Do to the Holiday there will not be any new content for Sunday!
Have A Great Weekend!
Thank You,
Clay-
Have a Question? Send Questions to wheatleycsmk@gmail.com
New Content every Thursday and Sunday.
Occasional Stock Market Commentary during the week.
Feedback Welcome!
Interested? Please become a follower
Saturday, May 29, 2010
Thursday, May 27, 2010
Mutual Funds Continued... Aggressive Growth! Growth! And Value Funds!
First off I would like to say Yeah Buddy!! for the phenomenal show the Stock Market put on for us today! That is one up for the good guys! One more push up for an early retirement! Sorry I'm a little excited... Now lets move onto the main attraction Mutual Funds.
Today I’m going to cover a broad definition of what an Aggressive Growth, Growth, and Value Funds consist of. You will see a nice list of the 3 Funds below.
Aggressive Growth Fund: This type of fund takes on higher risk for greater reward. An Aggressive Growth Fund will consist of companies that have great potential for rapid growth. They may focus on small companies that have recently gone public, individual sectors, or hot trending stocks that just came out with a great new product or service. Other things that may occur are frequent trading for gains, using leverage, options trading, as well as shorting stock outright (betting a stock will go down). The reason behind this type of fund is solely for capital appreciation. This type of fund is not meant for the risk adverse, but if you want the potential to trounce the averages in the stock market and make some serious money and don’t mind the high volatility than this is your ticket for a great ride!
Growth Fund: Growth funds are similar to an Aggressive Growth Fund as it is geared towards capital appreciation. However, Growth Funds tend to back off the risk and volatility compared to the extreme Aggressive Growth Funds. The difference in risk and volatility lies in the way the money is invested with reduced leverage and less trading frequency, but still tend to invest aggressively in small and mid cap companies with great potential. These are great funds to build wealth and can be used by a majority of investors. This type of fund still holds a great deal of risk. In my opinion the reward definitely outweighs the risk.
Value Fund: Value Funds consist of companies that have been determined to be out of favor by the stock market and have reached prices of value. Value as in the price compared to the fundamentals of the underlying company. Many of the so called Value stocks pay dividends as income to investors. The companies that are selected in a Value Fund tend to be steady growers that have lost their way. They may have slowed down in growth, are cyclical to the economy, may be in the middle of a restructuring turnaround, or have been taken down to low price levels do to short term negative news. hint... (BP which pays a 7.9% Dividend) This type of fund is great for the conservative investor since the dividends help prop the stocks up during bad times and thrive when the market recovers with capital appreciation. This fund is welcome to all!
For Sunday we will cover the last bit of Mutual Funds. I will explain what to look for in a funds track record, the expense ratio, the volatility, and a few other odds and ends.
Also, if you have a topic that you want me to cover Please... let me know. I'll be happy to answer your investing questions.
Happy Memorial Day!
Thank You,
Clay-
Have a Question? Send Questions to wheatleycsmk@gmail.com
New Content every Thursday and Sunday.
Occasional Stock Market Commentary during the week.
Feedback Welcome!
Interested? Please become a follower
Today I’m going to cover a broad definition of what an Aggressive Growth, Growth, and Value Funds consist of. You will see a nice list of the 3 Funds below.
Aggressive Growth Fund: This type of fund takes on higher risk for greater reward. An Aggressive Growth Fund will consist of companies that have great potential for rapid growth. They may focus on small companies that have recently gone public, individual sectors, or hot trending stocks that just came out with a great new product or service. Other things that may occur are frequent trading for gains, using leverage, options trading, as well as shorting stock outright (betting a stock will go down). The reason behind this type of fund is solely for capital appreciation. This type of fund is not meant for the risk adverse, but if you want the potential to trounce the averages in the stock market and make some serious money and don’t mind the high volatility than this is your ticket for a great ride!
Growth Fund: Growth funds are similar to an Aggressive Growth Fund as it is geared towards capital appreciation. However, Growth Funds tend to back off the risk and volatility compared to the extreme Aggressive Growth Funds. The difference in risk and volatility lies in the way the money is invested with reduced leverage and less trading frequency, but still tend to invest aggressively in small and mid cap companies with great potential. These are great funds to build wealth and can be used by a majority of investors. This type of fund still holds a great deal of risk. In my opinion the reward definitely outweighs the risk.
