Finance & Investments Archive

Three Ways to Build your Net Worth

Net worth is numero uno in becoming financially independent. There are three ways to build net worth over time. There should be some combination of at least two if not all three, that would work for each individual. This is not to say that you cannot develop a financial plan solely based on one of

9 Alternatives to Savings and Checking Accounts

Saving money is great first step towards financial independence. However, investing that money wisely accelerates the path to building wealth and early retirement. With interest rates so low, the money sitting in savings account earns next to nothing. If you are like me who regularly keeps aside money, here are a few alternatives to savings

Investment Portfolio that will Outperform Most Investors and Active Fund Managers

How long does it take to manage the money your have worked so hard to earn? Less time than you think. My Early Days of Investing It can be a daunting task to come up with a portfolio that has the right level of risk and volatility, has enough diversification and consistently provides returns that

How to Benefit from Rising Interest Rates

In the Federal Reserver’s meeting last week, its clear that another interest rate hike is on the table for as early as March. The fed has already increased rates once in 2015 and in 2016 and most likely, they are going to increase two to three times in 2017. From a personal finance perspective, I

Smart Investing Based On Time Horizon And Risk Tolerance

When investing money, there are two variables that are critical to selecting the right investment vehicle – the time horizon and risk tolerance. The best way to allocate your money is to think about putting it in different buckets based on your time horizon and how much risk you are willing to take. Time Horizon The

Why Most Mutual Funds Lag Behind the Market?

According to recent research by Dalbar, the average mutual fund investor has gotten only a 2.6% net annualized rate of return for the 10-year time period ending Dec. 31, 2013. The same average investor got a staggering 2.5% over 20 years, while the 30-year annualized rate is just 1.9%. That is jaw dropping. In comparison,