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Coping with Meeting Disrupters
here are several common difficult behavior patterns that are demonstrated at meetings. Here are a few with suggestions on actions to take to alleviate the problem the behavior presents. 1. There are those who like to ask questions which may or may...
Get real about Home Businesses!!!
Copyright 2005 Michelle Cornes Are you thinking it might be time to take control and work for yourself? The degree to which YOU are up for this challenge is everything. Here are some of the things about yourself that you really need to be...
How to Write a Business Plan in Five Steps
People often ask "What makes a good business plan? Or, "How do I make my plan attractive to lenders and investors?".
The simple answer is that lenders and investors (I'll call them "readers" from here on out) are looking for "good deals". A...
Lease-Option Caution Signal
Why are real estate investors having so much success offering "rent to own" homes? Lease-options offer home ownership opportunities to folks with little cash and not so hot credit. Oh boy, there are plenty of those around. Both parties in a...
THAT'S ONE NEAT TRICK! TURNING COMPLAINERS INTO LOYAL CUSTOMERS
No matter what business you're in, it never fails. Every so often, you get one of those customers that seems to make an effort to find something to complain about. Maybe they're unhappy with your customer service, accuse you of selling faulty...
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Does the Moon Have Covers?
Recently, one late winter night, my four-year old son and I counted stars with one another. After a few minutes, he pointed to the bright moon and asked, "Why doesn't the moon have covers?"
"Covers? What do you mean?" I inquired. And in his own boyish terminology, he launched into a long description justifying the moon's requirements for blankets to protect itself against the weather's elements. To me, his ideas were plausible and thoughtful.
As an investor, it may serve you well to consider your portfolio's protection. Have you protected your investments during this year's volatile cold snap and will you have the necessary diversification to enjoy a potential market re-heating? The following may assist you in all types of markets.
For individual stock investors, a defensive posture served them well during the recent bear market. By employing "tight" stop losses, they created downsize protection. Even if the sell price seemed undesirable at that particular time, building a cash position with such proceeds allowed investors a chance to re-enter the market at lower levels. Risk of principal still existed in such scenarios and this strategy will not guarantee you a positive return. For many, this strategy is not proper.
If your portfolio is growth oriented, no income generation necessary, it is important to keep focus on your pre-determined investment philosophy. Even so, you should not ignore the short-term. Pay close attention to market behaviors and stick to your plan. I would speculate investors of Enron had long term goals, but little or no exit strategy. It is
better to know and profit, than buy another's high price and blow it!
According to the 2001 book entitled Are You Normal About Money? by Bernice Kanner, seventy-two percent of mutual fund investors never read the accompanying prospectus. I admit the literature can be boring, however it can be extremely insightful as well. Look at the portfolio holdings and determine the primary sector allocations. You will also develop a good idea of the fund's turn-over ratio by reading the prospectus.
You should be aware of the driving forces behind all your funds' returns. Are your funds allocated in strong positions and equally strong sectors? Or, is the money manager hanging onto the dreams and ideas of yesterday, hoping that six-dollar stock will return to eighty by year-end?
It is a good idea to evaluate your portfolio periodically and ask yourself "Why do I own these positions?" Time passes and your goals either change or come to fruition. Seasons change and you should adapt accordingly, why not institute diligent tactics for your savings? The thought you put into such procedures may help protect your net worth.
About the Author
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 or visit www.tools2invest.com
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