Value Fund: Value Funds consist of companies that have been determined to be out of favor by the stock market and have reached prices of value. Value as in the price compared to the fundamentals of the underlying company. Many of the so called Value stocks pay dividends as income to investors. The companies that are selected in a Value Fund tend to be steady growers that have lost their way. They may have slowed down in growth, are cyclical to the economy, may be in the middle of a restructuring turnaround, or have been taken down to low price levels do to short term negative news. hint... (BP which pays a 7.9% Dividend) This type of fund is great for the conservative investor since the dividends help prop the stocks up during bad times and thrive when the market recovers with capital appreciation. This fund is welcome to all!
For Sunday we will cover the last bit of Mutual Funds. I will explain what to look for in a funds track record, the expense ratio, the volatility, and a few other odds and ends.
Also, if you have a topic that you want me to cover Please... let me know. I'll be happy to answer your investing questions.
Happy Memorial Day!
Thank You,
Clay-
Have a Question? Send Questions to wheatleycsmk@gmail.com
New Content every Thursday and Sunday.
Occasional Stock Market Commentary during the week.
Feedback Welcome!
Interested? Please become a follower
Tuesday, May 25, 2010
Watch For Stocks That Are Up On A Down Day!
Goldman Sachs is up for the day! Keep an eye on a stock that shows strength on a down day. Usually there is some underlying positive that can send a stock much higher once the market becomes positive. Goldman Sachs was just an example of what to look for in future investments. Fund Managers invest for the future and they start early before an uptrend occurs. When a stock is up on a down day usually indicates that there is some Institutional buying interest and this special situation shouldn't go unnoticed.
Also, when the stock market opens down and makes a large move to the upside such as today, this is a positive sign that the market may be becoming more optimistic about the current price levels, which means that the tides may turn shortly from negative to positive. I'm an Optimist so you know I'm going to go with the second option of the market turning positive. I've had enough of these Negative Nancy down days. I'm ready to roll to much higher ground!
Thank You,
Clay-
Have a Question? Send Questions to wheatleycsmk@gmail.com
New Content every Thursday and Sunday.
Occasional Stock Market Commentary during the week.
Feedback Welcome!
Interested? Please become a follower
Also, when the stock market opens down and makes a large move to the upside such as today, this is a positive sign that the market may be becoming more optimistic about the current price levels, which means that the tides may turn shortly from negative to positive. I'm an Optimist so you know I'm going to go with the second option of the market turning positive. I've had enough of these Negative Nancy down days. I'm ready to roll to much higher ground!
Thank You,
Clay-
Have a Question? Send Questions to wheatleycsmk@gmail.com
New Content every Thursday and Sunday.
Occasional Stock Market Commentary during the week.
Feedback Welcome!
Interested? Please become a follower
Monday, May 24, 2010
New To Investing? Invest For Fun! Test Your Skills At Marketocracy
Hello,
Thought I would put this out here. If your new to investing and wish to test your skills check out marketocracy.com I have been using this investment site for over 3+ yrs and it's a great way to test your investing ideas without using your own money. At Marketocracy you will be able to create your very own mutual fund. You will start out with $1,000,000 to invest. You will be able to track your progress and see your rankings against other investors. It's a phenomenal learning tool! Give it a shot!
Thank You,
Clay-
Have a Question? Send Questions to wheatleycsmk@gmail.com
New Content every Thursday and Sunday.
Occasional Stock Market Commentary during the week.
Feedback Welcome!
Interested? Please become a follower
Thought I would put this out here. If your new to investing and wish to test your skills check out marketocracy.com I have been using this investment site for over 3+ yrs and it's a great way to test your investing ideas without using your own money. At Marketocracy you will be able to create your very own mutual fund. You will start out with $1,000,000 to invest. You will be able to track your progress and see your rankings against other investors. It's a phenomenal learning tool! Give it a shot!
Thank You,
Clay-
Have a Question? Send Questions to wheatleycsmk@gmail.com
New Content every Thursday and Sunday.
Occasional Stock Market Commentary during the week.
