthly financial challenges to keep you on track. Click the button below to download it for free.


On the InvestED podcast, Phil and his daughter Danielle shine a light on the successful investing strategies that gurus like Warren Buffett have used for 80 years. Listen in for a great stock market education on basics, learn how to invest on your own, and follow along with real-time examples and investing tips from week to week.

  • David Christensen

    I also pre-ordered the book. 🙂

    Phil talked about his students who have 401ks, moving out of index funds based on indicators (or “tools”). Does this idea account for cases where it takes a few days (even up to a week) for a 401k managing company to process a request to reallocate the funds? Is this technique still expected to work despite this latency?

  • Lukáš Adamčík

    I already preordered two copies of Invested! Currently Im reading Rule 1 and I still have Payback Time. I should be done with those two before my copy will arrive.
    Thanks a lot for what you are doing!