Category: Blog
I am a CPA Candidate sharing my experience building my portfolio while in my 20s. During this process of sharing information online I hope to increase free financial literacy access for all.
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What You Should Know When Dividend Investing?
Dividend investing is a popular strategy for those seeking a stable and reliable source of income from their investments. To maximize the benefits and minimize risks of dividend investing, it’s essential to be well-informed about key financial metrics that indicate the health and sustainability of a company’s dividend payouts. Financial Metrics for Dividend Investors When…
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Why Do Dividend Investors Love Dividend Aristocrats?
Dividend Aristocrats are companies that have a 25-year track record of increasing their dividend payouts to shareholders and are included in the S&P 500. These companies are part of an elite group that not only delivers regular dividends but also shows strong financial health and stability. Investing in dividend aristocrats can be an excellent strategy…
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What is Dividend Investing and Does Your Portfolio Need It?
Dividend investing is a popular strategy where investors buy stocks that return capital back to investors. Dividends are regular profit-sharing payments made by companies to their shareholders. Dividend investing can provide a steady stream of income, making it appealing for investors looking to live off their portfolio of investments. You might wonder why companies pay…
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What Is Systematic Risk for Investors?
When investing, you may often hear the terms “market risk” or “systematic risk.” These refer to the potential for an investor to experience losses due to factors impacting the entire market rather than just a specific company or sector. Understanding systematic risk is crucial because it can’t be avoided through diversification alone. Systematic risk, also…
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What is Idiosyncratic Risk and Why is it Important?
Understanding the different types of risk is crucial for anyone investing in the stock market. One type of risk that often confounds new investors is idiosyncratic risk. Idiosyncratic risk refers to the risk specific to a single company or industry, which can be diversified away, different from the overall market risk. For example, a sudden…
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What is Liquidity Risk and Why is it Important?
Liquidity risk is a crucial concept in finance that affects both individuals and businesses. Liquidity risk is the danger of being unable to meet short-term financial obligations, where assets can’t be quickly sold or converted into cash without a loss. This risk becomes evident during market downturns, sudden changes in market conditions, or when there is…
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Portfolio Update: July 1st, 2024
I want to share my portfolio to provide a learning experience for others based on my failures and successes, to be transparent about my personal financial interests, and to gain feedback from others. The plan is to make these portfolio updates on a somewhat regular basis. I will include snapshots of my portfolio from Google…
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How to Reach 10K Net Worth in 5 Steps?
Achieving a net worth of $10,000 is the first milestone on the path to financial stability. It represents a combination of disciplined saving, smart investing, and effective money management practices. As your net worth is the sum of your assets minus your liabilities, some may easily achieve this 10K net worth by having 10,000 in…
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Financial Literacy Essentials You Should Know
Many Americans believe they have strong financial knowledge, yet evidence shows a different story. The Financial Industry Regulatory Authority (FINRA) has found that a large portion of adults struggle with basic financial concepts. You should be able to pass the FINRA financial literacy quiz to ensure you have the essential financial skills needed for everyday…
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How Does Bond Laddering Work?
Investing wisely in fixed income can be challenging, especially in fluctuating markets. Bond laddering offers a strategic way to manage your investments by staggering the maturity dates of multiple bonds. This helps you achieve regular income and risk management by holding bonds until they mature. Imagine having a series of bonds that mature at different…