Join Jane Barratt for an in-depth discussion in this video New player options, part of Personal Investing Basics.
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- Up until recently, there really was only two options…in managing money:…doing it yourself or outsourcing it to an advisor.…In the last few years, thankfully, things have changed.…Consider first the four main elements…in how to make a choice on how to invest your money.…It's time, costs, risks, and returns.…Now, risk and returns are a function…of what you choose to invest your money in,…from higher risk, higher potential return stocks,…to lower risk, lower potential return bonds.…
The time and cost factors are two things…you now have much more control over.…Let's start with time.…If you're getting started,…ask yourself this important question:…do I want to be educated on what's going on with the market…and with my investments, or I would I prefer…to "set it and forget it"?…There's no right answer, but be forewarned.…If you choose the set and forget option,…what's your pain tolerance for checking in on your balance…and seeing that it's down by 20%?…Would you panic and sell to cash out what remains,…or would you stick with it and wait for the cycles to turn?…
Jane is the founder of GoldBean, an online investing platform that helps first-time and experienced investors alike take their investments into their own hands. In this course, she shares her investment strategies with you. She breaks down the market into its five basic building blocks—cash and equivalents, stocks, bonds, funds, and insurance products—and the different vehicles where you can invest these building blocks. She also covers topics such as the importance of a balanced portfolio, understanding and managing your risk, identifying value in the market, and building your "money muscles" over time. Plus, learn how to calculate the rate of return of a portfolio vs. general market performance. Last, Jane outlines the options for DIY investing, when it makes sense to work with an advisor, and how to avoid costly investment fees.
- Why should you invest?
- Understanding compound interest
- Comparing stocks, bonds, and funds
- Managing risk
- Building a portfolio
- Finding where to invest money
- Working with a financial advisor