Feedback Welcome!
Interested? Please become a follower
Sunday, May 23, 2010
Why Your Age Is A Factor When Selecting A Mutual Fund
Last post I mentioned that your current age should be considered when selecting a Mutual Fund. Here is my reason that age matters. When you’re first starting out in your early 20’s you have more time to make mistakes. That being said you can invest more aggressively and take on more risk than someone in there 30’s, 40’s, and 50’s.
In my opinion if your risk tolerance allows it, investing aggressively in your early 20’s gives you a great advantage to building wealth rapidly early on so that later in life you can reduce your risk and become less aggressive as you reach retirement. Time is on your side!
As you continue on the age spectrum you will gradually reduce your risk. In your 20’s and 30’s you’re looking for capital appreciation, which means building your wealth. In your 40’s you still are looking for capital appreciation, but you are getting closer to retirement and you can’t take on the same level of risk since you have less time to recover any losses your portfolio may incur if the market happens to take a dreaded turn to negative town.
Lastly, in your 50’s you’re looking to preserve your capital. You have had the opportunity to build wealth and now you are looking to have that money last into retirement. Your goals and objectives should change over time. Build wealth early, preserve wealth near retirement, and use your wealth as income during retirement.
Now that we all have determined are age we must select the right Mutual Fund to invest in. First we must briefly cover the 3 main types of Mutual Funds listed below. These are Equity Funds, Fixed Income Funds, and Balanced Funds.
Equity Funds invest in stocks and are said to carry the most risk. Equity Funds carry higher risk, but have the potential for higher reward.
Fixed Income Funds invest primarily in bonds and other forms of debt to create income from the underlying investment. These are great for people who are approaching or currently in retirement.
Balanced Funds as you may guess invest both in Equities and Income producing products. These types of funds are suited for those who want less risk but still want to have some capital appreciation.
Hopefully, this gave everyone a better idea of factoring in age into your investments. Your age matters. Invest for your age!
Thursday I will cover a few different funds that you may have heard of- Aggressive Growth, Growth, and Value Funds.
Have a wonderful Sunday!
Thank You,
Clay-
Have a Question? Send Questions to wheatleycsmk@gmail.com
New Content every Thursday and Sunday.
Occasional Stock Market Commentary during the week.
Feedback Welcome!
Interested? Please become a follower
In my opinion if your risk tolerance allows it, investing aggressively in your early 20’s gives you a great advantage to building wealth rapidly early on so that later in life you can reduce your risk and become less aggressive as you reach retirement. Time is on your side!
As you continue on the age spectrum you will gradually reduce your risk. In your 20’s and 30’s you’re looking for capital appreciation, which means building your wealth. In your 40’s you still are looking for capital appreciation, but you are getting closer to retirement and you can’t take on the same level of risk since you have less time to recover any losses your portfolio may incur if the market happens to take a dreaded turn to negative town.
Lastly, in your 50’s you’re looking to preserve your capital. You have had the opportunity to build wealth and now you are looking to have that money last into retirement. Your goals and objectives should change over time. Build wealth early, preserve wealth near retirement, and use your wealth as income during retirement.
Now that we all have determined are age we must select the right Mutual Fund to invest in. First we must briefly cover the 3 main types of Mutual Funds listed below. These are Equity Funds, Fixed Income Funds, and Balanced Funds.
Equity Funds invest in stocks and are said to carry the most risk. Equity Funds carry higher risk, but have the potential for higher reward.
Fixed Income Funds invest primarily in bonds and other forms of debt to create income from the underlying investment. These are great for people who are approaching or currently in retirement.
Balanced Funds as you may guess invest both in Equities and Income producing products. These types of funds are suited for those who want less risk but still want to have some capital appreciation.
Hopefully, this gave everyone a better idea of factoring in age into your investments. Your age matters. Invest for your age!
Thursday I will cover a few different funds that you may have heard of- Aggressive Growth, Growth, and Value Funds.
Have a wonderful Sunday!
Thank You,
Clay-
Have a Question? Send Questions to wheatleycsmk@gmail.com
New Content every Thursday and Sunday.
Occasional Stock Market Commentary during the week.
Feedback Welcome!
Interested? Please become a follower
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