Are you finding it hard not to worry about your stocks? Even experienced investors tremble when the market goes crazy. Here’s what you can do now to minimize your worries:
Ignore the news.
Avoid the “hot” tips that you hear from friends or read about on the internet. If a “regular person” hears a tip, it’s either too late to make an easy profit or it might be a scam.
Start small.… Read more
Myth: Americans living in Israel can’t buy mutual funds.
Fact: Americans in Israel can buy mutual funds, but read carefully….
On last week’s The Goldstein On Gelt Show, I offered a free download of a 7-step list for investing in mutual funds. I generally get positive feedback from the free educational resources I provide, but this time I received a curt response, “Don’t you know that you cannot buy mutual funds in Israel?”
The writer of the email was partially right… and also a little wrong,… Read more
Here’s a story that’s supposed to illustrate a quick way to invest in the stock market and make a lot of money:
They say that legendary investor Peter Lynch, who ran one of the biggest mutual funds of all time, discovered L’eggs, not from his market research, but rather from his wife. She picked up a pair of panty hose at the grocery store, and couldn’t stop raving about the new “L’eggs” stockings she had just discovered…. Read more
“What investment tool I can use to make money like the rich people?” a new client asked me. I could see he wasn’t looking for an in-depth financial education about how to identify great stocks. He just wanted a simple system he could easily follow to increase his chances of making money.
Rich people work with top money managers
When I explained that wealthy folks don’t spend all day trading stocks, the client was relieved…. Read more
When you withdraw money from your IRA (or if you inherited an Individual Retirement Account from someone and you take yearly distributions), don’t fool yourself.
Just because you withdraw money from a retirement account does not mean that you actually made that money. Rather, you might just be pulling out your principal. Here’s how to tell the difference and why it matters:
Since I work with American citizens living in Israel who have retirement accounts in the States,… Read more
If I asked you, “How much money do you want to lose in a risky investment?” you would probably think this was a strange question. However, you must consider the risks before you invest.
When you put money in the stock market you give up the certainty in return for the potential reward of growth. By choosing a risky investment, you bet that the potential for high profits is greater than the possibility of losing your money…. Read more
Simple investments can help increase your returns.
When Confucius said, “Life is really simple, but we insist on making it complicated,” he could have been alluding to the fact that using complicated investing strategies can reduce your overall performance. Simple investment strategies (like diversification and dollar-cost averaging) may have the best chance to lead to long-term success.
While it can be tempting to try timing the market, it’s impossible to predict the market’s movements. In fact,… Read more
“If you spend that amount of money from the inheritance you just received,” I told a client a few years ago, “it’s going to vanish over time.” Guess what? It did. This client spent hundreds of thousands of dollars and had nothing to show for it, other than feelings of regret. Even if you’re lucky enough to receive millions of dollars, if you spend it rashly, you’ll run out of money. But, if you invest (even a small sum) wisely,… Read more
How easy is it to make money to recoup a loss?
Recently, I found myself in the Financial Advisor’s Twilight Zone when a client assured me, “It’s OK if I lose money. My investments are for the long term and I have time to recoup the losses.” Why was this client so sure he had the ability to recoup losses?
Some investors think that if they lose money on an investment, it doesn’t matter because they can continue investing and make up their loss…. Read more
“Copycat trading” is when a regular trader copies the trades of more experienced and successful traders. It sounds simple enough: copying someone else’s trades makes trading easier for you as it eliminates the need for you to do your own research. If you want to trade foreign exchange, for example, just follow the top performing foreign exchange trader; as he profits, you profit, too. You don’t have to study the foreign exchange market, master technical trading signals,… Read more
